In today's match-up of The Motley Fool's Better-Buy Tournament, Groupon squares off against New York Community Bancorp in a battle to determine which stock is the better buy now. The 64-company tournament pits two Motley Fool analysts against each other as they make the case for their stocks, with the winner determined by you, the readers.
Motley Fool consumer-goods editor Mark Reeth thinks Groupon (GRPN) is about to see a lot of growth thanks to the development of its Groupon Goods marketplace. There are only a few thousand items for sale in the marketplace, but as Groupon guides more users to the service, they'll be sure to add more things to the shelves. Getting users to the marketplace shouldn't be that hard for the company, since half of all users accessed the site through mobile devices, meaning they don't have to be in front of a computer to make a purchase. Between that and the company's stronger balance sheet thanks to decreased SG&A costs, Groupon looks like a great growth pick.
Imagine a company that has delivered a remarkable return of 4,300% since its IPO in 1993, versus a 500% return of the S&P 500. Sound too good to be true? It isn't, according to Motley Fool analyst Patrick Morris. And while you may imagine it's a technology firm, it's actually the regional banking titan New York Community Bancorp (NYCB 1.85%).
When you consider its remarkable discipline which has led to astounding growth, a great return on tangible equity of 16%, a reasonable valuation, and astounding safety, you'd be hard pressed to find a better buy in March or any other month, Patrick says.
Watch these analysts square off in the following video, and then vote for a winner. Then check out the other companies in The Motley Fool's Better-Buy Bracket.
This year's winning stock?
There's a huge difference between a good stock and a stock that can make you rich. The Motley Fool's chief investment officer has selected his No. 1 stock for 2014, and it's one of those stocks that could make you rich. You can find out which stock it is in the special free report "The Motley Fool's Top Stock for 2014." Just click here to access the report and find out the name of this under-the-radar company.
Cast your vote in the poll below the video!