CM vs. RY, MUFG, HDB, TD, IBN, SMFG, SAN, BMO, BBVA, and ING
Should you be buying Canadian Imperial Bank of Commerce stock or one of its competitors? The main competitors of Canadian Imperial Bank of Commerce include Royal Bank of Canada (RY), Mitsubishi UFJ Financial Group (MUFG), HDFC Bank (HDB), Toronto-Dominion Bank (TD), ICICI Bank (IBN), Sumitomo Mitsui Financial Group (SMFG), Banco Santander (SAN), Bank of Montreal (BMO), Banco Bilbao Vizcaya Argentaria (BBVA), and ING Groep (ING). These companies are all part of the "commercial banks, not elsewhere classified" industry.
Canadian Imperial Bank of Commerce (NYSE:CM) and Royal Bank of Canada (NYSE:RY) are both large-cap finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, earnings, valuation, media sentiment, analyst recommendations, institutional ownership, community ranking, profitability and dividends.
Royal Bank of Canada has a net margin of 12.12% compared to Canadian Imperial Bank of Commerce's net margin of 10.46%. Royal Bank of Canada's return on equity of 14.87% beat Canadian Imperial Bank of Commerce's return on equity.
Canadian Imperial Bank of Commerce currently has a consensus target price of $67.00, indicating a potential upside of 36.76%. Royal Bank of Canada has a consensus target price of $133.25, indicating a potential upside of 25.25%. Given Canadian Imperial Bank of Commerce's higher possible upside, analysts plainly believe Canadian Imperial Bank of Commerce is more favorable than Royal Bank of Canada.
Royal Bank of Canada has higher revenue and earnings than Canadian Imperial Bank of Commerce. Canadian Imperial Bank of Commerce is trading at a lower price-to-earnings ratio than Royal Bank of Canada, indicating that it is currently the more affordable of the two stocks.
49.9% of Canadian Imperial Bank of Commerce shares are owned by institutional investors. Comparatively, 45.3% of Royal Bank of Canada shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.
Royal Bank of Canada received 219 more outperform votes than Canadian Imperial Bank of Commerce when rated by MarketBeat users. Likewise, 55.78% of users gave Royal Bank of Canada an outperform vote while only 53.55% of users gave Canadian Imperial Bank of Commerce an outperform vote.
Canadian Imperial Bank of Commerce pays an annual dividend of $2.65 per share and has a dividend yield of 5.4%. Royal Bank of Canada pays an annual dividend of $4.12 per share and has a dividend yield of 3.9%. Canadian Imperial Bank of Commerce pays out 54.5% of its earnings in the form of a dividend. Royal Bank of Canada pays out 51.1% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Canadian Imperial Bank of Commerce has a beta of 1.06, suggesting that its share price is 6% more volatile than the S&P 500. Comparatively, Royal Bank of Canada has a beta of 0.87, suggesting that its share price is 13% less volatile than the S&P 500.
In the previous week, Royal Bank of Canada had 11 more articles in the media than Canadian Imperial Bank of Commerce. MarketBeat recorded 27 mentions for Royal Bank of Canada and 16 mentions for Canadian Imperial Bank of Commerce. Canadian Imperial Bank of Commerce's average media sentiment score of 0.56 beat Royal Bank of Canada's score of 0.38 indicating that Canadian Imperial Bank of Commerce is being referred to more favorably in the media.
Summary
Royal Bank of Canada beats Canadian Imperial Bank of Commerce on 14 of the 20 factors compared between the two stocks.
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This chart shows the number of new MarketBeat users adding CM and its top 5 competitors to their watchlist. Each company is represented with a line over a 90 day period.
This chart shows the average media sentiment of NYSE and its competitors over the past 90 days as caculated by MarketBeat. The averaged score is equivalent to the following: Very Negative Sentiment <= -1.5, Negative Sentiment > -1.5 and <= -0.5, Neutral Sentiment > -0.5 and < 0.5, Positive Sentiment >= 0.5 and < 1.5, and Very Positive Sentiment >= 1.5.
Canadian Imperial Bank of Commerce Competitors List
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