ICON vs Stryker Which Is More Profitable?

Both ICON and Stryker are well-known companies in the healthcare industry, but their stocks have different performance and growth potential. ICON, a global provider of outsourced drug development and commercialization services, has shown consistent growth in recent years due to the increasing demand for pharmaceutical services. On the other hand, Stryker, a leading medical technology company, has also performed well but faces strong competition in the market. Investors need to carefully analyze the financials and growth prospects of both companies before making investment decisions.

ICON or Stryker?

When comparing ICON and Stryker, 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 ICON and Stryker.

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. ICON has a dividend yield of -%, while Stryker has a dividend yield of 0.84%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. ICON reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Stryker reports a 5-year dividend growth of 9.58% year and a payout ratio of 33.40%.

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 ICON P/E ratio at 23.50 and Stryker's P/E ratio at 40.22. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. ICON P/B ratio is 1.80 while Stryker's P/B ratio is 7.17.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, ICON has seen a 5-year revenue growth of 1.06%, while Stryker's is 0.49%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with ICON's ROE at 7.87% and Stryker's ROE at 18.49%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $210.84 for ICON and $376.14 for Stryker. Over the past year, ICON's prices ranged from $208.65 to $347.72, with a yearly change of 66.65%. Stryker's prices fluctuated between $276.60 and $381.54, with a yearly change of 37.94%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.