Reviewing Grupo Cibest (NYSE:CIB) and Intesa Sanpaolo (OTCMKTS:ISNPY)

Intesa Sanpaolo (OTCMKTS:ISNPY) and Grupo Cibest (NYSE:CIB) are both large-cap finance companies, but which is the superior business? We will contrast the two companies based on the strength of their risk, analyst recommendations, earnings, valuation, institutional ownership, dividends and profitability.

Earnings and Valuation

This table compares Intesa Sanpaolo and Grupo Cibest”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Intesa Sanpaolo	$48.17 billion	2.20	$9.38 billion	$3.36	10.89
Grupo Cibest	$28,046.33 billion	0.00	$892.19 million	$3.66	19.87

Intesa Sanpaolo has higher earnings, but lower revenue than Grupo Cibest. Intesa Sanpaolo is trading at a lower price-to-earnings ratio than Grupo Cibest, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Intesa Sanpaolo and Grupo Cibest’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Intesa Sanpaolo	22.67%	13.57%	0.97%
Grupo Cibest	8.53%	24.02%	2.63%

Insider & Institutional Ownership

1.2% of Intesa Sanpaolo shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Dividends

Intesa Sanpaolo pays an annual dividend of $1.87 per share and has a dividend yield of 5.1%. Grupo Cibest pays an annual dividend of $4.67 per share and has a dividend yield of 6.4%. Intesa Sanpaolo pays out 55.7% of its earnings in the form of a dividend. Grupo Cibest pays out 127.6% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Analyst Ratings

This is a summary of recent recommendations for Intesa Sanpaolo and Grupo Cibest, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Intesa Sanpaolo	0	4	4	0	2.50
Grupo Cibest	3	5	1	0	1.78

Grupo Cibest has a consensus target price of $59.20, suggesting a potential downside of 18.62%. Given Grupo Cibest’s higher probable upside, analysts clearly believe Grupo Cibest is more favorable than Intesa Sanpaolo.

Volatility & Risk

Intesa Sanpaolo has a beta of 0.73, suggesting that its share price is 27% less volatile than the S&P 500. Comparatively, Grupo Cibest has a beta of 0.83, suggesting that its share price is 17% less volatile than the S&P 500.

Summary

Grupo Cibest beats Intesa Sanpaolo on 8 of the 15 factors compared between the two stocks.

About Intesa Sanpaolo

Intesa Sanpaolo S.p.A. provides various financial products and services primarily in Italy. It operates through six segments: Banca dei Territori, IMI Corporate & Investment Banking, International Subsidiary Banks, Asset Management, Private Banking, and Insurance. The company offers lending and deposit products; private and commercial banking, corporate and transaction banking, structured finance, investment banking, public finance, and capital markets; industrial credit, leasing, and factoring; asset management; life and non-life insurance and pension products; asset and wealth management; private investments; and bancassurance products. The company serves individuals, small and medium-sized businesses, non-profit customers, corporates and financial institutions, public administration, private clients and high net worth individuals, institutional clientele, and other customers. Intesa Sanpaolo S.p.A. was founded in 1998 and is headquartered in Turin, Italy.

About Grupo Cibest

Bancolombia S.A., together with its subsidiaries, provides banking products and services in Colombia and internationally. The company operates through nine segments: Banking Colombia, Banking Panama, Banking El Salvador, Banking Guatemala, Trust, Investment Banking, Brokerage, International Banking, and All Other. It offers checking and savings accounts, money market accounts, time deposits, fixed term deposits, and investment products; trade financing, loans funded by domestic development banks, working capital loans, credit cards, personal and vehicle loans, payroll loans, and overdrafts; factoring; and financial and operating leasing services. The company provides hedging instruments, including futures, forwards, options, and swaps; and brokerage, investment advisory, and private banking services comprising selling and distributing equities, futures, foreign currencies, fixed income securities, mutual funds, and structured products. In addition, it offers cash management services; foreign currency and trade finance solutions; letters of credit and bills collection; insurance and bancassurance products; telephone and mobile phone banking services; and online and computer banking services. Further, the company provides project and acquisition finance, loan syndication, corporate loans, debt and equity capital markets, principal investments, mergers and acquisition, hedging strategy advisories, restructurings, and structured financing; mutual and pension funds, private equity funds, payment and corporate trust, and custody; internet-based trading platform; inter-bank lending and repurchase agreements; managing escrow accounts, and investment and real estate funds; credit cards; roadside and medical assistance services; and transportation, maintenance and remodeling, and outsourcing services, as well as provides technology services. Bancolombia S.A. was founded in 1875 and is headquartered in Medellín, Colombia.