Dell Technologies vs HP Which Is More Attractive?

Dell Technologies and HP are two giant competitors in the technology industry, particularly known for their hardware products and services. When it comes to stock performance, both companies have seen fluctuations in their share prices due to various factors such as market trends, innovations, and economic conditions. Investors often compare Dell Technologies and HP stocks to assess their potential growth, profitability, and overall market value. Understanding the key differences and similarities between these two tech giants can help investors make informed decisions about their investment portfolios.

Dell Technologies or HP?

When comparing Dell Technologies and HP, 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 Dell Technologies and HP.

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. Dell Technologies has a dividend yield of 1.55%, while HP has a dividend yield of 3.66%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Dell Technologies reports a 5-year dividend growth of 0.00% year and a payout ratio of 29.68%. On the other hand, HP reports a 5-year dividend growth of 12.96% year and a payout ratio of 37.71%.

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 Dell Technologies P/E ratio at 24.69 and HP's P/E ratio at 12.97. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Dell Technologies P/B ratio is -33.89 while HP's P/B ratio is -26.49.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Dell Technologies has seen a 5-year revenue growth of 0.36%, while HP's is 0.50%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Dell Technologies's ROE at -147.33% and HP's ROE at -226.67%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $135.02 for Dell Technologies and $36.80 for HP. Over the past year, Dell Technologies's prices ranged from $67.51 to $179.70, with a yearly change of 166.18%. HP's prices fluctuated between $27.43 and $39.52, with a yearly change of 44.08%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.