Kia vs Mazda Which Is More Profitable?

Kia and Mazda are two well-known automobile manufacturers that also have publicly traded stocks. Both companies have a strong presence in the global automotive market and are known for producing reliable and high-quality vehicles. Investors looking to diversify their portfolios may consider comparing the performance of Kia and Mazda stocks. By examining various factors such as financial metrics, market trends, and company strategies, investors can make informed decisions on which stock to include in their investment portfolio.

Kia or Mazda?

When comparing Kia and Mazda, 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 Kia and Mazda.

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. Kia has a dividend yield of 5.91%, while Mazda has a dividend yield of 1.19%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Kia reports a 5-year dividend growth of 0.00% year and a payout ratio of 22.74%. On the other hand, Mazda reports a 5-year dividend growth of 11.57% year and a payout ratio of 0.00%.

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 Kia P/E ratio at 3.93 and Mazda's P/E ratio at 18.24. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Kia P/B ratio is 0.73 while Mazda's P/B ratio is 2.48.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Kia has seen a 5-year revenue growth of 0.87%, while Mazda's is 0.74%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Kia's ROE at 19.60% and Mazda's ROE at 14.12%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₩93200.00 for Kia and ₹1329.95 for Mazda. Over the past year, Kia's prices ranged from ₩85300.00 to ₩135000.00, with a yearly change of 58.26%. Mazda's prices fluctuated between ₹1103.55 and ₹1660.95, with a yearly change of 50.51%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.