Contrasting Commerzbank (OTCMKTS:CRZBY) and Hang Seng Bank (OTCMKTS:HSNGY)

Commerzbank (OTCMKTS:CRZBY) and Hang Seng Bank (OTCMKTS:HSNGY) are both large-cap finance companies, but which is the better stock? We will contrast the two companies based on the strength of their dividends, institutional ownership, valuation, analyst recommendations, risk, earnings and profitability.

Earnings and Valuation

This table compares Commerzbank and Hang Seng Bank”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Commerzbank	$26.54 billion	1.80	$2.97 billion	$2.53	17.21
Hang Seng Bank	$8.63 billion	4.27	$2.36 billion	N/A	N/A

Commerzbank has higher revenue and earnings than Hang Seng Bank.

Profitability

This table compares Commerzbank and Hang Seng Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Commerzbank	11.55%	7.69%	0.46%
Hang Seng Bank	N/A	N/A	N/A

Dividends

Commerzbank pays an annual dividend of $0.90 per share and has a dividend yield of 2.1%. Hang Seng Bank pays an annual dividend of $0.58 per share and has a dividend yield of 2.9%. Commerzbank pays out 35.6% of its earnings in the form of a dividend.

Analyst Recommendations

This is a summary of recent ratings for Commerzbank and Hang Seng Bank, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Commerzbank	0	4	5	1	2.70
Hang Seng Bank	1	1	0	0	1.50

Volatility & Risk

Commerzbank has a beta of 0.51, suggesting that its share price is 49% less volatile than the S&P 500. Comparatively, Hang Seng Bank has a beta of 0.17, suggesting that its share price is 83% less volatile than the S&P 500.

Summary

Commerzbank beats Hang Seng Bank on 9 of the 12 factors compared between the two stocks.

About Commerzbank

Commerzbank AG provides banking and capital market products and services to private and small business customers, corporate, financial service providers, and institutional clients in Germany, rest of Europe, the Americas, Asia, and internationally. It operates through two segments, Private and Small-Business Customers, and Corporate Clients. The company offers saving, checking, business, and current accounts; term deposits; pension; credit and debit cards; payment solutions; overdraft services; various loans; and insurance products. It also provides trade securities; treasury management; corporate financing; real estate financing; financing advisory; merger and acquisition; foreign trade; trade financing; asset and risk management; and online banking, as well as wealth management services. Commerzbank AG was founded in 1870 and is headquartered in Frankfurt am Main, Germany.

About Hang Seng Bank

Hang Seng Bank Limited, together with its subsidiaries, provides various banking and related financial services to individual, corporate, commercial, small and medium-sized enterprises, and institutional customers in Hong Kong, the Mainland of China, and internationally. It operates through five segments: Wealth and Personal Banking, Commercial Banking, Global Banking, Global Markets, and Other. The company offers personal banking services, including current and savings accounts, time deposits, mortgages and personal loans, credit cards, and insurance, investment, and other wealth management services, as well as consumer lending and wealth management services. It also provides corporate lending, trade and receivable finance, payments and cash management, treasury and foreign exchange, general insurance, key-person insurance, investment services, and corporate wealth management services; general banking and transaction banking, corporate lending, deposits, and cash management services; and tailored solutions and services in foreign exchange, bullion, equities, fixed income, and securities financing, as well as manages the funding and liquidity position activities. In addition, the company offers retirement benefits, life assurance, fund management, and stock broking services, as well as index compilation and licensing; fund raising and sales; and asset management services. It operates service outlets in Hong Kong; branches in Macau and Singapore; and representative office in Taipei, as well as a network of outlets in the Mainland of China. The company was founded in 1933 and is headquartered in Central, Hong Kong. Hang Seng Bank Limited operates as a subsidiary of The Hongkong and Shanghai Banking Corporation Limited.