EIZO vs NEC Which Is a Smarter Choice?

EIZO and NEC are two companies in the technology sector that are known for their high-quality products and innovative solutions. Both companies have a strong presence in the market and have seen steady growth in their stock prices over the years. Investors are constantly comparing EIZO and NEC stocks to determine which is the better investment option. By analyzing key factors such as financial performance, market trends, and technology advancements, investors can make informed decisions on whether to invest in EIZO or NEC stocks.

EIZO or NEC?

When comparing EIZO and NEC, 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 EIZO and NEC.

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. EIZO has a dividend yield of 6.72%, while NEC has a dividend yield of 1.4%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. EIZO reports a 5-year dividend growth of 11.67% year and a payout ratio of 0.00%. On the other hand, NEC reports a 5-year dividend growth of 0.00% year and a payout ratio of 21.33%.

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 EIZO P/E ratio at 11.62 and NEC's P/E ratio at 16.88. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. EIZO P/B ratio is 0.37 while NEC's P/B ratio is 1.33.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, EIZO has seen a 5-year revenue growth of 0.14%, while NEC's is 0.16%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with EIZO's ROE at 3.10% and NEC's ROE at 8.05%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥2260.00 for EIZO and $62.77 for NEC. Over the past year, EIZO's prices ranged from ¥1975.00 to ¥2670.00, with a yearly change of 35.19%. NEC's prices fluctuated between $53.75 and $97.75, with a yearly change of 81.86%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.