Sapporo vs Asahi Which Is More Promising?

Sapporo Holdings and Asahi Group Holdings are two major players in the Japanese beverage industry, particularly known for their beer production. Both companies have a strong presence in the market and are well-known for their high-quality products. Sapporo has been in operation since 1876 and is recognized for its premium beers, while Asahi has a more diverse portfolio of alcoholic and non-alcoholic beverages. Investors often compare the performance of these two stocks to make informed decisions about their investment portfolios.

Sapporo or Asahi?

When comparing Sapporo and Asahi, 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 Sapporo and Asahi.

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. Sapporo has a dividend yield of 0.65%, while Asahi has a dividend yield of 3.16%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Sapporo reports a 5-year dividend growth of 2.28% year and a payout ratio of 18.42%. On the other hand, Asahi 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 Sapporo P/E ratio at 28.48 and Asahi's P/E ratio at 11.34. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Sapporo P/B ratio is 2.78 while Asahi's P/B ratio is 0.99.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Sapporo has seen a 5-year revenue growth of -0.01%, while Asahi's is 0.36%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Sapporo's ROE at 10.58% and Asahi's ROE at 9.06%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥7230.00 for Sapporo and ¥1483.00 for Asahi. Over the past year, Sapporo's prices ranged from ¥5120.00 to ¥8014.00, with a yearly change of 56.52%. Asahi's prices fluctuated between ¥1239.00 and ¥1755.00, with a yearly change of 41.65%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.