NWS vs BASE

NWS vs BASE stocks are two different types of investments that cater to different types of investors. NWS stocks, also known as non-weather sensitive stocks, are companies that are not impacted by weather conditions and are more stable in nature. On the other hand, BASE stocks, or weather-sensitive stocks, are companies whose performance is directly influenced by weather patterns. Understanding the differences between these two types of stocks can help investors make more informed decisions about where to allocate their resources for optimal returns.

NWS or BASE?

When comparing NWS and BASE, 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 NWS and BASE.

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. NWS has a dividend yield of 27.13%, while BASE has a dividend yield of 3.26%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. NWS reports a 5-year dividend growth of -4.80% year and a payout ratio of 65.86%. On the other hand, BASE reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%.

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 NWS P/E ratio at 14.87 and BASE's P/E ratio at 16.36. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. NWS P/B ratio is 0.80 while BASE's P/B ratio is 4.53.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, NWS has seen a 5-year revenue growth of -0.02%, while BASE's is 1.16%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with NWS's ROE at 5.23% and BASE's ROE at 29.58%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$7.70 for NWS and ¥3050.00 for BASE. Over the past year, NWS's prices ranged from HK$6.28 to HK$9.43, with a yearly change of 50.16%. BASE's prices fluctuated between ¥2191.00 and ¥4510.00, with a yearly change of 105.84%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.