UMS vs AM Which Offers More Value?

UMS Holdings Limited and Advanced Micro Devices, Inc. are two distinct companies operating in the technology sector with a focus on semiconductor production. UMS is a Singapore-based company that specializes in the manufacturing and assembly of semiconductor components, while AMD is a multinational semiconductor company headquartered in the United States, known for its production of microprocessors and graphics cards. Both companies have a strong presence in the industry, but their approaches and offerings differ in terms of technology, market positioning, and customer base. This comparison aims to highlight the key differences and similarities between UMS and AMD stocks for potential investors seeking to understand and evaluate their investment opportunities in the semiconductor sector.

UMS or AM?

When comparing UMS and AM, 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 UMS and AM.

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. UMS has a dividend yield of 5.4%, while AM has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. UMS reports a 5-year dividend growth of 14.04% year and a payout ratio of 76.66%. On the other hand, AM 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 UMS P/E ratio at 14.19 and AM's P/E ratio at -1.91. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. UMS P/B ratio is 1.73 while AM'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, UMS has seen a 5-year revenue growth of 1.35%, while AM's is 0.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with UMS's ROE at 12.90% and AM's ROE at -11.30%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are S$0.99 for UMS and HK$0.05 for AM. Over the past year, UMS's prices ranged from S$0.97 to S$1.58, with a yearly change of 62.89%. AM's prices fluctuated between HK$0.04 and HK$0.10, with a yearly change of 134.09%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.