Bank of Communications (OTCMKTS:BCMXY) vs. Banco de Sabadell (OTCMKTS:BNDSY) Financial Contrast

Banco de Sabadell (OTCMKTS:BNDSY) and Bank of Communications (OTCMKTS:BCMXY) are both financial services companies, but which is the superior investment? We will contrast the two businesses based on the strength of their dividends, risk, earnings, institutional ownership, profitability, valuation and analyst recommendations.

Dividends

Banco de Sabadell pays an annual dividend of $0.01 per share and has a dividend yield of 0.6%. Bank of Communications pays an annual dividend of $1.12 per share and has a dividend yield of 7.5%. Banco de Sabadell pays out 8.4% of its earnings in the form of a dividend. Bank of Communications pays out 26.5% 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.

Earnings & Valuation

This table compares Banco de Sabadell and Bank of Communications’ gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco de Sabadell	N/A	N/A	N/A	$0.16	14.99
Bank of Communications	$77.53 billion	0.58	$13.69 billion	$4.23	3.55

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

Profitability

This table compares Banco de Sabadell and Bank of Communications’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco de Sabadell	N/A	N/A	N/A
Bank of Communications	19.02%	9.10%	0.71%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Banco de Sabadell and Bank of Communications, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco de Sabadell	0	0	0	0	N/A
Bank of Communications	0	0	0	0	N/A

Summary

Bank of Communications beats Banco de Sabadell on 6 of the 8 factors compared between the two stocks.

About Banco de Sabadell

Banco de Sabadell, S.A. provides banking products and services to personal, business, and private customers in Spain and internationally. The company offers retail banking products, such as current and savings accounts, personal loans, cards, and mortgages. It also provides financial products and services to large and medium enterprises, SMEs, shops and self-employed workers, private individuals, and professionals; and consumer finance, asset management, and bancassurance services. In addition, the company offers corporate banking services, including financing services, transactional banking services, and other complex custom solutions in finance, treasury, and import/export, among others. Further, it provides insurance and pension products. Banco de Sabadell, S.A. was founded in 1881 and is based in Alicante, Spain.

About Bank of Communications

Bank of Communications Co., Ltd. provides commercial banking products and services. It offers personal deposit products including savings, and personal certificate and structured deposits; personal loan, consumption, housing, mortgage loan, commercial housing, and business loans; and debit and credit card services. The company also provides investment services, which includes funds, insurance, financial products, trust, asset management, and precious metals and commodities trading services, as well as operates banking securities and future business; exclusive services, such as ward fortune, salary payment, community finance, value-added, and junior finance. In addition, it offers foreign exchange services comprising personal foreign exchange settlement and sale, exchange trading, and international money transfer services, as well as cross-border study abroad finance, and business travel services. Further, the company provides business banking services, which includes deposit wealth and cash management, industry chain and government, auto, and shipping finance, as well as investment banking, asset custody, and enterprise annuity account management services; and basic, online and international trade finance, and billing services. It also offers international business services, such as cross-border, exchange rate management, foreign exchange wealth management, international settlement, trade finance, letter of credit, and correspondent banking, as well as operates domestic and overseas linkage, and electronic business. Additionally, it provides bond underwriting, and equity financing and supporting M&A advisory and financing services; offshore and trust business services; leasing services; consignment financial management services; and operates bank-securities, insurance, non-banking financial institution, financial market, money and bond market, forex, and derivatives. The company was founded in 1908 and is headquartered in Shanghai, the People's Republic of China.