Critical Survey: Macro Bank (NYSE:BMA) vs. CaixaBank (OTCMKTS:CAIXY)

Macro Bank (NYSE:BMA) and CaixaBank (OTCMKTS:CAIXY) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their institutional ownership, profitability, analyst recommendations, dividends, valuation, earnings and risk.

Risk & Volatility

Macro Bank has a beta of 1.51, suggesting that its stock price is 51% more volatile than the S&P 500. Comparatively, CaixaBank has a beta of 0.29, suggesting that its stock price is 71% less volatile than the S&P 500.

Dividends

Macro Bank pays an annual dividend of $4.59 per share and has a dividend yield of 6.2%. CaixaBank pays an annual dividend of $0.07 per share and has a dividend yield of 1.8%. Macro Bank pays out 139.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Profitability

This table compares Macro Bank and CaixaBank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Macro Bank	4.99%	6.85%	1.66%
CaixaBank	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings for Macro Bank and CaixaBank, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Macro Bank	2	1	5	0	2.38
CaixaBank	0	3	1	0	2.25

Macro Bank currently has a consensus target price of $102.60, suggesting a potential upside of 39.23%. Given Macro Bank’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Macro Bank is more favorable than CaixaBank.

Valuation & Earnings

This table compares Macro Bank and CaixaBank”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Macro Bank	$4.72 billion	1.00	$231.59 million	$3.29	22.40
CaixaBank	$29.05 billion	2.80	$6.66 billion	N/A	N/A

CaixaBank has higher revenue and earnings than Macro Bank.

Summary

Macro Bank beats CaixaBank on 8 of the 12 factors compared between the two stocks.

About Macro Bank

Banco Macro S.A. provides various banking products and services to retail and corporate customers in Argentina. It offers various retail banking products and services, such as savings and checking accounts, time deposits, credit and debit cards, consumer finance loans, mortgage loans, automobile loans, overdrafts, credit-related services, home and car insurance coverage, tax collection, utility payments, automated teller machines, and money transfers. The company also provides personal loans, document discounts, residential mortgages, overdrafts, pledged loans, and credit card loans to retail customers. In addition, it offers corporate banking products and services, including deposits, lending, check cashing advances and factoring, guaranteed loans, credit lines for financing foreign trade, and cash management services; and trust, payroll, and financial agency services, as well as corporate credit cards and other specialty products; and working capital facilities, credit for investment projects, and leasing and foreign trade transactions. Further, the company provides transaction services, such as cash management, collection services, payments to suppliers, payroll services, foreign exchange transactions, and foreign trade services; information services comprising Datanet and Interpymes services to corporate customers; and Internet and mobile banking services. Additionally, it offers short-term and medium-to-long-term corporate lending products. Banco Macro S.A. was incorporated in 1966 and is headquartered in Buenos Aires, Argentina.

About CaixaBank

CaixaBank, S.A., together with its subsidiaries, provides various banking products and financial services in Spain and internationally. The company operates through Banking and Insurance, Equity Investments, and BPI segments. It also provides solutions related to security, protection, internationalization, and financing; traditional financial advice, independent advice, and broker services; asset management; liquidity management; capital markets, cash management, project finance, asset finance, and M&A services; and various financial services and solutions to public and private sector institutions, as well as distributes non-life and life risk insurance policies; and private banking services. In addition, the company is involved in the real estate business. It has branches and ATMs in Spain; and branches and ATMs in Portugal. CaixaBank, S.A. was founded in 1904 and is based in Valencia, Spain.