Hope Bancorp (NASDAQ:HOPE) & DBS Group (OTCMKTS:DBSDY) Financial Contrast

DBS Group (OTCMKTS:DBSDY) and Hope Bancorp (NASDAQ:HOPE) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their institutional ownership, profitability, dividends, valuation, analyst recommendations, risk and earnings.

Analyst Recommendations

This is a summary of recent recommendations and price targets for DBS Group and Hope Bancorp, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
DBS Group	0	1	1	0	2.50
Hope Bancorp	0	2	1	0	2.33

Hope Bancorp has a consensus price target of $11.83, suggesting a potential upside of 11.95%. Given Hope Bancorp’s higher probable upside, analysts clearly believe Hope Bancorp is more favorable than DBS Group.

Valuation & Earnings

This table compares DBS Group and Hope Bancorp’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
DBS Group	$25.60 billion	2.95	$7.49 billion	N/A	N/A
Hope Bancorp	$549.92 million	2.33	$133.67 million	$1.00	10.62

DBS Group has higher revenue and earnings than Hope Bancorp.

Insider & Institutional Ownership

0.2% of DBS Group shares are held by institutional investors. Comparatively, 84.0% of Hope Bancorp shares are held by institutional investors. 5.3% of Hope Bancorp shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Dividends

DBS Group pays an annual dividend of $5.57 per share and has a dividend yield of 5.2%. Hope Bancorp pays an annual dividend of $0.56 per share and has a dividend yield of 5.3%. Hope Bancorp pays out 56.0% of its earnings in the form of a dividend.

Profitability

This table compares DBS Group and Hope Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
DBS Group	N/A	N/A	N/A
Hope Bancorp	10.80%	6.43%	0.69%

Risk and Volatility

DBS Group has a beta of 0.86, suggesting that its share price is 14% less volatile than the S&P 500. Comparatively, Hope Bancorp has a beta of 1.15, suggesting that its share price is 15% more volatile than the S&P 500.

Summary

Hope Bancorp beats DBS Group on 8 of the 13 factors compared between the two stocks.

About DBS Group

DBS Group Holdings Ltd provides commercial banking and financial services in Singapore, Hong Kong, rest of Greater China, South and Southeast Asia, and internationally. The company's Consumer Banking/Wealth Management segment offers banking and related financial services, including current and savings accounts, fixed deposits, loans and home finance, cards, payments, investment, and insurance products for individual customers. Its Institutional Banking segment provides financial services and products for bank and non-bank financial institutions, government-linked companies, large corporates, and small and medium sized businesses. Its products and services comprise short-term working capital financing and specialized lending; cash management, trade finance, and securities and fiduciary services; treasury and markets products; and corporate finance and advisory banking, as well as capital markets solutions. The company's Treasury Markets segment is involved in the structuring, market-making, and trading in a range of treasury products. DBS Group Holdings Ltd was founded in 1968 and is headquartered in Singapore.

About Hope Bancorp

Hope Bancorp, Inc. operates as the bank holding company for Bank of Hope that provides retail and commercial banking services for businesses and individuals in the United States. It accepts personal and business checking, money market, savings, time deposit, and individual retirement accounts. The company also offers loans comprising commercial and industrial loans to businesses for various purposes, such as working capital, purchasing inventory, debt refinancing, business acquisitions, international trade finance, other business-related financing, and loans syndication services; commercial real estate loans; residential mortgage loans; small business administration loans; and consumer loans, such as single-family mortgage, home equity, automobile, credit card, and personal loans. In addition, it provides internet banking and bill-pay, remote deposit capture, lock box, and ACH origination services; treasury management services; foreign currency exchange transactions; interest rate contracts and wealth management services; automated teller machine services; and engages in investment activities. Hope Bancorp, Inc. was founded in 1986 and is headquartered in Los Angeles, California.