Secure Trust Bank (STB) Competitors

Secure Trust Bank (LON:STB) and Close Brothers Group (LON:CBG) are both small-cap financial services companies, but which is the better investment? We will compare the two businesses based on the strength of their institutional ownership, media sentiment, dividends, valuation, risk, profitability, earnings and analyst recommendations.

Does the media favor STB or CBG?

In the previous week, Secure Trust Bank had 1 more articles in the media than Close Brothers Group. MarketBeat recorded 3 mentions for Secure Trust Bank and 2 mentions for Close Brothers Group. Secure Trust Bank's average media sentiment score of 1.63 beat Close Brothers Group's score of 0.58 indicating that Secure Trust Bank is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Secure Trust Bank	1 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Very Positive
Close Brothers Group	1 Very Positive mention(s)	0 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is STB or CBG more profitable?

Close Brothers Group has a net margin of 7.79% compared to Secure Trust Bank's net margin of 7.20%. Secure Trust Bank's return on equity of 7.43% beat Close Brothers Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Secure Trust Bank	7.20%	7.43%	0.72%
Close Brothers Group	7.79%	5.78%	0.73%

Do institutionals and insiders believe in STB or CBG?

73.4% of Secure Trust Bank shares are owned by institutional investors. Comparatively, 75.3% of Close Brothers Group shares are owned by institutional investors. 14.9% of Secure Trust Bank shares are owned by insiders. Comparatively, 2.9% of Close Brothers Group shares are owned by insiders. 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.

Which has better earnings and valuation, STB or CBG?

Close Brothers Group has higher revenue and earnings than Secure Trust Bank. Close Brothers Group is trading at a lower price-to-earnings ratio than Secure Trust Bank, 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
Secure Trust Bank	£361.02M	0.60	£26.00M	£135.17	8.47
Close Brothers Group	£1.30B	0.60	£101.11M	£66.37	7.77

Which has more risk & volatility, STB or CBG?

Secure Trust Bank has a beta of 0.87, meaning that its share price is 13% less volatile than the S&P 500. Comparatively, Close Brothers Group has a beta of 0.82, meaning that its share price is 18% less volatile than the S&P 500.

Is STB or CBG a better dividend stock?

Secure Trust Bank pays an annual dividend of GBX 28 per share and has a dividend yield of 2.4%. Close Brothers Group pays an annual dividend of GBX 68 per share and has a dividend yield of 13.2%. Secure Trust Bank pays out 20.7% of its earnings in the form of a dividend. Close Brothers Group pays out 102.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Do analysts rate STB or CBG?

Close Brothers Group has a consensus price target of GBX 468.33, suggesting a potential downside of 9.24%. Given Close Brothers Group's stronger consensus rating and higher probable upside, analysts plainly believe Close Brothers Group is more favorable than Secure Trust Bank.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Secure Trust Bank	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
Close Brothers Group	0 Sell rating(s)	3 Hold rating(s)	3 Buy rating(s)	0 Strong Buy rating(s)	2.50

Summary

Secure Trust Bank and Close Brothers Group tied by winning 9 of the 18 factors compared between the two stocks.