HDFC Bank (HDB) Competitors

Bank of America (NYSE:BAC) and HDFC Bank (NYSE:HDB) are both large-cap finance companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, institutional ownership, dividends, valuation, media sentiment, analyst recommendations, community ranking, earnings and risk.

Does the MarketBeat Community believe in BAC or HDB?

Bank of America received 1580 more outperform votes than HDFC Bank when rated by MarketBeat users. However, 68.58% of users gave HDFC Bank an outperform vote while only 65.41% of users gave Bank of America an outperform vote.

Company	Underperform	Outperform
Bank of America	Outperform Votes 2010 65.41%	Underperform Votes 1063 34.59%
HDFC Bank	Outperform Votes 430 68.58%	Underperform Votes 197 31.42%

Does the media prefer BAC or HDB?

In the previous week, Bank of America had 58 more articles in the media than HDFC Bank. MarketBeat recorded 72 mentions for Bank of America and 14 mentions for HDFC Bank. Bank of America's average media sentiment score of 1.08 beat HDFC Bank's score of 0.83 indicating that Bank of America is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Bank of America	49 Very Positive mention(s)	5 Positive mention(s)	11 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
HDFC Bank	11 Very Positive mention(s)	2 Positive mention(s)	0 Neutral mention(s)	1 Negative mention(s)	0 Very Negative mention(s)	Positive

Which has preferable earnings & valuation, BAC or HDB?

Bank of America has higher revenue and earnings than HDFC Bank. Bank of America is trading at a lower price-to-earnings ratio than HDFC Bank, 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
Bank of America	$171.91B	2.06	$26.52B	$2.75	16.75
HDFC Bank	$49.29B	3.25	$7.47B	$3.29	19.25

Is BAC or HDB a better dividend stock?

Bank of America pays an annual dividend of $1.04 per share and has a dividend yield of 2.3%. HDFC Bank pays an annual dividend of $0.59 per share and has a dividend yield of 0.9%. Bank of America pays out 37.8% of its earnings in the form of a dividend. HDFC Bank pays out 17.9% 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. Bank of America has raised its dividend for 11 consecutive years. Bank of America is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Do analysts recommend BAC or HDB?

Bank of America presently has a consensus price target of $44.26, indicating a potential downside of 3.91%. Given Bank of America's stronger consensus rating and higher possible upside, equities analysts clearly believe Bank of America is more favorable than HDFC Bank.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bank of America	1 Sell rating(s)	7 Hold rating(s)	14 Buy rating(s)	1 Strong Buy rating(s)	2.65
HDFC Bank	0 Sell rating(s)	1 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	2.00

Do institutionals and insiders hold more shares of BAC or HDB?

70.7% of Bank of America shares are held by institutional investors. Comparatively, 17.6% of HDFC Bank shares are held by institutional investors. 0.3% of Bank of America shares are held by insiders. Comparatively, 1.0% of HDFC Bank shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Which has more volatility and risk, BAC or HDB?

Bank of America has a beta of 1.32, indicating that its share price is 32% more volatile than the S&P 500. Comparatively, HDFC Bank has a beta of 0.91, indicating that its share price is 9% less volatile than the S&P 500.

Is BAC or HDB more profitable?

HDFC Bank has a net margin of 14.48% compared to Bank of America's net margin of 12.48%. HDFC Bank's return on equity of 12.49% beat Bank of America's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Bank of America	12.48%	10.09%	0.83%
HDFC Bank	14.48%	12.49%	1.69%

Summary

Bank of America beats HDFC Bank on 13 of the 22 factors compared between the two stocks.