Inter & Co. Inc. (NASDAQ:INTR) vs. Alerus Financial (NASDAQ:ALRS) Financial Review

Inter & Co. Inc. (NASDAQ:INTR) and Alerus Financial (NASDAQ:ALRS) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, institutional ownership, earnings, profitability and dividends.

Analyst Ratings

This is a summary of recent recommendations for Inter & Co. Inc. and Alerus Financial, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Inter & Co. Inc.	1	3	3	0	2.29
Alerus Financial	0	5	2	0	2.29

Inter & Co. Inc. presently has a consensus price target of $9.80, indicating a potential upside of 121.22%. Alerus Financial has a consensus price target of $35.75, indicating a potential upside of 10.92%. Given Inter & Co. Inc.’s higher probable upside, equities analysts clearly believe Inter & Co. Inc. is more favorable than Alerus Financial.

Institutional & Insider Ownership

22.9% of Inter & Co. Inc. shares are owned by institutional investors. Comparatively, 51.2% of Alerus Financial shares are owned by institutional investors. 4.3% of Alerus Financial shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Inter & Co. Inc. and Alerus Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Inter & Co. Inc.	N/A	N/A	N/A
Alerus Financial	N/A	N/A	N/A

Valuation & Earnings

This table compares Inter & Co. Inc. and Alerus Financial”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Inter & Co. Inc.	$9.64 billion	0.20	$291.27 million	$0.66	6.71
Alerus Financial	N/A	N/A	N/A	$1.06	30.41

Inter & Co. Inc. has higher revenue and earnings than Alerus Financial. Inter & Co. Inc. is trading at a lower price-to-earnings ratio than Alerus Financial, indicating that it is currently the more affordable of the two stocks.

Summary

Alerus Financial beats Inter & Co. Inc. on 4 of the 7 factors compared between the two stocks.

About Inter & Co. Inc.

Inter & Co., Inc. Is a holding company, which engages in the provision of financial products and services. It operates through the following segments: Banking, Securities, Insurance Brokerage, Marketplace, Asset Management, Service, and Other. The Banking segment offers checking accounts cards, deposits, loans and advances, and other services through mobile application. The Securities segment is involved in the acquisition, sale and custody of securities, the structuring and distribution of securities in the capital market, and the provision of administration services to investment funds. The Insurance Brokerage segment includes insurance products underwritten by insurance companies, such as warranties, life, property and automobile insurance, and pension products, as well as consortium products provided by a third party. The Marketplace segment operates a digital platform, which offers goods and services to its customers. The Asset Management segment is composed of the operations related to the management of fund portfolios and other assets. The Service segment consists of collection and management of personal information, development and licensing of customized computer programs, development and licensing of non-customized computer programs and technical support, maintenance, and other information technology services. The company was founded on January 26, 2021 and is headquartered in Belo Horizonte, Brazil.

About Alerus Financial

Alerus Financial Corporation operates as the bank holding company for Alerus Financial, National Association that engages in the provision of various financial services to businesses and consumers. The company operates in four segments: Banking, Mortgage, Retirement and Benefit Services, and Wealth Management. It offers various deposit products, including demand deposits, interest-bearing transaction accounts, money market accounts, time and savings deposits, checking accounts, and certificates of deposit; and treasury management products, including electronic receivables management, remote deposit capture, cash vault services, merchant services, and other cash management services. The company also provides commercial loans, business term loans, lines of credit, and commercial real estate loans, as well as construction and land development loans; consumer lending products, including residential first mortgage loans; installment loans and lines of credit; and second mortgage loans. In addition, it offers retirement plan administration and investment advisory services, employee stock ownership plan, fiduciary services, payroll, health savings accounts, and other benefit services, as well as individual retirement accounts; and financial planning, investment management, personal and corporate trust, estate administration, and custody services. Further, the company provides debit and credit cards, online banking, mobile banking/wallet, payment, private banking, payroll accounts, flex spending accounts, administration, and government health insurance program services. It offers banking services in North Dakota, Minnesota, and Arizona; and retirement and benefit plans through offices located in Michigan, Minnesota, and Colorado. The company was formerly known as First National Bank North Dakota and changed its name to Alerus Financial Corporation in 2000. Alerus Financial Corporation was founded in 1879 and is headquartered in Grand Forks, North Dakota.