HSBC (HSBC) Competitors

Bank of America (NYSE:BAC) and HSBC (NYSE:HSBC) are both large-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their dividends, media sentiment, earnings, profitability, valuation, community ranking, analyst recommendations, institutional ownership and risk.

Which has higher valuation & earnings, BAC or HSBC?

Bank of America has higher revenue and earnings than HSBC. HSBC is trading at a lower price-to-earnings ratio than Bank of America, 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
Bank of America	$103.44B	3.25	$27.13B	$3.36	13.28
HSBC	$68.12B	3.11	$23.53B	$5.45	11.00

Does the media favor BAC or HSBC?

In the previous week, Bank of America had 94 more articles in the media than HSBC. MarketBeat recorded 121 mentions for Bank of America and 27 mentions for HSBC. Bank of America's average media sentiment score of 0.90 beat HSBC's score of 0.50 indicating that Bank of America is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Bank of America	65 Very Positive mention(s)	30 Positive mention(s)	23 Neutral mention(s)	1 Negative mention(s)	1 Very Negative mention(s)	Positive
HSBC	13 Very Positive mention(s)	4 Positive mention(s)	7 Neutral mention(s)	2 Negative mention(s)	1 Very Negative mention(s)	Positive

Do institutionals & insiders have more ownership in BAC or HSBC?

70.7% of Bank of America shares are held by institutional investors. Comparatively, 1.5% of HSBC shares are held by institutional investors. 0.3% of Bank of America shares are held by company insiders. Comparatively, 0.0% of HSBC shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Is BAC or HSBC a better dividend stock?

Bank of America pays an annual dividend of $1.04 per share and has a dividend yield of 2.3%. HSBC pays an annual dividend of $1.98 per share and has a dividend yield of 3.3%. Bank of America pays out 31.0% of its earnings in the form of a dividend. HSBC pays out 36.3% 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. Bank of America has increased its dividend for 11 consecutive years.

Do analysts rate BAC or HSBC?

Bank of America presently has a consensus price target of $47.50, suggesting a potential upside of 6.45%. Given Bank of America's stronger consensus rating and higher probable upside, equities research analysts plainly believe Bank of America is more favorable than HSBC.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bank of America	1 Sell rating(s)	5 Hold rating(s)	17 Buy rating(s)	4 Strong Buy rating(s)	2.89
HSBC	0 Sell rating(s)	3 Hold rating(s)	1 Buy rating(s)	1 Strong Buy rating(s)	2.60

Does the MarketBeat Community favor BAC or HSBC?

Bank of America received 1178 more outperform votes than HSBC when rated by MarketBeat users. Likewise, 64.75% of users gave Bank of America an outperform vote while only 58.23% of users gave HSBC an outperform vote.

Company	Underperform	Outperform
Bank of America	Outperform Votes 2144 64.75%	Underperform Votes 1167 35.25%
HSBC	Outperform Votes 966 58.23%	Underperform Votes 693 41.77%

Is BAC or HSBC more profitable?

HSBC has a net margin of 16.17% compared to Bank of America's net margin of 14.10%. HSBC's return on equity of 12.20% beat Bank of America's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Bank of America	14.10%	10.29%	0.84%
HSBC	16.17%	12.20%	0.79%

Which has more risk and volatility, BAC or HSBC?

Bank of America has a beta of 1.27, indicating that its stock price is 27% more volatile than the S&P 500. Comparatively, HSBC has a beta of 0.53, indicating that its stock price is 47% less volatile than the S&P 500.

Summary

Bank of America beats HSBC on 18 of the 22 factors compared between the two stocks.