Analyzing United Overseas Bank (OTC:UOVEY) & Suruga Bank (OTCMKTS:SUGBY)

United Overseas Bank (OTC:UOVEY) and Suruga Bank (OTCMKTS:SUGBY) are both finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their risk, earnings, analyst recommendations, institutional ownership, profitability, dividends and valuation.

Analyst Recommendations

This is a summary of recent recommendations for United Overseas Bank and Suruga Bank, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
United Overseas Bank	0	0	0	1	4.00
Suruga Bank	0	0	0	0	0.00

Valuation and Earnings

This table compares United Overseas Bank and Suruga Bank”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
United Overseas Bank	$20.86 billion	2.01	$4.25 billion	N/A	N/A
Suruga Bank	$633.45 million	2.49	$106.09 million	$7.01	11.42

United Overseas Bank has higher revenue and earnings than Suruga Bank.

Profitability

This table compares United Overseas Bank and Suruga Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
United Overseas Bank	N/A	N/A	N/A
Suruga Bank	21.93%	6.93%	0.58%

Dividends

United Overseas Bank pays an annual dividend of $2.68 per share and has a dividend yield of 5.3%. Suruga Bank pays an annual dividend of $1.41 per share and has a dividend yield of 1.8%. Suruga Bank pays out 20.1% of its earnings in the form of a dividend.

Risk & Volatility

United Overseas Bank has a beta of 0.61, indicating that its stock price is 39% less volatile than the S&P 500. Comparatively, Suruga Bank has a beta of -0.07, indicating that its stock price is 107% less volatile than the S&P 500.

Institutional & Insider Ownership

0.0% of United Overseas Bank shares are owned 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.

Summary

United Overseas Bank beats Suruga Bank on 8 of the 12 factors compared between the two stocks.

About United Overseas Bank

United Overseas Bank Limited, together with its subsidiaries, provides banking products and services. The company’s Group Retail segment provides deposits, insurance, card, wealth management, investment, and loan and trade financing products for personal and small enterprise customers. Its Group Wholesale Banking segment offers financing, trade, cash management, and capital markets solutions, as well as advisory and treasury products for medium and large enterprises, local corporations, multi-national corporations, financial institutions, government-linked entities, financial sponsors, and property funds. The company’s Global Markets segment provides foreign exchange, interest rate, credit, commodities, equities, and structured investment products; and manages funding and liquidity. Its Other segment offers investment management, property, and insurance services. The company also provides mobile and internet banking services. It operates through a network of approximately 500 branches, including wealth and privilege banking centres, private bank suites, business and commercial banking centres, and offices in 19 countries and territories in the Asia Pacific, Europe, and North America; and approximately 1.4 million automated teller machines. The company was formerly known as United Chinese Bank and changed its name to United Overseas Bank Limited in 1965. United Overseas Bank Limited was incorporated in 1935 and is headquartered in Singapore.

About Suruga Bank

Suruga Bank Ltd. provides various banking and financial products and services to individuals and corporate customers in Japan. The company offers deposit products, such as time, ordinary, savings, foreign currency, and other deposits, as well as current and general accounts; card, housing, second house, startup, and business up term loans, as well as loans by purpose; credit and debit cards; overdrafts; and other financing products. It also provides investment trust, public bond, pension contribution, insurance, inheritance/trust, lottery, foreign currency, pay-easy, web direct, safe deposit box, external linkage, foreign remittance, fund management, e-combination, payment, nursing care/medical care/dispensing compensation receivable factoring, mortgage, and Internet and telephone banking services. In addition, the company offers staffing, money lending, guarantee, printing, leasing, and agency services. The company was incorporated in 1895 and is headquartered in Numazu, Japan.