Mosaic vs Tapestry Which Is More Promising?

Mosaic and Tapestry are two popular stocks in the retail and fashion industry that offer investors unique opportunities. Mosaic, a leading producer and marketer of crop nutrition products, provides exposure to the global agriculture market. On the other hand, Tapestry, a luxury accessories and lifestyle brand, offers investors a chance to capitalize on the high-end fashion industry. Both companies have distinct business models and growth prospects, making them attractive options for investors seeking diversification in their portfolios.

Mosaic or Tapestry?

When comparing Mosaic and Tapestry, 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 Mosaic and Tapestry.

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. Mosaic has a dividend yield of 4.06%, while Tapestry has a dividend yield of 2.2%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Mosaic reports a 5-year dividend growth of 60.04% year and a payout ratio of 91.57%. On the other hand, Tapestry reports a 5-year dividend growth of -0.75% year and a payout ratio of 39.95%.

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 Mosaic P/E ratio at 21.97 and Tapestry's P/E ratio at 18.22. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Mosaic P/B ratio is 0.69 while Tapestry's P/B ratio is 4.94.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Mosaic has seen a 5-year revenue growth of 0.66%, while Tapestry's is 0.37%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Mosaic's ROE at 3.11% and Tapestry's ROE at 28.55%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $25.60 for Mosaic and $63.25 for Tapestry. Over the past year, Mosaic's prices ranged from $24.12 to $38.30, with a yearly change of 58.79%. Tapestry's prices fluctuated between $32.27 and $65.30, with a yearly change of 102.36%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.