Contrasting Banco Comercial Portugues (OTCMKTS:BPCGY) and Raiffeisen Bank International (OTCMKTS:RAIFY)

Banco Comercial Portugues (OTCMKTS:BPCGY) and Raiffeisen Bank International (OTCMKTS:RAIFY) are both large-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, valuation, analyst recommendations, earnings, institutional ownership, risk and dividends.

Profitability

This table compares Banco Comercial Portugues and Raiffeisen Bank International’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco Comercial Portugues	N/A	N/A	N/A
Raiffeisen Bank International	9.35%	5.13%	0.54%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Banco Comercial Portugues and Raiffeisen Bank International, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco Comercial Portugues	0	2	0	0	2.00
Raiffeisen Bank International	0	1	0	1	3.00

Dividends

Banco Comercial Portugues pays an annual dividend of $0.19 per share and has a dividend yield of 1.5%. Raiffeisen Bank International pays an annual dividend of $0.27 per share and has a dividend yield of 1.7%. Banco Comercial Portugues pays out 20.9% of its earnings in the form of a dividend. Raiffeisen Bank International pays out 29.0% 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.

Valuation & Earnings

This table compares Banco Comercial Portugues and Raiffeisen Bank International”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco Comercial Portugues	$5.82 billion	3.21	$980.79 million	$0.91	13.88
Raiffeisen Bank International	$14.76 billion	1.43	$1.55 billion	$0.93	17.25

Raiffeisen Bank International has higher revenue and earnings than Banco Comercial Portugues. Banco Comercial Portugues is trading at a lower price-to-earnings ratio than Raiffeisen Bank International, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Banco Comercial Portugues has a beta of 0.38, indicating that its share price is 62% less volatile than the S&P 500. Comparatively, Raiffeisen Bank International has a beta of 1.24, indicating that its share price is 24% more volatile than the S&P 500.

Summary

Raiffeisen Bank International beats Banco Comercial Portugues on 11 of the 13 factors compared between the two stocks.

About Banco Comercial Portugues

Banco Comercial Português, S.A., a private sector bank, engages in the provision of various banking and financial products and services in Portugal and internationally. It operates through Retail Banking; Companies, Corporate & Investment Banking; Private Banking; Foreign Business; and Other segments. It offers a range of financial products and services, including current accounts, payment systems, savings and investment products, private banking, asset management, and investment banking services, such as mortgage loans, personal loans, commercial banking, leasing, factoring and insurance, and others. The company is also involved in the provision of investment fund and real estate management, e-commerce, web portal, real estate investment fund, trade finance, trust, consulting, brokerage, marketing, and real estate services, as well as internet, telephone, and mobile banking services. Banco Comercial Português, S.A. was incorporated in 1985 and is based in Porto, Portugal.

About Raiffeisen Bank International

Raiffeisen Bank International AG, together with its subsidiaries, offers banking services to corporate, private customers, and institutional customers. The company offers cash management, cross border accounts, electronic banking, payments solutions, sustainable and subsidized financing, leveraged and acquisition financing, project and structured financing, real estate financing, leasing, factoring, trade and export financing, investment banking, investing, hedging, and investor services to its institutional clients and corporate customers in agri food and beverage, automotive, construction and building materials, food and beverage, healthcare and pharmaceuticals, oil and gas, packaging, real estate, retail, technology, telecom, and utilities industries. It also provides retail and private banking services, including deposits, loans, wealth management, and advisory services to retail customers and small and medium-sized enterprises. In addition, the company offers clearing, reporting, settlement, guarantees, letters of credit, fund administration, acceptances, brokerage, asset management, and custody services; and investment banking services, including asset based finance, fund finance and alternatives investments, loan syndication, mergers and acquisitions advisory, and debt and equity capital markets services. It operates through a network of business outlets in Central, Southeastern, and Eastern Europe, as well as Austria, Czech Republic, Hungary, Poland, and Slovakia. Raiffeisen Bank International AG was founded in 1886 and is based in Vienna, Austria.