Standard Chartered (OTCMKTS:SCBFF) and Danske Bank (OTCMKTS:DNKEY) Financial Survey

Standard Chartered (OTCMKTS:SCBFF) and Danske Bank (OTCMKTS:DNKEY) are both large-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their earnings, valuation, dividends, profitability, institutional ownership, risk and analyst recommendations.

Dividends

Standard Chartered pays an annual dividend of $0.98 per share and has a dividend yield of 3.7%. Danske Bank pays an annual dividend of $1.57 per share and has a dividend yield of 5.9%. Standard Chartered pays out 47.8% of its earnings in the form of a dividend. Danske Bank pays out 72.4% 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.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Standard Chartered and Danske Bank, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Standard Chartered	0	3	4	0	2.57
Danske Bank	0	2	4	0	2.67

Profitability

This table compares Standard Chartered and Danske Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Standard Chartered	13.63%	11.07%	0.66%
Danske Bank	40.38%	13.14%	0.62%

Earnings and Valuation

This table compares Standard Chartered and Danske Bank”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Standard Chartered	$39.53 billion	1.51	$5.09 billion	$2.05	12.84
Danske Bank	$8.61 billion	5.03	$3.49 billion	$2.17	12.22

Standard Chartered has higher revenue and earnings than Danske Bank. Danske Bank is trading at a lower price-to-earnings ratio than Standard Chartered, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Standard Chartered has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500. Comparatively, Danske Bank has a beta of 0.6, indicating that its share price is 40% less volatile than the S&P 500.

About Standard Chartered

Standard Chartered PLC, together with its subsidiaries, provides various banking products and services in Asia, Africa, the Middle East, Europe, and the Americas. The company operates in three segments: Corporate, Commercial & Institutional Banking; Consumer, Private & Business Banking; and Ventures. It offers retail products, such as deposits, mortgages, credit cards, and personal loans; wealth management products and services that include investments, portfolio management, insurance, and wealth advice; and transaction banking services, such as cash management, working capital, and trade financing products. The company provides financial markets products and services that comprise project and export financing; debt capital markets and leveraged financing; financing and securities services; sales and structuring; macro, commodities, and credit trading; and market research services. In addition, it offers digital banking solutions. It serves financial institutions, governments, banks, investors, corporations, small to medium-sized businesses, and individuals. Standard Chartered PLC was founded in 1853 and is headquartered in London, the United Kingdom.

About Danske Bank

Danske Bank A/S provides various banking products and services to corporate, institutional, and international clients. The company offers insurance and pension products, mortgage finance and real-estate brokerage services, asset management and trading services in fixed income products, foreign exchange services, and equities. It also provides advisory services to personal and private banking customers; and business advisory services, including acquisition, change of ownership, strategic development, or international expansion. In addition, the company offers financing, risk management, investment, and financial advisory services for large corporates and institutions; healthcare solutions; and online and mobile banking services. It has operations in Denmark, Finland, Sweden, Norway, the United Kingdom, and internationally. The company was founded in 1871 and is headquartered in Copenhagen, Denmark.