Frontier vs Personal Which Is More Attractive?

Investors have two main options when it comes to putting their money to work in the stock market: frontier stocks and personal stocks. Frontier stocks are investments in companies located in emerging markets with high growth potential but also high risk. On the other hand, personal stocks are investments in familiar companies that an individual knows and trusts. Both types of stocks offer unique opportunities and challenges, making it important for investors to carefully consider their investment goals and risk tolerance before making a decision.

Frontier or Personal?

When comparing Frontier and Personal, 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 Frontier and Personal.

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. Frontier has a dividend yield of -%, while Personal has a dividend yield of 6.14%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Frontier reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Personal reports a 5-year dividend growth of -13.48% year and a payout ratio of 76.28%.

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 Frontier P/E ratio at -251.12 and Personal's P/E ratio at 13.10. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Frontier P/B ratio is 2.74 while Personal's P/B ratio is 1.96.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Frontier has seen a 5-year revenue growth of 0.62%, while Personal's is -0.12%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Frontier's ROE at -1.17% and Personal's ROE at 14.98%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $6.57 for Frontier and £192.00 for Personal. Over the past year, Frontier's prices ranged from $2.79 to $8.33, with a yearly change of 198.57%. Personal's prices fluctuated between £145.02 and £210.00, with a yearly change of 44.81%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.