Fastly vs Sysco Which Outperforms?

Fastly and Sysco are two companies with very different business models and target markets. Fastly is a cloud computing company that provides content delivery network services, while Sysco is a global leader in food distribution and marketing. Despite their differences, both companies have experienced growth in their stock prices in recent years. Investors looking to diversify their portfolio may consider investing in both companies, as they operate in different sectors and offer unique opportunities for potential growth.

Fastly or Sysco?

When comparing Fastly and Sysco, 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 Fastly and Sysco.

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. Fastly has a dividend yield of -%, while Sysco has a dividend yield of 2.7%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Fastly reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Sysco reports a 5-year dividend growth of 6.58% year and a payout ratio of 51.82%.

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 Fastly P/E ratio at -6.01 and Sysco's P/E ratio at 18.99. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Fastly P/B ratio is 0.92 while Sysco's P/B ratio is 16.71.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Fastly has seen a 5-year revenue growth of 1.15%, while Sysco's is 0.34%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Fastly's ROE at -15.15% and Sysco's ROE at 90.60%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $6.31 for Fastly and $74.70 for Sysco. Over the past year, Fastly's prices ranged from $5.52 to $25.87, with a yearly change of 368.66%. Sysco's prices fluctuated between $69.03 and $82.89, with a yearly change of 20.08%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.