Overstock.com vs ASOS Which Is Superior?

Overstock.com and ASOS are two prominent online retailers, each with distinct profiles in the stock market. Overstock.com, a US-based company, has had a turbulent history in the stock market, experiencing significant fluctuations in price. On the other hand, ASOS, a UK-based e-commerce giant, has shown more stability and consistent growth in its stock value. Both companies operate in the competitive online retail sector, but their performances in the stock market demonstrate varying levels of investor confidence and market perception.

Overstock.com or ASOS?

When comparing Overstock.com and ASOS, 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 Overstock.com and ASOS.

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. Overstock.com has a dividend yield of -%, while ASOS has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Overstock.com reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, ASOS 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 Overstock.com P/E ratio at -0.84 and ASOS's P/E ratio at -1.80. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Overstock.com P/B ratio is 1.45 while ASOS's P/B ratio is 0.72.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Overstock.com has seen a 5-year revenue growth of -0.43%, while ASOS's is 0.17%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Overstock.com's ROE at -123.84% and ASOS's ROE at -33.38%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $6.20 for Overstock.com and $4.71 for ASOS. Over the past year, Overstock.com's prices ranged from $6.20 to $39.18, with a yearly change of 531.90%. ASOS's prices fluctuated between $4.11 and $5.89, with a yearly change of 43.31%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.