Finolex Cables vs Sterlite Technologies Which Performs Better?

Finolex Cables and Sterlite Technologies are two leading companies in the telecommunications and electrical cables industry. Finolex Cables is known for its wide range of high-quality cables used in diverse industries, while Sterlite Technologies specializes in providing cutting-edge solutions for digital networks and data transmission. Investors often compare the stocks of these companies to gauge their performance and profitability in the market. Understanding the financial standings and growth prospects of Finolex Cables and Sterlite Technologies can help investors make informed decisions on their stock investments.

Finolex Cables or Sterlite Technologies?

When comparing Finolex Cables and Sterlite Technologies, 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 Finolex Cables and Sterlite Technologies.

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. Finolex Cables has a dividend yield of 0.63%, while Sterlite Technologies has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Finolex Cables reports a 5-year dividend growth of 11.84% year and a payout ratio of 0.00%. On the other hand, Sterlite Technologies reports a 5-year dividend growth of -12.94% 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 Finolex Cables P/E ratio at 27.79 and Sterlite Technologies's P/E ratio at -30.00. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Finolex Cables P/B ratio is 3.74 while Sterlite Technologies's P/B ratio is 2.05.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Finolex Cables has seen a 5-year revenue growth of 0.65%, while Sterlite Technologies's is 0.08%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Finolex Cables's ROE at 14.46% and Sterlite Technologies's ROE at -11.51%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹1257.30 for Finolex Cables and ₹118.32 for Sterlite Technologies. Over the past year, Finolex Cables's prices ranged from ₹831.25 to ₹1700.00, with a yearly change of 104.51%. Sterlite Technologies's prices fluctuated between ₹109.50 and ₹155.05, with a yearly change of 41.60%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.