GameStop vs UnitedHealth Which Outperforms?
GameStop and UnitedHealth are two vastly different companies in terms of industry and market focus. GameStop is a retail company that primarily sells video games and electronics, while UnitedHealth is a healthcare company that provides insurance and health services. Despite their differences, both stocks have seen significant fluctuations in recent years. GameStop's stock has become a major topic of discussion due to its high volatility and Reddit-fueled trading frenzy, while UnitedHealth's stock has been more stable and has shown steady growth.
GameStop or UnitedHealth?
When comparing GameStop and UnitedHealth, 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 GameStop and UnitedHealth.
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.
GameStop has a dividend yield of -%, while UnitedHealth has a dividend yield of 2.26%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. GameStop reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, UnitedHealth reports a 5-year dividend growth of 0.00% year and a payout ratio of 51.26%.
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 GameStop P/E ratio at 199.61 and UnitedHealth's P/E ratio at 1.12. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. GameStop P/B ratio is 2.62 while UnitedHealth's P/B ratio is 0.17.
Growth Investors:
Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, GameStop has seen a 5-year revenue growth of -0.15%, while UnitedHealth's is 0.70%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with GameStop's ROE at 2.13% and UnitedHealth's ROE at 15.94%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are $28.58 for GameStop and C$24.55 for UnitedHealth. Over the past year, GameStop's prices ranged from $9.95 to $64.83, with a yearly change of 551.56%. UnitedHealth's prices fluctuated between C$21.03 and C$30.05, with a yearly change of 42.89%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.