Banco Santander (Brasil) (NYSE:BSBR) and DNB Bank ASA (OTCMKTS:DNBBY) Financial Contrast

Banco Santander (Brasil) (NYSE:BSBR) and DNB Bank ASA (OTCMKTS:DNBBY) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, valuation, profitability, institutional ownership, risk, dividends and earnings.

Risk & Volatility

Banco Santander (Brasil) has a beta of 1.05, suggesting that its stock price is 5% more volatile than the S&P 500. Comparatively, DNB Bank ASA has a beta of 1.26, suggesting that its stock price is 26% more volatile than the S&P 500.

Dividends

Banco Santander (Brasil) pays an annual dividend of $0.24 per share and has a dividend yield of 4.7%. DNB Bank ASA pays an annual dividend of $0.97 per share and has a dividend yield of 5.1%. DNB Bank ASA pays out 41.3% of its earnings in the form of a dividend.

Insider and Institutional Ownership

14.5% of Banco Santander (Brasil) shares are owned by institutional investors. 0.1% of Banco Santander (Brasil) shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Banco Santander (Brasil) and DNB Bank ASA’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco Santander (Brasil)	N/A	N/A	N/A
DNB Bank ASA	21.11%	14.54%	1.06%

Analyst Ratings

This is a summary of current recommendations for Banco Santander (Brasil) and DNB Bank ASA, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco Santander (Brasil)	1	1	0	0	1.50
DNB Bank ASA	0	0	0	0	N/A

Banco Santander (Brasil) currently has a consensus target price of $5.60, suggesting a potential upside of 9.59%. Given Banco Santander (Brasil)’s higher probable upside, analysts clearly believe Banco Santander (Brasil) is more favorable than DNB Bank ASA.

Earnings and Valuation

This table compares Banco Santander (Brasil) and DNB Bank ASA’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco Santander (Brasil)	$29.50 billion	0.64	$1.89 billion	N/A	N/A
DNB Bank ASA	$17.13 billion	N/A	$3.62 billion	$2.35	8.14

DNB Bank ASA has lower revenue, but higher earnings than Banco Santander (Brasil).

Summary

DNB Bank ASA beats Banco Santander (Brasil) on 6 of the 11 factors compared between the two stocks.

About Banco Santander (Brasil)

Banco Santander (Brasil) S.A., together with its subsidiaries, provides various banking products and services to individuals, small and medium enterprises, and corporate customers in Brazil and internationally. The company operates through Commercial Banking and Global Wholesale Banking segments. It offers local loans, commercial financing options, development bank funds, and cash management services; export and import financing, guarantees, structuring of asset services. In addition, the company provides financing and advisory services for infrastructure projects and capital markets instruments, as well as offers equity transactions and mergers and acquisitions services. Further, it offers foreign exchange products, derivatives, and investments to institutional investors, corporate clients, and individuals. Additionally, the company provides research services, as well as offers brokerage services for corporate, institutional, and individual investors. Furthermore, it provides deposits and other bank funding instruments, and debit and credit cards. The company provides financial services and products to its customers through multichannel distribution network comprising branches, mini-branches, ATMs, call centers, Internet banking, and mobile banking. Banco Santander (Brasil) S.A. was incorporated in 1985 and is headquartered in São Paulo, Brazil. The company operates as a subsidiary of Banco Santander, S.A.

About DNB Bank ASA

DNB Bank ASA provides financial services for individual and business customers in Norway and internationally. The company offers savings, current, and pension accounts; fixed rate and security deposits; home and cabin mortgages, car and consumer loans, business loans, and refinancing; car, house, home contents, travel, personal, and non-life insurance product; payment services; and online and mobile banking services, as well as cards. It also provides overdraft facilities; leasing services; factoring, supply chain, and receivable purchase financing services; bank guarantee, secure trading, documentary collection, and letter of credit services; investment banking services, such as mergers and acquisition, equity and debt capital market, shares and securities, mutual funds and trading, and bonds and commodities; and private financing, as well as equity trading, foreign exchange, interest rates, and risk advisory services. In addition, the company offers treasury management, working capital, trade finance, auto lease and equipment financing, and corporate finance services, as well as act as an estate agents. DNB Bank ASA was founded in 1822 and is headquartered in Oslo, Norway.