Will vs Gift Which Offers More Value?

Will vs. gift stocks is a decision that many investors grapple with when considering how to pass on their assets to loved ones. A will allows for control over the distribution of stocks after death, while gifting stocks allows for a more immediate transfer of ownership. Both options have their benefits and drawbacks, with wills providing more flexibility and control, while gifts can help reduce estate taxes and simplify the inheritance process. Ultimately, the choice between wills and gifts will depend on individual circumstances and preferences.

Will or Gift?

When comparing Will and Gift, 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 Will and Gift.

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. Will has a dividend yield of 4.55%, while Gift has a dividend yield of 0.53%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Will reports a 5-year dividend growth of 0.00% year and a payout ratio of 47.76%. On the other hand, Gift reports a 5-year dividend growth of 5.92% 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 Will P/E ratio at 10.40 and Gift's P/E ratio at 36.90. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Will P/B ratio is 1.26 while Gift's P/B ratio is 8.52.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Will has seen a 5-year revenue growth of 0.31%, while Gift's is 1.70%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Will's ROE at 12.70% and Gift's ROE at 25.02%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are ¥966.00 for Will and ¥3365.00 for Gift. Over the past year, Will's prices ranged from ¥889.00 to ¥1238.00, with a yearly change of 39.26%. Gift's prices fluctuated between ¥1966.00 and ¥3715.00, with a yearly change of 88.96%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.