SEM vs PPC Which Is More Lucrative?
SEM (Search Engine Marketing) and PPC (Pay-Per-Click) stocks are two popular investment options in the digital marketing industry. SEM refers to the practice of increasing a website's visibility through paid search advertising, while PPC is a specific form of SEM that involves advertisers paying a fee each time their ad is clicked. Both types of stocks offer investors the opportunity to capitalize on the growing importance of online advertising and can provide significant returns for those who choose wisely.
SEM or PPC?
When comparing SEM and PPC, 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 SEM and PPC.
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.
SEM has a dividend yield of -%, while PPC has a dividend yield of 0.72%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. SEM reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, PPC 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 SEM P/E ratio at -5.02 and PPC's P/E ratio at 15.61. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. SEM P/B ratio is 0.48 while PPC's P/B ratio is 0.93.
Growth Investors:
Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, SEM has seen a 5-year revenue growth of 0.40%, while PPC's is -0.04%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with SEM's ROE at -9.48% and PPC's ROE at 5.92%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are HK$0.05 for SEM and $0.29 for PPC. Over the past year, SEM's prices ranged from HK$0.04 to HK$0.06, with a yearly change of 74.29%. PPC's prices fluctuated between $0.29 and $0.43, with a yearly change of 48.79%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.