Reviewing Banco Itau Chile Spon (NASDAQ:ITCLY) & Inter & Co, Inc. (NASDAQ:INTR)

Banco Itau Chile Spon (NASDAQ:ITCLY) and Inter & Co, Inc. (NASDAQ:INTR) are both mid-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, profitability, institutional ownership, dividends and earnings.

Dividends

Banco Itau Chile Spon pays an annual dividend of $0.17 per share and has a dividend yield of 5.5%. Inter & Co, Inc. pays an annual dividend of $0.03 per share and has a dividend yield of 0.5%. Banco Itau Chile Spon pays out 25.8% of its earnings in the form of a dividend. Inter & Co, Inc. pays out 13.0% 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 Banco Itau Chile Spon and Inter & Co, Inc.’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco Itau Chile Spon	10.54%	10.65%	0.91%
Inter & Co, Inc.	7.38%	6.16%	0.83%

Institutional & Insider Ownership

22.2% of Banco Itau Chile Spon shares are held by institutional investors. Comparatively, 22.9% of Inter & Co, Inc. shares are held by institutional investors. 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.

Earnings & Valuation

This table compares Banco Itau Chile Spon and Inter & Co, Inc.’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco Itau Chile Spon	$3.99 billion	0.50	$423.68 million	$0.66	4.70
Inter & Co, Inc.	$1.22 billion	2.24	$60.56 million	$0.23	27.44

Banco Itau Chile Spon has higher revenue and earnings than Inter & Co, Inc.. Banco Itau Chile Spon is trading at a lower price-to-earnings ratio than Inter & Co, Inc., indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a summary of current ratings for Banco Itau Chile Spon and Inter & Co, Inc., as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco Itau Chile Spon	0	0	0	0	N/A
Inter & Co, Inc.	0	0	4	0	3.00

Inter & Co, Inc. has a consensus target price of $6.70, suggesting a potential upside of 6.18%. Given Inter & Co, Inc.’s higher possible upside, analysts clearly believe Inter & Co, Inc. is more favorable than Banco Itau Chile Spon.

Summary

Banco Itau Chile Spon beats Inter & Co, Inc. on 7 of the 13 factors compared between the two stocks.

About Banco Itau Chile Spon

Banco Ita? Chile provides banking services principally in Chile and Colombia. It provides wholesale and corporate banking; real estate and construction and retail, private, companies and personal banking services, as well as treasury and other financial services. Banco Ita? Chile, formerly known as Ita? Corpbanca, is based in Santiago, Chile.

About Inter & Co, Inc.

Inter & Co, Inc., through its subsidiaries, engages in the banking and spending, investments, insurance brokerage businesses. The company's Banking & Spending segment offers banking products and services, including checking accounts, cards, deposits, loans and advances, and other services. It also provides debt collection, foreign exchange, and financial services, as well as global account digital solution. Its investments segments offers acquisition, sale and custody of securities; structure and distributes securities in the capital market; and operated and manages fund portfolios and other assets. The company's Insurance Brokerage segment provides warranties, life, property and automobile insurance, pension, and consortium products. In addition, it offers inter shop and commerce plus services. Inter & Co, Inc. was founded in 1994 and is based in Belo Horizonte, Brazil.