Company X and Company Y are in the same industry and have the following ratios:

	Company X	Company Y	Industry Average
Current Ratio	1.2	0.89	1.1
Debt/equity	0.20	0.40	0.3
total asset turnover	1.9	2.1	2.5
net profit margin	4.2%	3.8%	4.0%
return on equity	12.4%	14.8%	15.0%
dividend payout ratio	25.0%	10.0%	20.0%

Discuss the relative natures of the two companies in terms of risk and return. Identify the more growth-oriented firm and justify your selection. Support your discussion and conclusions by referring to the ratios.