Koninklijke Philips vs Sony Which Is Superior?

Koninklijke Philips and Sony are two major players in the technology and electronics industry, with both companies offering a diverse range of products and services. When it comes to stocks, both Philips and Sony have been popular choices among investors due to their strong financial performance and market presence. This comparison explores the key differences and similarities between these two stocks, examining factors such as financial performance, growth potential, and market trends to help investors make informed decisions about investing in Koninklijke Philips vs Sony stocks.

Koninklijke Philips or Sony?

When comparing Koninklijke Philips and Sony, 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 Koninklijke Philips and Sony.

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. Koninklijke Philips has a dividend yield of 3.73%, while Sony has a dividend yield of 0.56%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Koninklijke Philips reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Sony reports a 5-year dividend growth of 43.63% year and a payout ratio of 9.28%.

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 Koninklijke Philips P/E ratio at -70.22 and Sony's P/E ratio at 18.03. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Koninklijke Philips P/B ratio is 1.94 while Sony's P/B ratio is 2.63.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Koninklijke Philips has seen a 5-year revenue growth of 0.05%, while Sony's is 0.38%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Koninklijke Philips's ROE at -2.74% and Sony's ROE at 14.75%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $25.69 for Koninklijke Philips and $21.62 for Sony. Over the past year, Koninklijke Philips's prices ranged from $19.55 to $32.91, with a yearly change of 68.34%. Sony's prices fluctuated between $15.02 and $22.71, with a yearly change of 51.18%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.