Roland vs Cricut Which Is Superior?

Roland and Cricut are two of the leading companies in the crafting and manufacturing industry, particularly known for their cutting machines. Both companies offer a range of products that cater to different needs and preferences, with Roland focusing on professional-grade equipment while Cricut targets hobbyists and small business owners. Investors interested in this niche market may want to compare the financial performance and growth potential of Roland and Cricut stocks to make informed decisions about their investment portfolio.

Roland or Cricut?

When comparing Roland and Cricut, 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 Roland and Cricut.

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. Roland has a dividend yield of 4.2%, while Cricut has a dividend yield of 8.38%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Roland reports a 5-year dividend growth of -51.18% year and a payout ratio of 54.45%. On the other hand, Cricut reports a 5-year dividend growth of 0.00% year and a payout ratio of 177.01%.

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 Roland P/E ratio at 12.85 and Cricut's P/E ratio at 20.62. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Roland P/B ratio is 2.43 while Cricut's P/B ratio is 2.69.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Roland has seen a 5-year revenue growth of 0.67%, while Cricut's is 1.30%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Roland's ROE at 20.99% and Cricut's ROE at 12.37%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥4025.00 for Roland and $5.85 for Cricut. Over the past year, Roland's prices ranged from ¥3200.00 to ¥5030.00, with a yearly change of 57.19%. Cricut's prices fluctuated between $4.43 and $8.40, with a yearly change of 89.62%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.