Hyundai vs Hyundai Motor Which Is More Profitable?

Hyundai and Hyundai Motor stocks are two related investment options within the automotive industry. Hyundai is a conglomerate that operates various unrelated businesses, while Hyundai Motor is specifically focused on the production and sales of automobiles. Investors may choose to invest in either company based on their individual financial goals and risk tolerance. Factors such as financial performance, market trends, and company strategy can influence the performance of both Hyundai and Hyundai Motor stocks. It is important for investors to carefully evaluate their options before making any investment decisions.

Hyundai or Hyundai Motor?

When comparing Hyundai and Hyundai Motor, 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 Hyundai and Hyundai Motor.

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. Hyundai has a dividend yield of 3.24%, while Hyundai Motor has a dividend yield of 10.11%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Hyundai reports a 5-year dividend growth of 0.00% year and a payout ratio of 6.26%. On the other hand, Hyundai Motor reports a 5-year dividend growth of -8.68% year and a payout ratio of 29.02%.

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 Hyundai P/E ratio at 2.16 and Hyundai Motor's P/E ratio at 1.58. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Hyundai P/B ratio is 0.35 while Hyundai Motor's P/B ratio is 0.19.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Hyundai has seen a 5-year revenue growth of 0.47%, while Hyundai Motor's is 0.57%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Hyundai's ROE at 18.01% and Hyundai Motor's ROE at 12.84%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₩18500.00 for Hyundai and $52.47 for Hyundai Motor. Over the past year, Hyundai's prices ranged from ₩16130.00 to ₩24500.00, with a yearly change of 51.89%. Hyundai Motor's prices fluctuated between $39.80 and $69.27, with a yearly change of 74.05%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.