Union vs Central Which Is a Better Investment?
Union and Central are two major players in the stock market, each with their own unique offerings and advantages. Union stocks are known for their stability and conservative approach, appealing to investors looking for long-term growth. Central stocks, on the other hand, are more aggressive and cater to those seeking higher returns in a shorter timeframe. Both have their strengths and weaknesses, making it important for investors to carefully consider their investment goals and risk tolerance before choosing between the two.
Union or Central?
When comparing Union and Central, 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 Union and Central.
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.
Union has a dividend yield of 2.64%, while Central has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Union reports a 5-year dividend growth of 4.56% year and a payout ratio of -12.67%. On the other hand, Central 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 Union P/E ratio at -4.77 and Central's P/E ratio at -278.55. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Union P/B ratio is 0.61 while Central's P/B ratio is 44.92.
Growth Investors:
Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Union has seen a 5-year revenue growth of -0.03%, while Central's is 0.00%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Union's ROE at -12.20% and Central's ROE at -14.50%.
Retail Investors:
Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₩4500.00 for Union and HK$7.94 for Central. Over the past year, Union's prices ranged from ₩3360.00 to ₩7040.00, with a yearly change of 109.52%. Central's prices fluctuated between HK$4.24 and HK$9.99, with a yearly change of 135.61%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.