DD vs SRS Which Outperforms?

DD and SRS stocks represent two distinct investment strategies in the financial market. DD, short for Due Diligence, focuses on researching and analyzing companies before making investment decisions. On the other hand, SRS, or 'Shorting' or 'Short Sale', involves selling borrowed shares with the belief that the stock price will decrease, allowing investors to profit from the decline in value. Both strategies come with their own risks and rewards, making it important for investors to carefully consider their options before diving into the market.

DD or SRS?

When comparing DD and SRS, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between DD and SRS.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. DD has a dividend yield of -%, while SRS has a dividend yield of 0.64%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. DD reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, SRS reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with DD P/E ratio at 7.62 and SRS's P/E ratio at 24.01. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. DD P/B ratio is 2.40 while SRS's P/B ratio is 2.99.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, DD has seen a 5-year revenue growth of -0.39%, while SRS's is 0.09%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with DD's ROE at 35.12% and SRS's ROE at 12.92%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥1326.00 for DD and ¥1168.00 for SRS. Over the past year, DD's prices ranged from ¥1014.00 to ¥1644.00, with a yearly change of 62.13%. SRS's prices fluctuated between ¥1035.00 and ¥1378.00, with a yearly change of 33.14%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.