Grupo Supervielle (NYSE:SUPV) and Hanmi Financial (NASDAQ:HAFC) Head-To-Head Review

Grupo Supervielle (NYSE:SUPV) and Hanmi Financial (NASDAQ:HAFC) are both small-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their dividends, analyst recommendations, valuation, profitability, earnings, institutional ownership and risk.

Valuation and Earnings

This table compares Grupo Supervielle and Hanmi Financial”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grupo Supervielle	$1.65 billion	0.38	-$38.87 million	($0.63)	-11.27
Hanmi Financial	$444.90 million	2.09	$76.09 million	$2.97	10.57

Hanmi Financial has lower revenue, but higher earnings than Grupo Supervielle. Grupo Supervielle is trading at a lower price-to-earnings ratio than Hanmi Financial, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of recent ratings for Grupo Supervielle and Hanmi Financial, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grupo Supervielle	1	4	2	0	2.14
Hanmi Financial	0	4	2	0	2.33

Grupo Supervielle presently has a consensus target price of $13.17, indicating a potential upside of 85.42%. Hanmi Financial has a consensus target price of $33.00, indicating a potential upside of 5.14%. Given Grupo Supervielle’s higher possible upside, analysts clearly believe Grupo Supervielle is more favorable than Hanmi Financial.

Insider and Institutional Ownership

88.7% of Hanmi Financial shares are owned by institutional investors. 2.1% of Hanmi Financial shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Grupo Supervielle and Hanmi Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grupo Supervielle	-3.60%	-2.67%	-0.35%
Hanmi Financial	19.82%	11.20%	1.13%

Risk and Volatility

Grupo Supervielle has a beta of 1.54, indicating that its share price is 54% more volatile than the S&P 500. Comparatively, Hanmi Financial has a beta of 0.75, indicating that its share price is 25% less volatile than the S&P 500.

Summary

Hanmi Financial beats Grupo Supervielle on 10 of the 13 factors compared between the two stocks.

About Grupo Supervielle

Grupo Supervielle S.A., a financial services holding company, provides various banking products and services in Argentina. The company operates through Personal & Business Banking, Corporate Banking, Bank Treasury, Consumer Finance, Insurance, and Asset Management and Other Services segments. It offers savings accounts, time and demand deposits, and checking accounts; various loan products, including personal, consumer, mortgage, unsecured, and car loans; overdrafts; loans with special facilities for project and working capital financing; and leasing, bank guarantees for tenants, salary advances, domestic and international factoring, international guarantees and letters of credit, payroll payment plans, credit and debit cards, and senior citizens benefit payment services, as well as financial services and investments, such as mutual funds and guarantees. The company also provides foreign trade and cash management; advisory services; treasury services; insurance products comprising life, home, personal accidents, technology, ATMs, protected bag, and protected content; and asset management and other services, as well as operates as a digital online broker. It operates through a network of bank branches, ATMs, and self-service terminals, as well as ATMs with biometric identification. The company was formerly known as Inversiones y Participaciones S.A. and changed its name to Grupo Supervielle S.A. in November 2008. Grupo Supervielle S.A. was founded in 1887 and is based in Buenos Aires, Argentina.

About Hanmi Financial

Hanmi Financial Corporation operates as the holding company for Hanmi Bank that provides business banking products and services in the United States. It offers various deposit products, including noninterest-bearing checking accounts, savings accounts, negotiable order of withdrawal accounts, money market accounts, and certificates of deposit. The company also provides real estate loans, such as commercial property, construction, and residential property loans; and commercial and industrial loans, such as commercial term loans and commercial lines of credit; and international finance and trade services and products, such as letters of credit, and import and export financing. In addition, it offers small business administration loans for business purposes, which comprise owner-occupied commercial real estate, business acquisitions, start-ups, franchise financing, working capital, improvements and renovations, inventory and equipment, and debt-refinancing, as well as equipment lease financing. The company was founded in 1982 and is headquartered in Los Angeles, California.