Analyzing Santander Mexico Fincl Gp SAB deCV (BSMX) and First Bancorp (FNLC)

Santander Mexico Fincl Gp SAB deCV (NYSE: BSMX) and First Bancorp (NASDAQ:FNLC) are both finance companies, but which is the better stock? We will contrast the two companies based on the strength of their earnings, profitability, institutional ownership, analyst recommendations, valuation, dividends and risk.

Dividends

Santander Mexico Fincl Gp SAB deCV pays an annual dividend of $0.40 per share and has a dividend yield of 5.4%. First Bancorp pays an annual dividend of $0.96 per share and has a dividend yield of 3.5%. Santander Mexico Fincl Gp SAB deCV pays out 58.0% of its earnings in the form of a dividend. First Bancorp pays out 53.0% 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 Santander Mexico Fincl Gp SAB deCV and First Bancorp’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Santander Mexico Fincl Gp SAB deCV 16.88% 15.15% 1.43%
First Bancorp 26.69% 11.04% 1.10%

Earnings & Valuation

This table compares Santander Mexico Fincl Gp SAB deCV and First Bancorp’s revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Santander Mexico Fincl Gp SAB deCV $6.23 billion 0.79 $939.07 million $0.69 10.71
First Bancorp $73.38 million 4.03 $19.59 million $1.81 15.09

Santander Mexico Fincl Gp SAB deCV has higher revenue and earnings than First Bancorp. Santander Mexico Fincl Gp SAB deCV is trading at a lower price-to-earnings ratio than First Bancorp, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Santander Mexico Fincl Gp SAB deCV has a beta of 1.46, suggesting that its stock price is 46% more volatile than the S&P 500. Comparatively, First Bancorp has a beta of 0.66, suggesting that its stock price is 34% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Santander Mexico Fincl Gp SAB deCV and First Bancorp, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Santander Mexico Fincl Gp SAB deCV 1 3 1 0 2.00
First Bancorp 0 0 0 0 N/A

Santander Mexico Fincl Gp SAB deCV currently has a consensus price target of $10.30, suggesting a potential upside of 39.38%. Given Santander Mexico Fincl Gp SAB deCV’s higher possible upside, equities analysts plainly believe Santander Mexico Fincl Gp SAB deCV is more favorable than First Bancorp.

Institutional and Insider Ownership

26.6% of Santander Mexico Fincl Gp SAB deCV shares are held by institutional investors. Comparatively, 32.2% of First Bancorp shares are held by institutional investors. 6.6% of First Bancorp shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Santander Mexico Fincl Gp SAB deCV beats First Bancorp on 8 of the 15 factors compared between the two stocks.

About Santander Mexico Fincl Gp SAB deCV

Grupo Financiero Santander Mexico SAB de CV, formerly Santander Mexico Financial Group SAB de CV or Grupo Financiero Santander SAB de CV, is a Mexico-based financial institution. The Company is primarily engaged in the provision of multiple banking services, securities brokerage, financial advice services, as well as other related investment activities. The Company offers its services to both, individual and corporate clients. The Company owns such principal subsidiaries as Banco Santander (Mexico) SA, Casa de Bolsa Santander SA de CV and Zurich Santander Seguros Mexico S.A.

About First Bancorp

The First Bancorp, Inc. is the bank holding company of First National Bank (the Bank). The Bank offers a range of financial services to individuals and companies in coastal Maine. The Company, through First Advisors, a division of the Bank, offers a range of private banking, financial planning, investment management and trust services to individuals, businesses, non-profit organizations and municipalities of various asset sizes. The Bank also offers automated teller machine (ATM) processing services. The Bank offers a range of loans, such as commercial loans, including real estate loans, construction loans and other loans; municipal loans; residential loans, including term loans and construction loans; home equity line of credit, and consumer loans. The Bank offers various deposits, such as demand deposits, negotiable order of withdrawal (NOW) accounts, money market accounts, savings and certificates of deposits.

Receive News & Ratings for Santander Mexico Fincl Gp SAB deCV Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Santander Mexico Fincl Gp SAB deCV and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply