IG vs TES Which Is More Profitable?

Investor's Group Inc. (IG) and Tesla Inc. (TES) are two prominent companies in the stock market that represent different sectors: financial services and electric vehicles, respectively. IG is a Canadian financial services company known for its wealth management services, while TES is a global leader in electric vehicle manufacturing. With both companies experiencing fluctuations in their stock prices, investors are faced with the decision of where to allocate their funds for potential growth and returns. This comparison will analyze the performance, trends, and potential risks associated with investing in IG vs TES stocks.

IG or TES ?

When comparing IG and TES , 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 IG and TES .

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. IG has a dividend yield of 4.97%, while TES has a dividend yield of 3.32%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. IG reports a 5-year dividend growth of 0.91% year and a payout ratio of 31.14%. On the other hand, TES reports a 5-year dividend growth of 0.00% year and a payout ratio of 111.41%.

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 IG P/E ratio at 6.23 and TES 's P/E ratio at 33.98. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. IG P/B ratio is 1.89 while TES 's P/B ratio is 0.85.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, IG has seen a 5-year revenue growth of 0.97%, while TES 's is -0.44%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with IG's ROE at 30.53% and TES 's ROE at 2.60%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are £915.50 for IG and ₩14890.00 for TES . Over the past year, IG's prices ranged from £656.00 to £995.25, with a yearly change of 51.71%. TES 's prices fluctuated between ₩14890.00 and ₩32900.00, with a yearly change of 120.95%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.