Head to Head Review: SVB Financial Group (OTCMKTS:SIVBQ) & Associated Banc (NYSE:ASB)

SVB Financial Group (OTCMKTS:SIVBQ) and Associated Banc (NYSE:ASB) are both finance companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, dividends, analyst recommendations, earnings, risk, valuation and institutional ownership.

Insider & Institutional Ownership

8.7% of SVB Financial Group shares are held by institutional investors. Comparatively, 83.0% of Associated Banc shares are held by institutional investors. 0.6% of SVB Financial Group shares are held by company insiders. Comparatively, 1.5% of Associated Banc shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Risk & Volatility

SVB Financial Group has a beta of 0.98, suggesting that its share price is 2% less volatile than the S&P 500. Comparatively, Associated Banc has a beta of 0.78, suggesting that its share price is 22% less volatile than the S&P 500.

Profitability

This table compares SVB Financial Group and Associated Banc’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SVB Financial Group	N/A	N/A	N/A
Associated Banc	5.15%	8.24%	0.82%

Valuation & Earnings

This table compares SVB Financial Group and Associated Banc”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SVB Financial Group	$7.40 billion	0.00	$1.67 billion	N/A	N/A
Associated Banc	$1.03 billion	3.62	$123.14 million	$0.86	26.13

SVB Financial Group has higher revenue and earnings than Associated Banc.

Analyst Recommendations

This is a summary of recent recommendations for SVB Financial Group and Associated Banc, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SVB Financial Group	0	0	0	0	0.00
Associated Banc	0	8	2	0	2.20

Associated Banc has a consensus price target of $26.00, suggesting a potential upside of 15.71%. Given Associated Banc’s stronger consensus rating and higher probable upside, analysts plainly believe Associated Banc is more favorable than SVB Financial Group.

Summary

Associated Banc beats SVB Financial Group on 9 of the 12 factors compared between the two stocks.

About SVB Financial Group

SVB Financial Group, a diversified financial services company, offers various banking and financial products and services. It operates through four segments: Silicon Valley Bank, SVB Private, SVB Capital, and SVB Securities. The Silicon Valley Bank segment provides commercial banking products and services, including credit, treasury management, foreign exchange, trade finance, and other financial products and services. This segment also offers traditional term, growth capital term, and equipment loans, asset-based loans, revolving lines of credit, warehouse facilities, recurring revenue and acquisition finance facilities, mezzanine lending, corporate working capital facilities, and credit card programs; treasury management products and services; business and analysis checking, money market, multi-currency, in-country bank, and sweep accounts; receivables services, which include merchant services, remote capture, lockbox, and fraud control services; wire transfer and automated clearing house payment services; business bill pay, credit and debit cards, account analysis, and disbursement services. In addition, it offers foreign exchange and trade finance products and services; letters of credit; and investment services and solutions. The SVB Private segment offers mortgages, home equity lines of credit, restricted and private stock loans, capital call lines of credit, and other secured and unsecured lending products; planning-based financial strategies, wealth management, family office, financial planning, tax planning, and trust services; and real estate secured loans. The SVB Capital segment provides venture capital investment services. The SVB Securities segment provides investment banking services; products and services, including capital raising, merger and acquisition advisory, equity research, and sales and trading. The company was founded in 1983 and is headquartered in Santa Clara, California. On March 17, 2023, SVB Financial Group, filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the Southern District of New York.

About Associated Banc

Associated Banc-Corp, a bank holding company, provides various banking and nonbanking products to individuals and businesses in Wisconsin, Illinois, and Minnesota. The company offers lending solutions, including commercial loans and lines of credit, commercial real estate financing, construction loans, letters of credit, leasing, asset based lending and equipment finance, loan syndications products, residential mortgages, home equity loans and lines of credit, personal and installment loans, auto finance and business loans, and business lines of credit. It also provides deposit and cash management solutions, such as commercial checking and interest-bearing deposit products, cash vault and night depository services, liquidity solutions, payables and receivables solutions, and information services; specialized financial services, such as interest rate risk management and foreign exchange solutions; fiduciary services, such as administration of pension, profit-sharing and other employee benefit plans, fiduciary and corporate agency services, and institutional asset management services; and investable funds solutions, including savings, money market deposit accounts, IRA accounts, CDs, fixed and variable annuities, full-service, discount, and online investment brokerage; investment advisory services; and trust and investment management accounts. In addition, the company offers deposit and transactional solutions, including checking, credit, debit and pre-paid cards, online banking and bill pay; and money transfer services. Associated Banc-Corp was founded in 1861 and is headquartered in Green Bay, Wisconsin.