HSBC (HSBA) Competitors

HSBC (LON:HSBA) and Banco Santander (LON:BNC) are both large-cap financial services companies, but which is the superior stock? We will contrast the two companies based on the strength of their earnings, risk, analyst recommendations, dividends, valuation, profitability, media sentiment and institutional ownership.

Do insiders and institutionals hold more shares of HSBA or BNC?

45.8% of HSBC shares are owned by institutional investors. Comparatively, 32.0% of Banco Santander shares are owned by institutional investors. 0.3% of HSBC shares are owned by company insiders. Comparatively, 1.5% of Banco Santander shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Which has more volatility & risk, HSBA or BNC?

HSBC has a beta of 0.52, meaning that its stock price is 48% less volatile than the S&P 500. Comparatively, Banco Santander has a beta of 1.32, meaning that its stock price is 32% more volatile than the S&P 500.

Is HSBA or BNC more profitable?

HSBC has a net margin of 34.63% compared to Banco Santander's net margin of 20.05%. Banco Santander's return on equity of 12.99% beat HSBC's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
HSBC	34.63%	12.54%	0.80%
Banco Santander	20.05%	12.99%	0.73%

Does the media favor HSBA or BNC?

In the previous week, HSBC had 16 more articles in the media than Banco Santander. MarketBeat recorded 19 mentions for HSBC and 3 mentions for Banco Santander. Banco Santander's average media sentiment score of 0.44 beat HSBC's score of 0.33 indicating that Banco Santander is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
HSBC	2 Very Positive mention(s)	4 Positive mention(s)	10 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Neutral
Banco Santander	1 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Do analysts recommend HSBA or BNC?

HSBC presently has a consensus price target of GBX 947.86, indicating a potential upside of 0.71%. Given HSBC's stronger consensus rating and higher probable upside, equities research analysts clearly believe HSBC is more favorable than Banco Santander.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HSBC	0 Sell rating(s)	4 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.43
Banco Santander	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00

Is HSBA or BNC a better dividend stock?

HSBC pays an annual dividend of GBX 48 per share and has a dividend yield of 5.1%. Banco Santander pays an annual dividend of GBX 17 per share and has a dividend yield of 2.5%. HSBC pays out 46.2% of its earnings in the form of a dividend. Banco Santander pays out 26.6% 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.

Which has stronger earnings & valuation, HSBA or BNC?

HSBC has higher revenue and earnings than Banco Santander. HSBC is trading at a lower price-to-earnings ratio than Banco Santander, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HSBC	£83.82B	2.51	£29.03B	£103.98	9.05
Banco Santander	£70.85B	1.73	£14.20B	£63.81	10.49

Summary

HSBC beats Banco Santander on 12 of the 18 factors compared between the two stocks.