SoFi Technologies vs Citizens Which Is More Attractive?

SoFi Technologies and Citizens Financial Group are two prominent players in the financial services sector, with a focus on different aspects of the industry. SoFi Technologies is a technology platform that offers a range of financial products, including loans, investments, and insurance. On the other hand, Citizens Financial Group is a traditional bank offering banking services, loans, and wealth management solutions. Both companies have experienced growth in recent years, but have different business models and strategies guiding their operations. Investors looking to capitalize on this sector may want to explore the potential of both SoFi Technologies and Citizens Financial Group stocks.

SoFi Technologies or Citizens?

When comparing SoFi Technologies and Citizens, 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 SoFi Technologies and Citizens.

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. SoFi Technologies has a dividend yield of -%, while Citizens has a dividend yield of 7.23%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. SoFi Technologies reports a 5-year dividend growth of 0.00% year and a payout ratio of 17.23%. On the other hand, Citizens reports a 5-year dividend growth of -5.59% year and a payout ratio of 377.59%.

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 SoFi Technologies P/E ratio at 79.55 and Citizens's P/E ratio at 69.46. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. SoFi Technologies P/B ratio is 2.78 while Citizens's P/B ratio is 1.16.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, SoFi Technologies has seen a 5-year revenue growth of -0.18%, while Citizens's is -0.07%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with SoFi Technologies's ROE at 3.61% and Citizens's ROE at 1.83%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $15.73 for SoFi Technologies and $8.85 for Citizens. Over the past year, SoFi Technologies's prices ranged from $6.01 to $16.61, with a yearly change of 176.37%. Citizens's prices fluctuated between $6.64 and $9.65, with a yearly change of 45.33%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.