Guardian Capital vs Old Mutual Which Performs Better?

Guardian Capital and Old Mutual are both well-known companies in the financial services industry, each offering a range of investment options for investors. Guardian Capital is a Canadian investment management firm that focuses on providing tailored investment solutions for individuals, institutions, and foundations. Old Mutual, on the other hand, is a multinational financial services group headquartered in South Africa, offering a variety of insurance and asset management services. Both companies have a strong track record of delivering returns to their investors, making them attractive options for those looking to grow their wealth.

Guardian Capital or Old Mutual?

When comparing Guardian Capital and Old Mutual, 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 Guardian Capital and Old Mutual.

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. Guardian Capital has a dividend yield of 4.4%, while Old Mutual has a dividend yield of 3.5%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Guardian Capital reports a 5-year dividend growth of 21.54% year and a payout ratio of 55.30%. On the other hand, Old Mutual reports a 5-year dividend growth of 0.00% year and a payout ratio of 52.37%.

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 Guardian Capital P/E ratio at 15.52 and Old Mutual's P/E ratio at 8.22. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Guardian Capital P/B ratio is 0.79 while Old Mutual's P/B ratio is 0.06.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Guardian Capital has seen a 5-year revenue growth of -0.03%, while Old Mutual's is 0.75%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Guardian Capital's ROE at 5.05% and Old Mutual's ROE at 0.66%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are C$41.98 for Guardian Capital and $0.72 for Old Mutual. Over the past year, Guardian Capital's prices ranged from C$39.41 to C$52.13, with a yearly change of 32.28%. Old Mutual's prices fluctuated between $0.53 and $0.82, with a yearly change of 54.53%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.