United Spirits vs UNITED Which Is a Smarter Choice?

United Spirits and UNITED stocks are two distinct entities in the financial world. United Spirits is a leading alcoholic beverages company based in India, known for its popular brands like McDowell's and Royal Challenge. On the other hand, UNITED stocks refers to a generic term used to describe stocks of companies with the word "United" in their name. While United Spirits is a specific company with its own performance and financial health, UNITED stocks represent a broader range of companies with varying levels of success and market performance. It is important to differentiate between the two when discussing investment strategies and financial analysis.

United Spirits or UNITED?

When comparing United Spirits and UNITED, 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 United Spirits and UNITED.

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. United Spirits has a dividend yield of 0.33%, while UNITED has a dividend yield of 3.03%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. United Spirits reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, UNITED reports a 5-year dividend growth of 6.43% 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 United Spirits P/E ratio at 75.70 and UNITED's P/E ratio at 51.06. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. United Spirits P/B ratio is 14.06 while UNITED's P/B ratio is 1.39.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, United Spirits has seen a 5-year revenue growth of 0.22%, while UNITED's is -0.46%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with United Spirits's ROE at 26.30% and UNITED's ROE at 2.56%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ₹1500.55 for United Spirits and ¥789.00 for UNITED. Over the past year, United Spirits's prices ranged from ₹1043.35 to ₹1648.40, with a yearly change of 57.99%. UNITED's prices fluctuated between ¥670.00 and ¥953.00, with a yearly change of 42.24%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.