Reviewing CaixaBank (OTCMKTS:CAIXY) & Canadian Imperial Bank of Commerce (NYSE:CM)

CaixaBank (OTCMKTS:CAIXY) and Canadian Imperial Bank of Commerce (NYSE:CM) are both large-cap finance companies, but which is the better business? We will contrast the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, earnings, profitability, risk and valuation.

Insider & Institutional Ownership

49.9% of Canadian Imperial Bank of Commerce shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares CaixaBank and Canadian Imperial Bank of Commerce’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CaixaBank	N/A	N/A	N/A
Canadian Imperial Bank of Commerce	13.57%	14.93%	0.77%

Dividends

CaixaBank pays an annual dividend of $0.07 per share and has a dividend yield of 1.7%. Canadian Imperial Bank of Commerce pays an annual dividend of $3.06 per share and has a dividend yield of 3.2%. Canadian Imperial Bank of Commerce pays out 50.2% of its earnings in the form of a dividend. Canadian Imperial Bank of Commerce has increased its dividend for 14 consecutive years. Canadian Imperial Bank of Commerce is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Risk & Volatility

CaixaBank has a beta of 0.28, suggesting that its stock price is 72% less volatile than the S&P 500. Comparatively, Canadian Imperial Bank of Commerce has a beta of 1.02, suggesting that its stock price is 2% more volatile than the S&P 500.

Earnings & Valuation

This table compares CaixaBank and Canadian Imperial Bank of Commerce”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CaixaBank	$29.05 billion	2.95	$6.66 billion	N/A	N/A
Canadian Imperial Bank of Commerce	$44.36 billion	2.02	$6.02 billion	$6.09	15.85

CaixaBank has higher earnings, but lower revenue than Canadian Imperial Bank of Commerce.

Analyst Recommendations

This is a summary of recent ratings for CaixaBank and Canadian Imperial Bank of Commerce, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CaixaBank	1	3	1	0	2.00
Canadian Imperial Bank of Commerce	0	4	4	0	2.50

Canadian Imperial Bank of Commerce has a consensus price target of $107.50, indicating a potential upside of 11.38%. Given Canadian Imperial Bank of Commerce’s stronger consensus rating and higher probable upside, analysts plainly believe Canadian Imperial Bank of Commerce is more favorable than CaixaBank.

Summary

Canadian Imperial Bank of Commerce beats CaixaBank on 11 of the 14 factors compared between the two stocks.

About CaixaBank

CaixaBank, S.A., together with its subsidiaries, provides various banking products and financial services in Spain and internationally. The company operates through Banking and Insurance, Equity Investments, and BPI segments. It also provides solutions related to security, protection, internationalization, and financing; traditional financial advice, independent advice, and broker services; asset management; liquidity management; capital markets, cash management, project finance, asset finance, and M&A services; and various financial services and solutions to public and private sector institutions, as well as distributes non-life and life risk insurance policies; and private banking services. In addition, the company is involved in the real estate business. It has branches and ATMs in Spain; and branches and ATMs in Portugal. CaixaBank, S.A. was founded in 1904 and is based in Valencia, Spain.

About Canadian Imperial Bank of Commerce

Canadian Imperial Bank of Commerce, a diversified financial institution, provides various financial products and services to personal, business, public sector, and institutional clients in Canada, the United States, and internationally. The company operates through Canadian Personal and Business Banking; Canadian Commercial Banking and Wealth Management; U.S. Commercial Banking and Wealth Management; Capital Markets and Direct Financial Services; and Corporate and Other segments. It offers checking, savings, and business accounts; mortgages; business, car, and other loans; lines of credit, student lines of credit, and agriculture loans; and small business financing and overdraft protection services. The company also provides investment and insurance services; credit cards; and ATMs, as well as mobile, online, and global money and wire transfer services. Canadian Imperial Bank of Commerce was founded in 1867 and is headquartered in Toronto, Canada.