Goldman Sachs vs Nokia Which Is More Attractive?

Goldman Sachs and Nokia are two storied companies with vastly different business models and histories. Goldman Sachs is a leading global investment bank and financial services company, known for its prowess in the global financial markets. On the other hand, Nokia is a multinational technology company primarily focused on telecommunications equipment and consumer electronics. Investors considering investing in either company's stocks would need to carefully assess factors such as market conditions, competition, and future growth prospects.

Goldman Sachs or Nokia?

When comparing Goldman Sachs and Nokia, 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 Goldman Sachs and Nokia.

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. Goldman Sachs has a dividend yield of 1.87%, while Nokia has a dividend yield of 3.61%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Goldman Sachs reports a 5-year dividend growth of 27.23% year and a payout ratio of 36.22%. On the other hand, Nokia reports a 5-year dividend growth of 0.00% year and a payout ratio of 173.43%.

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 Goldman Sachs P/E ratio at 16.07 and Nokia's P/E ratio at 56.47. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Goldman Sachs P/B ratio is 1.62 while Nokia's P/B ratio is 1.12.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Goldman Sachs has seen a 5-year revenue growth of 0.57%, while Nokia's is -0.02%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Goldman Sachs's ROE at 10.23% and Nokia's ROE at 1.97%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $596.16 for Goldman Sachs and $4.54 for Nokia. Over the past year, Goldman Sachs's prices ranged from $323.53 to $607.15, with a yearly change of 87.66%. Nokia's prices fluctuated between $2.94 and $4.95, with a yearly change of 68.37%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.