Meta vs Nokia Which Is More Profitable?

Meta Platforms Inc., formerly known as Facebook, and Nokia Corporation are two prominent companies in the tech industry with their stocks being closely watched by investors. Meta, being a social media giant, has seen fluctuations in its stock price due to various controversies and regulatory concerns. On the other hand, Nokia, a well-established telecommunications company, has been slowly making a comeback in the market. This comparison between the two companies' stocks provides insight into the contrasting paths they have taken in recent years.

Meta or Nokia?

When comparing Meta and Nokia, 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 Meta and Nokia.

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. Meta has a dividend yield of -%, while Nokia has a dividend yield of 3.23%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Meta reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Nokia reports a 5-year dividend growth of 0.00% year and a payout ratio of 173.43%.

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 Meta P/E ratio at -2.97 and Nokia's P/E ratio at 56.21. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Meta P/B ratio is 0.20 while Nokia's P/B ratio is 1.11.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Meta has seen a 5-year revenue growth of -1.00%, while Nokia's is -0.02%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Meta's ROE at -6.21% and Nokia's ROE at 1.97%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ฿0.12 for Meta and $4.41 for Nokia. Over the past year, Meta's prices ranged from ฿0.11 to ฿0.21, with a yearly change of 90.91%. Nokia's prices fluctuated between $3.20 and $4.95, with a yearly change of 54.69%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.