Yellow Pages vs Hipages Which Is More Favorable?

Yellow Pages and Hipages are two leading companies in the online directory and home improvement industry. While Yellow Pages has a long history and established presence in the market, Hipages is a newer player that has quickly gained popularity with its innovative platform connecting homeowners with reliable tradies. Both companies offer stocks to investors, but their business models and growth potential vary. Understanding the strengths and weaknesses of each company is crucial for investors looking to make informed decisions in this dynamic market.

Yellow Pages or Hipages?

When comparing Yellow Pages and Hipages, 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 Yellow Pages and Hipages.

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. Yellow Pages has a dividend yield of 8.35%, while Hipages has a dividend yield of -%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Yellow Pages reports a 5-year dividend growth of 0.00% year and a payout ratio of 36.28%. On the other hand, Hipages 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 Yellow Pages P/E ratio at 3.96 and Hipages's P/E ratio at 28.22. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Yellow Pages P/B ratio is 2.52 while Hipages's P/B ratio is 3.94.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Yellow Pages has seen a 5-year revenue growth of -0.24%, while Hipages's is 0.61%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Yellow Pages's ROE at 61.54% and Hipages's ROE at 13.98%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $7.44 for Yellow Pages and A$1.10 for Hipages. Over the past year, Yellow Pages's prices ranged from $6.37 to $8.61, with a yearly change of 35.10%. Hipages's prices fluctuated between A$0.63 and A$1.62, with a yearly change of 157.54%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.