Lucid vs Purple Which Is More Reliable?

Lucid Motors and Purple Innovation are two popular companies in the automotive and bedding industries, respectively. Lucid Motors is known for its innovative electric vehicles, while Purple Innovation is renowned for its comfort technology mattresses and bedding products. Both companies have seen significant growth in recent years, but their stocks have performed differently in the market. While Lucid's stock has experienced volatility due to competition and production delays, Purple's stock has been more stable and steadily increasing in value. Investors looking to diversify their portfolio with companies in distinct sectors may consider investing in both Lucid and Purple stocks.

Lucid or Purple?

When comparing Lucid and Purple, 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 Lucid and Purple.

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. Lucid has a dividend yield of -%, while Purple has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Lucid reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Purple reports a 5-year dividend growth of 0.00% 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 Lucid P/E ratio at -2.02 and Purple's P/E ratio at -440.68. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Lucid P/B ratio is 2.23 while Purple's P/B ratio is 2.47.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Lucid has seen a 5-year revenue growth of 0.55%, while Purple's is 1.77%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Lucid's ROE at -72.28% and Purple's ROE at -0.58%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $2.45 for Lucid and R102.00 for Purple. Over the past year, Lucid's prices ranged from $1.93 to $5.26, with a yearly change of 172.54%. Purple's prices fluctuated between R46.00 and R118.00, with a yearly change of 156.52%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.