RM (RM) Competitors

RM (LON:RM) and McBride (LON:MCB) are both small-cap banking companies, but which is the superior business? We will contrast the two businesses based on the strength of their analyst recommendations, institutional ownership, risk, earnings, media sentiment, profitability, valuation and dividends.

Which has preferable valuation and earnings, RM or MCB?

McBride has higher revenue and earnings than RM. RM is trading at a lower price-to-earnings ratio than McBride, 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
RM	£189.50M	0.45	-£47.32M	-£55.02	-1.85
McBride	£930.83M	0.23	£33.16M	£19.57	6.42

Is RM or MCB more profitable?

McBride has a net margin of 3.56% compared to RM's net margin of -24.97%. McBride's return on equity of 62.24% beat RM's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
RM	-24.97%	-311.10%	-1.51%
McBride	3.56%	62.24%	8.54%

Which has more risk & volatility, RM or MCB?

RM has a beta of 2.19, meaning that its stock price is 119% more volatile than the S&P 500. Comparatively, McBride has a beta of 1.17, meaning that its stock price is 17% more volatile than the S&P 500.

Is RM or MCB a better dividend stock?

RM pays an annual dividend of GBX 8 per share and has a dividend yield of 7.8%. McBride pays an annual dividend of GBX 1 per share and has a dividend yield of 0.8%. RM pays out -14.5% of its earnings in the form of a dividend. McBride pays out 5.1% 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. RM is clearly the better dividend stock, given its higher yield and lower payout ratio.

Do institutionals and insiders have more ownership in RM or MCB?

63.5% of RM shares are owned by institutional investors. Comparatively, 72.7% of McBride shares are owned by institutional investors. 20.1% of RM shares are owned by insiders. Comparatively, 5.8% of McBride shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Does the media refer more to RM or MCB?

In the previous week, RM and RM both had 9 articles in the media. RM's average media sentiment score of 0.43 beat McBride's score of 0.34 indicating that RM is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
RM	0 Very Positive mention(s)	3 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
McBride	2 Very Positive mention(s)	0 Positive mention(s)	7 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Summary

McBride beats RM on 8 of the 14 factors compared between the two stocks.