NatWest Group (NWG) Competitors

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

Do institutionals and insiders believe in HSBA or NWG?

28.2% of HSBC shares are owned by institutional investors. Comparatively, 25.5% of NatWest Group shares are owned by institutional investors. 0.1% of HSBC shares are owned by company insiders. Comparatively, 0.2% of NatWest Group shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Is HSBA or NWG more profitable?

HSBC has a net margin of 34.63% compared to NatWest Group's net margin of 18.21%. NatWest Group's return on equity of 13.29% beat HSBC's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
HSBC	34.63%	12.54%	0.80%
NatWest Group	18.21%	13.29%	0.64%

Which has more volatility and risk, HSBA or NWG?

HSBC has a beta of 0.52, indicating that its stock price is 48% less volatile than the S&P 500. Comparatively, NatWest Group has a beta of 1.28, indicating that its stock price is 28% more volatile than the S&P 500.

Which has preferable valuation and earnings, HSBA or NWG?

HSBC has higher revenue and earnings than NatWest Group. NatWest Group is trading at a lower price-to-earnings ratio than HSBC, 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	£69.07B	2.53	£29.03B	£1.01	998.00
NatWest Group	£15.50B	2.75	£4.43B	£0.60	887.92

Is HSBA or NWG a better dividend stock?

HSBC pays an annual dividend of GBX 0.64 per share and has a dividend yield of 0.1%. NatWest Group pays an annual dividend of GBX 0.22 per share and has a dividend yield of 0.0%. HSBC pays out 63.8% of its earnings in the form of a dividend. NatWest Group pays out 36.1% 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.

Does the media refer more to HSBA or NWG?

In the previous week, NatWest Group had 1 more articles in the media than HSBC. MarketBeat recorded 12 mentions for NatWest Group and 11 mentions for HSBC. NatWest Group's average media sentiment score of 1.13 beat HSBC's score of 0.22 indicating that NatWest Group is being referred to more favorably in the news media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
HSBC	0 Very Positive mention(s)	5 Positive mention(s)	4 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Neutral
NatWest Group	8 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Do analysts prefer HSBA or NWG?

HSBC currently has a consensus price target of GBX 980.83, suggesting a potential downside of 2.69%. NatWest Group has a consensus price target of GBX 613.33, suggesting a potential upside of 15.90%. Given NatWest Group's stronger consensus rating and higher possible upside, analysts plainly believe NatWest Group is more favorable than HSBC.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HSBC	0 Sell rating(s)	4 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	2.33
NatWest Group	0 Sell rating(s)	2 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.67

Summary

NatWest Group beats HSBC on 10 of the 18 factors compared between the two stocks.