GREE vs Panasonic Which Should You Buy?

GREE and Panasonic are two major players in the Japanese stock market. GREE is a leading mobile gaming company known for hits like "Final Fantasy" and "Puzzle & Dragons", while Panasonic is a multinational electronics corporation with a strong presence in consumer electronics, home appliances, and industrial equipment. Both companies have experienced fluctuations in their stock prices due to changing market conditions and industry trends. Investors will need to carefully evaluate the financial performance and growth prospects of each company before making investment decisions.

GREE or Panasonic?

When comparing GREE and Panasonic, 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 GREE and Panasonic.

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. GREE has a dividend yield of 3.97%, while Panasonic has a dividend yield of 2.84%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. GREE reports a 5-year dividend growth of 1.92% year and a payout ratio of 0.00%. On the other hand, Panasonic reports a 5-year dividend growth of -6.44% year and a payout ratio of 26.04%.

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 GREE P/E ratio at 39.46 and Panasonic's P/E ratio at 10.25. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. GREE P/B ratio is 0.79 while Panasonic's P/B ratio is 0.66.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, GREE has seen a 5-year revenue growth of 0.19%, while Panasonic's is 0.05%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with GREE's ROE at 1.94% and Panasonic's ROE at 7.01%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥410.00 for GREE and $8.95 for Panasonic. Over the past year, GREE's prices ranged from ¥401.00 to ¥612.00, with a yearly change of 52.62%. Panasonic's prices fluctuated between $6.85 and $10.82, with a yearly change of 57.96%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.