NatWest Group (NWG) Competitors

NatWest Group (LON:NWG) and HSBC (LON:HSBA) are both large-cap financial services companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, institutional ownership, community ranking, dividends, media sentiment and earnings.

Does the MarketBeat Community favor NWG or HSBA?

HSBC received 876 more outperform votes than NatWest Group when rated by MarketBeat users. However, 71.92% of users gave NatWest Group an outperform vote while only 50.23% of users gave HSBC an outperform vote.

Company	Underperform	Outperform
NatWest Group	Outperform Votes 105 71.92%	Underperform Votes 41 28.08%
HSBC	Outperform Votes 981 50.23%	Underperform Votes 972 49.77%

Which has more risk & volatility, NWG or HSBA?

NatWest Group has a beta of 1.28, suggesting that its share price is 28% more volatile than the S&P 500. Comparatively, HSBC has a beta of 0.52, suggesting that its share price is 48% less volatile than the S&P 500.

Is NWG or HSBA more profitable?

HSBC has a net margin of 39.51% compared to NatWest Group's net margin of 32.31%. HSBC's return on equity of 12.64% beat NatWest Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
NatWest Group	32.31%	12.28%	0.64%
HSBC	39.51%	12.64%	0.80%

Do analysts recommend NWG or HSBA?

NatWest Group currently has a consensus target price of GBX 351, suggesting a potential downside of 12.20%. HSBC has a consensus target price of GBX 795, suggesting a potential upside of 9.38%. Given HSBC's stronger consensus rating and higher probable upside, analysts plainly believe HSBC is more favorable than NatWest Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NatWest Group	1 Sell rating(s)	1 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.50
HSBC	0 Sell rating(s)	2 Hold rating(s)	4 Buy rating(s)	0 Strong Buy rating(s)	2.67

Which has higher valuation & earnings, NWG or HSBA?

HSBC has higher revenue and earnings than NatWest Group. HSBC is trading at a lower price-to-earnings ratio than NatWest Group, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NatWest Group	£13.75B	2.42	£4.19B	£0.47	850.62
HSBC	£58.55B	2.26	£22.05B	£0.89	816.63

Do institutionals & insiders hold more shares of NWG or HSBA?

52.1% of NatWest Group shares are owned by institutional investors. Comparatively, 45.8% of HSBC shares are owned by institutional investors. 16.2% of NatWest Group shares are owned by company insiders. Comparatively, 0.3% of HSBC shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Does the media favor NWG or HSBA?

In the previous week, HSBC had 6 more articles in the media than NatWest Group. MarketBeat recorded 8 mentions for HSBC and 2 mentions for NatWest Group. NatWest Group's average media sentiment score of 0.29 beat HSBC's score of 0.19 indicating that NatWest Group is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
NatWest Group	0 Very Positive mention(s)	1 Positive mention(s)	1 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral
HSBC	0 Very Positive mention(s)	2 Positive mention(s)	6 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Neutral

Is NWG or HSBA a better dividend stock?

NatWest Group pays an annual dividend of GBX 18 per share and has a dividend yield of 4.5%. HSBC pays an annual dividend of GBX 48 per share and has a dividend yield of 6.6%. NatWest Group pays out 3,829.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. HSBC pays out 5,393.3% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Summary

HSBC beats NatWest Group on 11 of the 19 factors compared between the two stocks.