Reviewing Banco Itau Chile Spon (NASDAQ:ITCLY) & Grupo Supervielle (NYSE:SUPV)

Grupo Supervielle (NYSE:SUPV) and Banco Itau Chile Spon (NASDAQ:ITCLY) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, risk, dividends, analyst recommendations, earnings and valuation.

Valuation and Earnings

This table compares Grupo Supervielle and Banco Itau Chile Spon’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Grupo Supervielle	$4.88 billion	N/A	$196.14 million	$1.05	7.11
Banco Itau Chile Spon	$3.99 billion	0.50	$423.68 million	$0.66	4.70

Banco Itau Chile Spon has lower revenue, but higher earnings than Grupo Supervielle. Banco Itau Chile Spon is trading at a lower price-to-earnings ratio than Grupo Supervielle, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and target prices for Grupo Supervielle and Banco Itau Chile Spon, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Grupo Supervielle	0	1	0	0	2.00
Banco Itau Chile Spon	0	0	0	0	N/A

Grupo Supervielle currently has a consensus target price of $7.00, indicating a potential downside of 6.29%. Given Grupo Supervielle’s higher possible upside, equities analysts plainly believe Grupo Supervielle is more favorable than Banco Itau Chile Spon.

Profitability

This table compares Grupo Supervielle and Banco Itau Chile Spon’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Grupo Supervielle	5.64%	19.03%	3.40%
Banco Itau Chile Spon	10.54%	10.65%	0.91%

Insider & Institutional Ownership

22.2% of Banco Itau Chile Spon shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Dividends

Grupo Supervielle pays an annual dividend of $0.15 per share and has a dividend yield of 2.0%. Banco Itau Chile Spon pays an annual dividend of $0.17 per share and has a dividend yield of 5.5%. Grupo Supervielle pays out 14.3% of its earnings in the form of a dividend. Banco Itau Chile Spon pays out 25.8% 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.

Summary

Grupo Supervielle beats Banco Itau Chile Spon on 7 of the 11 factors compared between the two stocks.

About Grupo Supervielle

Grupo Supervielle S.A., a financial services holding company, provides various banking products and services in Argentina. The company operates through Personal & Business Banking, Corporate Banking, Bank Treasury, Consumer Finance, Insurance, and Asset Management and Other Services segments. It offers savings accounts, time and demand deposits, and checking accounts; various loan products, including personal, consumer, mortgage, unsecured, and car loans; overdrafts; loans with special facilities for project and working capital financing; and leasing, bank guarantees for tenants, salary advances, domestic and international factoring, international guarantees and letters of credit, payroll payment plans, credit and debit cards, and senior citizens benefit payment services, as well as financial services and investments, such as mutual funds and guarantees. The company also provides foreign trade and cash management; advisory services; treasury services; insurance products comprising life, home, personal accidents, technology, ATMs, protected bag, and protected content; and asset management and other services, as well as operates as a digital online broker. It operates through a network of bank branches, ATMs, and self-service terminals, as well as ATMs with biometric identification. The company was formerly known as Inversiones y Participaciones S.A. and changed its name to Grupo Supervielle S.A. in November 2008. Grupo Supervielle S.A. was founded in 1887 and is based in Buenos Aires, Argentina.

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.