Saudi Aramco Base Oil - Luberef vs HP Which Is More Profitable?

Saudi Aramco Base Oil is a leading supplier of high-quality base oils for various applications, including lubricants. Two of its subsidiaries, Luberef and HP stocks, offer different base oil products with distinct features and benefits. Luberef specializes in producing Group I and Group II base oils, known for their excellent oxidation stability and thermal resistance. On the other hand, HP stocks focuses on Group III base oils, which have superior viscosity index and low volatility. Both companies cater to the diverse needs of customers in the lubricant industry, ensuring top-notch performance and reliability.

Saudi Aramco Base Oil - Luberef or HP?

When comparing Saudi Aramco Base Oil - Luberef and HP, 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 Saudi Aramco Base Oil - Luberef and HP.

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. Saudi Aramco Base Oil - Luberef has a dividend yield of 7.56%, while HP has a dividend yield of 3.19%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Saudi Aramco Base Oil - Luberef reports a 5-year dividend growth of 0.00% year and a payout ratio of 163.01%. On the other hand, HP reports a 5-year dividend growth of 12.96% year and a payout ratio of 38.74%.

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 Saudi Aramco Base Oil - Luberef P/E ratio at 18.59 and HP's P/E ratio at 12.09. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Saudi Aramco Base Oil - Luberef P/B ratio is 4.63 while HP's P/B ratio is 11.34.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Saudi Aramco Base Oil - Luberef has seen a 5-year revenue growth of 1.37%, while HP's is 0.50%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Saudi Aramco Base Oil - Luberef's ROE at 23.17% and HP's ROE at -1122.35%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ر.س113.80 for Saudi Aramco Base Oil - Luberef and $34.26 for HP. Over the past year, Saudi Aramco Base Oil - Luberef's prices ranged from ر.س107.20 to ر.س179.00, with a yearly change of 66.98%. HP's prices fluctuated between $27.43 and $39.80, with a yearly change of 45.10%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.