Delfi vs Elisa Which Is More Promising?

Delfi Limited and Elisa Corporation are two prominent companies in the technology and telecommunications sectors. Delfi is a leading internet company in Southeast Asia, specializing in digital media, online advertising, and e-commerce. Elisa, on the other hand, is a telecommunications company based in Finland, offering mobile and fixed-line services. Both companies have shown steady growth and profitability in recent years, making them attractive options for investors looking to diversify their portfolios in the tech industry. Let's delve deeper into their stocks to analyze their performance and potential for future growth.

Delfi or Elisa?

When comparing Delfi and Elisa, 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 Delfi and Elisa.

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. Delfi has a dividend yield of 5.26%, while Elisa has a dividend yield of 7.68%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Delfi reports a 5-year dividend growth of 10.54% year and a payout ratio of 63.17%. On the other hand, Elisa reports a 5-year dividend growth of 5.44% year and a payout ratio of 50.99%.

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 Delfi P/E ratio at 6.35 and Elisa's P/E ratio at 19.08. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Delfi P/B ratio is 1.53 while Elisa's P/B ratio is 5.87.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Delfi has seen a 5-year revenue growth of 0.26%, while Elisa's is 0.19%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Delfi's ROE at 23.65% and Elisa's ROE at 29.80%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are S$0.86 for Delfi and €43.58 for Elisa. Over the past year, Delfi's prices ranged from S$0.77 to S$1.32, with a yearly change of 71.43%. Elisa's prices fluctuated between €40.18 and €49.08, with a yearly change of 22.15%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.