Snap vs Meta

Snap Inc. and Meta Platforms Inc. (formerly Facebook Inc.) are two tech giants that have revolutionized the way people communicate and socialize online. While Snap is known for its popular photo-sharing app, Snapchat, Meta Platforms is the parent company of social media platforms like Facebook, Instagram, and WhatsApp. Both companies have seen immense growth in recent years, but their approaches to social networking and advertising differ significantly. Let's delve deeper into a comparison of Snap vs Meta stocks to understand how these tech giants are performing in the market.

Snap or Meta?

When comparing Snap and Meta, 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 Snap and Meta.

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. Snap has a dividend yield of -%, while Meta has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Snap reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Meta 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 Snap P/E ratio at -15.52 and Meta's P/E ratio at -3.83. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Snap P/B ratio is 8.79 while Meta's P/B ratio is 0.22.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Snap has seen a 5-year revenue growth of 2.15%, while Meta's is -1.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Snap's ROE at -51.41% and Meta's ROE at -5.84%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $10.86 for Snap and ฿0.14 for Meta. Over the past year, Snap's prices ranged from $8.29 to $17.90, with a yearly change of 115.92%. Meta's prices fluctuated between ฿0.11 and ฿0.25, with a yearly change of 127.27%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.