WW vs Kindred Which Offers More Value?

WW International, formerly known as Weight Watchers, and Kindred Healthcare are two companies operating in different sectors but both in the healthcare industry. WW International focuses on providing weight management services and wellness programs, while Kindred Healthcare offers a range of healthcare services such as rehabilitation, long-term acute care, and home health. Both companies have experienced growth and success in their respective niches, making them attractive options for investors looking to diversify their portfolios in the healthcare sector.

WW or Kindred?

When comparing WW and Kindred, 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 WW and Kindred.

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. WW has a dividend yield of 5.03%, while Kindred has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. WW reports a 5-year dividend growth of 0.00% year and a payout ratio of 0.00%. On the other hand, Kindred reports a 5-year dividend growth of -7.69% year and a payout ratio of 55.42%.

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 WW P/E ratio at 10.14 and Kindred's P/E ratio at 30.01. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. WW P/B ratio is 1.95 while Kindred's P/B ratio is 3.44.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, WW has seen a 5-year revenue growth of 0.07%, while Kindred's is 0.37%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with WW's ROE at 20.79% and Kindred's ROE at 12.17%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are NT$104.00 for WW and kr129.00 for Kindred. Over the past year, WW's prices ranged from NT$96.90 to NT$135.00, with a yearly change of 39.32%. Kindred's prices fluctuated between kr82.38 and kr130.00, with a yearly change of 57.81%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.