UMS vs GAN Which Is Stronger?

UMS Holdings Limited and GAN Limited are two companies in the stock market that have been gaining attention from investors. UMS Holdings Limited is a leading semiconductor equipment supplier, while GAN Limited operates in the online gambling industry. Both companies have seen significant growth in recent years, with UMS experiencing increased demand for its products and services, and GAN benefiting from the growing popularity of online gambling. In this article, we will compare the performance and potential of these two stocks to help investors make informed decisions.

UMS or GAN?

When comparing UMS and GAN, 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 GAN.

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 GAN 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, GAN 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 GAN's P/E ratio at -6.35. 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 GAN's P/B ratio is -14.54.

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 GAN's is 3.10%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with UMS's ROE at 12.90% and GAN's ROE at 179.19%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are S$0.99 for UMS and $1.83 for GAN. Over the past year, UMS's prices ranged from S$0.97 to S$1.58, with a yearly change of 62.89%. GAN's prices fluctuated between $1.17 and $1.87, with a yearly change of 59.83%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.