New Relic vs SolarWinds Which Is More Lucrative?

New Relic and SolarWinds are two prominent companies in the field of IT infrastructure monitoring and performance management. Both companies offer software solutions that help businesses track and optimize the performance of their applications and systems. New Relic is known for its cloud-based platform that provides real-time insights into application performance, while SolarWinds offers a range of monitoring tools for networks, servers, and applications. Investors looking to capitalize on the growing demand for performance monitoring solutions may find opportunities in both New Relic and SolarWinds stocks.

New Relic or SolarWinds?

When comparing New Relic and SolarWinds, 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 New Relic and SolarWinds.

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. New Relic has a dividend yield of 0%, while SolarWinds has a dividend yield of 6.79%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. New Relic reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, SolarWinds reports a 5-year dividend growth of 0.00% year and a payout ratio of 435.01%.

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 New Relic P/E ratio at 0.00 and SolarWinds's P/E ratio at 64.72. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. New Relic P/B ratio is 0.00 while SolarWinds's P/B ratio is 1.83.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, New Relic has seen a 5-year revenue growth of 0.00%, while SolarWinds's is -0.61%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with New Relic's ROE at 0.00% and SolarWinds's ROE at 2.87%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $0.00 for New Relic and $14.57 for SolarWinds. Over the past year, New Relic's prices ranged from $0.00 to $86.96, with a yearly change of 0.00%. SolarWinds's prices fluctuated between $10.14 and $14.93, with a yearly change of 47.24%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.