Oracle vs QUALCOMM Which Is More Promising?

Oracle Corporation and QUALCOMM are two highly successful technology companies that operate in different sectors within the industry. Oracle is primarily focused on providing software and cloud services, while QUALCOMM specializes in developing semiconductors and telecommunications equipment. Both companies have experienced fluctuations in their stock prices over the years, impacted by various factors such as market trends, competition, and regulatory challenges. Investors looking to add tech stocks to their portfolio should carefully evaluate the strengths and weaknesses of Oracle and QUALCOMM before making any investment decisions.

Oracle or QUALCOMM ?

When comparing Oracle 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 Oracle 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. Oracle has a dividend yield of 0.99%, while QUALCOMM has a dividend yield of 1.61%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Oracle reports a 5-year dividend growth of 11.95% year and a payout ratio of 38.04%. On the other hand, QUALCOMM reports a 5-year dividend growth of 6.20% year and a payout ratio of 35.38%.

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 Oracle P/E ratio at 38.77 and QUALCOMM 's P/E ratio at 16.67. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Oracle P/B ratio is 32.79 while QUALCOMM 's P/B ratio is 6.54.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Oracle has seen a 5-year revenue growth of 0.78%, while QUALCOMM 's is 0.74%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Oracle's ROE at 119.57% and QUALCOMM 's ROE at 41.27%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $157.05 for Oracle and $153.03 for QUALCOMM . Over the past year, Oracle's prices ranged from $110.67 to $198.31, with a yearly change of 79.19%. QUALCOMM 's prices fluctuated between $149.43 and $230.63, with a yearly change of 54.34%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.