Comparing Banco Itaú Chile (ITCL) & Its Competitors

Banco Itaú Chile (NYSE:ITCL – Get Rating) is one of 70 publicly-traded companies in the “Commercial banks, not elsewhere classified” industry, but how does it compare to its competitors? We will compare Banco Itaú Chile to similar companies based on the strength of its analyst recommendations, valuation, profitability, earnings, institutional ownership, risk and dividends.

Profitability

This table compares Banco Itaú Chile and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco Itaú Chile	11.23%	13.12%	1.06%
Banco Itaú Chile Competitors	19.03%	12.05%	0.98%

Volatility & Risk

Banco Itaú Chile has a beta of 0.98, suggesting that its stock price is 2% less volatile than the S&P 500. Comparatively, Banco Itaú Chile’s competitors have a beta of 0.94, suggesting that their average stock price is 6% less volatile than the S&P 500.

Dividends

Banco Itaú Chile pays an annual dividend of $0.17 per share and has a dividend yield of 4.9%. Banco Itaú Chile pays out 24.3% of its earnings in the form of a dividend. As a group, “Commercial banks, not elsewhere classified” companies pay a dividend yield of 2.4% and pay out 17.1% of their earnings in the form of a dividend.

Earnings & Valuation

This table compares Banco Itaú Chile and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Banco Itaú Chile	$2.94 billion	$487.62 million	4.99
Banco Itaú Chile Competitors	$13.23 billion	$3.08 billion	9.16

Banco Itaú Chile’s competitors have higher revenue and earnings than Banco Itaú Chile. Banco Itaú Chile is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Insider & Institutional Ownership

0.2% of Banco Itaú Chile shares are held by institutional investors. Comparatively, 26.0% of shares of all “Commercial banks, not elsewhere classified” companies are held by institutional investors. 6.8% of shares of all “Commercial banks, not elsewhere classified” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of recent recommendations for Banco Itaú Chile and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco Itaú Chile	0	0	0	0	N/A
Banco Itaú Chile Competitors	627	2237	2268	59	2.34

As a group, “Commercial banks, not elsewhere classified” companies have a potential upside of 81.03%. Given Banco Itaú Chile’s competitors higher possible upside, analysts clearly believe Banco Itaú Chile has less favorable growth aspects than its competitors.

Summary

Banco Itaú Chile competitors beat Banco Itaú Chile on 8 of the 12 factors compared.

About Banco Itaú Chile

(Get Rating)

Banco Itau Chile engages in the provision of banking and financial services. It specializes in banking products such as financing, leasing, loans, insurance and credit cards. It operates through the following geographical segments: Chile and Colombia. The Chile segment consists of commercial and corporate banking, real estate and construction, large companies, retail banking, personal banking, small business, retail companies, Banco Condell consumer banking, international and treasury and other financial services. The Colombia segment offers commercial and retail banking and treasury and international business operations. The company was founded in 1871 and is headquartered in Las Condes, Chile.