ETS vs ATS Which Should You Buy?

ETS, or exchange-traded stocks, are shares of companies that are bought and sold on a major stock exchange. On the other hand, ATS, or alternative trading system, stocks are traded through electronic trading platforms that are not regulated like traditional exchanges. While ETS stocks are more liquid and transparent, ATS stocks can offer lower trading fees and faster execution. Both types of stocks have their own advantages and disadvantages, making them suitable for different types of investors.

ETS or ATS?

When comparing ETS and ATS, 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 ETS and ATS.

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. ETS has a dividend yield of 99.34%, while ATS has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ETS reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, ATS 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 ETS P/E ratio at -5.73 and ATS's P/E ratio at 34.97. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ETS P/B ratio is 0.98 while ATS's P/B ratio is 2.33.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ETS has seen a 5-year revenue growth of -0.46%, while ATS's is 1.30%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ETS's ROE at -13.90% and ATS's ROE at 7.32%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$0.12 for ETS and $27.94 for ATS. Over the past year, ETS's prices ranged from HK$0.10 to HK$0.75, with a yearly change of 614.29%. ATS's prices fluctuated between $24.82 and $44.70, with a yearly change of 80.10%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.