Sysco vs UnitedHealth

Sysco Corporation and UnitedHealth Group Incorporated are two leading companies in the stock market. Sysco is a global leader in foodservice distribution, while UnitedHealth is the largest healthcare company in the world. Both companies have seen impressive growth in recent years, with Sysco benefiting from the rise in demand for food delivery services and UnitedHealth thriving in the healthcare sector. Investors looking for stable and lucrative investments may find these stocks appealing due to their strong market positions and consistent financial performance.

Sysco or UnitedHealth?

When comparing Sysco and UnitedHealth, 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 Sysco and UnitedHealth.

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. Sysco has a dividend yield of 2.67%, while UnitedHealth has a dividend yield of 1.97%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Sysco reports a 5-year dividend growth of 6.58% year and a payout ratio of 51.56%. On the other hand, UnitedHealth reports a 5-year dividend growth of 0.00% year and a payout ratio of 50.63%.

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 Sysco P/E ratio at 19.17 and UnitedHealth's P/E ratio at 1.27. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Sysco P/B ratio is 20.14 while UnitedHealth's P/B ratio is 0.20.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Sysco has seen a 5-year revenue growth of 0.34%, while UnitedHealth's is 0.71%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Sysco's ROE at 92.10% and UnitedHealth's ROE at 15.92%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $75.46 for Sysco and C$26.10 for UnitedHealth. Over the past year, Sysco's prices ranged from $64.16 to $82.89, with a yearly change of 29.19%. UnitedHealth's prices fluctuated between C$21.03 and C$29.08, with a yearly change of 38.28%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.