MC vs RM Which Is More Favorable?
MC vs RM stocks are two popular investment options for individuals looking to diversify their portfolio. MC stocks typically refer to mid-cap companies, which are established but still have room for growth. On the other hand, RM stocks are typically considered to be more stable and reliable, as they come from well-established companies with a history of consistent performance. Both types of stocks have their own unique advantages and risks, making them suitable for different investment goals. Understanding the differences between MC and RM stocks can help investors make informed decisions about their investment strategy.
MC or RM?
When comparing MC and RM, 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 MC and RM.
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.
MC has a dividend yield of 8.26%, while RM has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. MC reports a 5-year dividend growth of 2.96% year and a payout ratio of 89.20%. On the other hand, RM 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 MC P/E ratio at 11.29 and RM's P/E ratio at -1.36. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. MC P/B ratio is 2.31 while RM's P/B ratio is 5.22.
Growth Investors:
Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, MC has seen a 5-year revenue growth of 0.10%, while RM's is -0.13%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with MC's ROE at 20.32% and RM's ROE at -311.10%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are ฿10.70 for MC and £75.50 for RM. Over the past year, MC's prices ranged from ฿9.65 to ฿14.90, with a yearly change of 54.40%. RM's prices fluctuated between £45.61 and £106.00, with a yearly change of 132.39%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.