NVIDIA vs QUALCOMM Which Outperforms?

NVIDIA and Qualcomm are two prominent players in the semiconductor industry, known for their cutting-edge technologies and innovations. While both companies operate in the highly competitive market of microprocessors, they have distinct focuses - NVIDIA is renowned for its high-performance GPUs used in gaming and artificial intelligence applications, while Qualcomm specializes in mobile communication technologies. Investors often compare and contrast these two tech giants, as their stock performances reflect their respective strengths, weaknesses, and market strategies.

NVIDIA or QUALCOMM ?

When comparing NVIDIA and QUALCOMM , 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 NVIDIA and QUALCOMM .

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. NVIDIA has a dividend yield of 0.03%, while QUALCOMM has a dividend yield of 2.14%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. NVIDIA reports a 5-year dividend growth of -23.48% year and a payout ratio of 1.09%. On the other hand, QUALCOMM reports a 5-year dividend growth of 5.33% year and a payout ratio of 36.35%.

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 NVIDIA P/E ratio at 52.54 and QUALCOMM 's P/E ratio at 17.20. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. NVIDIA P/B ratio is 50.28 while QUALCOMM 's P/B ratio is 6.64.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, NVIDIA has seen a 5-year revenue growth of 1.68%, while QUALCOMM 's is 1.06%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with NVIDIA's ROE at 116.71% and QUALCOMM 's ROE at 41.20%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $133.80 for NVIDIA and $156.04 for QUALCOMM . Over the past year, NVIDIA's prices ranged from $46.05 to $152.89, with a yearly change of 232.04%. QUALCOMM 's prices fluctuated between $134.94 and $230.63, with a yearly change of 70.91%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.