Nexus vs Supreme

Nexus and Supreme stocks are two well-known companies in the financial world that have garnered attention from investors and traders alike. Nexus, known for its innovative technology solutions and strong industry presence, has seen consistent growth in the market. On the other hand, Supreme stocks have become a favorite among value investors due to their solid financial performance and stable dividend payments. Both companies offer unique investment opportunities for those looking to diversify their portfolio and capitalize on market trends.

Nexus or Supreme?

When comparing Nexus and Supreme, 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 Nexus and Supreme.

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. Nexus has a dividend yield of 0.41%, while Supreme has a dividend yield of 2.9%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Nexus reports a 5-year dividend growth of 5.59% year and a payout ratio of 14.84%. On the other hand, Supreme reports a 5-year dividend growth of 0.00% year and a payout ratio of 19.36%.

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 Nexus P/E ratio at 36.15 and Supreme's P/E ratio at 8.96. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Nexus P/B ratio is 3.57 while Supreme's P/B ratio is 3.46.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Nexus has seen a 5-year revenue growth of 0.61%, while Supreme's is 2.53%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Nexus's ROE at 10.02% and Supreme's ROE at 42.41%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are €53.00 for Nexus and £160.87 for Supreme. Over the past year, Nexus's prices ranged from €44.30 to €62.60, with a yearly change of 41.31%. Supreme's prices fluctuated between £87.00 and £209.70, with a yearly change of 141.03%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.