Banco Do Brasil (OTCMKTS:BDORY) & Chiba Bank (OTCMKTS:CHBAY) Financial Review

Banco Do Brasil (OTCMKTS:BDORY) and Chiba Bank (OTCMKTS:CHBAY) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, earnings, profitability, risk, analyst recommendations, valuation and dividends.

Dividends

Banco Do Brasil pays an annual dividend of $0.05 per share and has a dividend yield of 1.2%. Chiba Bank pays an annual dividend of $1.07 per share and has a dividend yield of 2.2%. Banco Do Brasil pays out 10.2% of its earnings in the form of a dividend. Chiba Bank pays out 29.9% 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.

Profitability

This table compares Banco Do Brasil and Chiba Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco Do Brasil	4.99%	15.84%	1.21%
Chiba Bank	20.18%	6.59%	0.35%

Analyst Recommendations

This is a summary of recent ratings and price targets for Banco Do Brasil and Chiba Bank, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco Do Brasil	0	3	0	0	2.00
Chiba Bank	0	1	0	0	2.00

Insider & Institutional Ownership

0.0% of Banco Do Brasil shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Risk and Volatility

Banco Do Brasil has a beta of 0.64, suggesting that its stock price is 36% less volatile than the S&P 500. Comparatively, Chiba Bank has a beta of 0.23, suggesting that its stock price is 77% less volatile than the S&P 500.

Earnings & Valuation

This table compares Banco Do Brasil and Chiba Bank”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco Do Brasil	$55.92 billion	0.43	$6.57 billion	$0.49	8.55
Chiba Bank	$2.38 billion	3.34	$490.11 million	$3.58	13.79

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

Summary

Banco Do Brasil beats Chiba Bank on 7 of the 12 factors compared between the two stocks.

About Banco Do Brasil

Banco do Brasil S.A. provides banking products and services for individuals, companies, and public sectors in Brazil and internationally. The company's Banking segment offers various products and services, including deposits, loans, and services to retail, wholesale, and public sector markets, as well as to micro-entrepreneurs and the low income population. Its Investments segment engages in the intermediation and distribution of debts in the primary and secondary markets; equity investment activities; and rendering of financial services. The company's Fund Management segment is involved in the purchase, sale, and custody of securities, as well as the management of portfolios, and investment funds and clubs. Its Insurance, Pension and Capitalization segment provides life, property, and automobile insurance products, as well as private pension and capitalization plans. The company's Payment Methods segment is involved in the funding, transmission, processing, and settlement of transactions through electronic means. Its Other segment engages in the provision of credit recovery and consortium administration services; development, manufacturing, leasing, and integration of digital electronic systems and equipment, peripherals, programs, inputs, and computing supplies; intermediation of air tickets; and lodging and organization of events. Banco do Brasil S.A. was founded in 1808 and is headquartered in Brasa­lia, Brazil.

About Chiba Bank

The Chiba Bank, Ltd., together with its subsidiaries, provides banking products and services in Japan and internationally. The company offers various deposit products, including savings, time deposits, currency deposits, investment trusts, bonds, and pensions; loans, which include mortgages, renovation loans, photovoltaic, vehicle, education, and other loan products; and insurance products, such as annuity, life, medical, student, death, and travel insurance. It also offers debit and credit cards, as well as internet banking services. In addition, the company engages in securities, investment management and advisory, software development, commissioned computation tasks, research and investigation of IT and financial technologies, leasing, operation, and management of investment funds, mergers and acquisition advisory, credit guarantee businesses, management and collection of claims businesses. Further, it provides loan guarantees and fee collection services; accounting, general administration entrustment, and temporary staff services; and is involved in outsourcing of operational business. Additionally, it rents and maintains office buildings and welfare facilities; provides research, survey, and consulting services; purchases and sells supplies and consumer goods; and engages in renewable energy generation. The company serves individuals and corporations. The Chiba Bank, Ltd. was incorporated in 1943 and is headquartered in Chiba City, Japan.