Experian vs Collins

Experian and Collins stocks are two well-known companies that operate in the financial services industry. Experian is a global information services company that provides credit reports and other financial data to businesses and consumers. Collins is a leading provider of financial and investment research services. Both companies have seen success in the stock market, but their approaches to growth and profitability differ. This comparison will explore the strengths and weaknesses of each company's stock performance and market outlook.

Experian or Collins?

When comparing Experian and Collins, 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 Experian and Collins.

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. Experian has a dividend yield of 1.14%, while Collins has a dividend yield of 3.3%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Experian reports a 5-year dividend growth of 4.14% year and a payout ratio of 42.56%. On the other hand, Collins reports a 5-year dividend growth of 24.57% year and a payout ratio of 64.49%.

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 Experian P/E ratio at 25.95 and Collins's P/E ratio at 19.56. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Experian P/B ratio is 10.08 while Collins's P/B ratio is 1.10.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Experian has seen a 5-year revenue growth of 0.42%, while Collins's is 0.15%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Experian's ROE at 41.06% and Collins's ROE at 5.83%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $51.15 for Experian and NT$18.10 for Collins. Over the past year, Experian's prices ranged from $28.80 to $53.10, with a yearly change of 84.38%. Collins's prices fluctuated between NT$15.60 and NT$24.70, with a yearly change of 58.33%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.