Mowi vs SalMar Which Is More Favorable?

Mowi and SalMar are two prominent companies in the aquaculture industry, both based in Norway. Mowi, formerly known as Marine Harvest, is one of the largest producers of farmed salmon globally, while SalMar is also a key player in the industry. Investors often compare the performance of these two stocks, as they compete in the same market and face similar challenges. The stock prices of Mowi and SalMar are influenced by factors such as fish prices, global demand for seafood, and regulatory policies.

Mowi or SalMar?

When comparing Mowi and SalMar, 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 Mowi and SalMar.

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. Mowi has a dividend yield of 3.31%, while SalMar has a dividend yield of 6.24%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Mowi reports a 5-year dividend growth of -6.43% year and a payout ratio of 68.87%. On the other hand, SalMar reports a 5-year dividend growth of 0.00% year and a payout ratio of 142.84%.

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 Mowi P/E ratio at 21.32 and SalMar's P/E ratio at 22.42. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Mowi P/B ratio is 2.52 while SalMar's P/B ratio is 4.30.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Mowi has seen a 5-year revenue growth of 0.40%, while SalMar's is 7.50%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Mowi's ROE at 11.79% and SalMar's ROE at 17.65%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $18.52 for Mowi and $12.75 for SalMar. Over the past year, Mowi's prices ranged from $15.89 to $19.80, with a yearly change of 24.61%. SalMar's prices fluctuated between $11.60 and $17.20, with a yearly change of 48.28%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.