Shinhan Financial Group (SHG) Competitors

Shinhan Financial Group (NYSE:SHG) and Itaú Unibanco (NYSE:ITUB) are both large-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their dividends, community ranking, risk, institutional ownership, profitability, valuation, earnings, media sentiment and analyst recommendations.

Which has preferable earnings & valuation, SHG or ITUB?

Itaú Unibanco has lower revenue, but higher earnings than Shinhan Financial Group. Shinhan Financial Group is trading at a lower price-to-earnings ratio than Itaú Unibanco, 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
Shinhan Financial Group	$20.08T	0.00	$3.49B	$7.56	4.43
Itaú Unibanco	$158.57B	0.39	$7.62B	$0.71	8.06

Does the MarketBeat Community believe in SHG or ITUB?

Itaú Unibanco received 168 more outperform votes than Shinhan Financial Group when rated by MarketBeat users. Likewise, 65.86% of users gave Itaú Unibanco an outperform vote while only 63.51% of users gave Shinhan Financial Group an outperform vote.

Company	Underperform	Outperform
Shinhan Financial Group	Outperform Votes 268 63.51%	Underperform Votes 154 36.49%
Itaú Unibanco	Outperform Votes 436 65.86%	Underperform Votes 226 34.14%

Do analysts prefer SHG or ITUB?

Itaú Unibanco has a consensus price target of $6.27, suggesting a potential upside of 9.57%. Given Itaú Unibanco's stronger consensus rating and higher probable upside, analysts plainly believe Itaú Unibanco is more favorable than Shinhan Financial Group.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Shinhan Financial Group	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	0.00
Itaú Unibanco	0 Sell rating(s)	0 Hold rating(s)	4 Buy rating(s)	1 Strong Buy rating(s)	3.20

Is SHG or ITUB a better dividend stock?

Shinhan Financial Group pays an annual dividend of $0.91 per share and has a dividend yield of 2.7%. Itaú Unibanco pays an annual dividend of $0.02 per share and has a dividend yield of 0.3%. Shinhan Financial Group pays out 12.0% of its earnings in the form of a dividend. Itaú Unibanco pays out 2.8% 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.

Do institutionals and insiders have more ownership in SHG or ITUB?

7.8% of Shinhan Financial Group shares are owned by institutional investors. 1.0% of Shinhan Financial Group shares are owned by insiders. Comparatively, 0.6% of Itaú Unibanco shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Does the media refer more to SHG or ITUB?

In the previous week, Itaú Unibanco had 5 more articles in the media than Shinhan Financial Group. MarketBeat recorded 9 mentions for Itaú Unibanco and 4 mentions for Shinhan Financial Group. Shinhan Financial Group's average media sentiment score of 1.23 beat Itaú Unibanco's score of 1.15 indicating that Shinhan Financial Group is being referred to more favorably in the media.

Company	Very Positive	Positive	Neutral	Negative	Very Negative	Overall Sentiment
Shinhan Financial Group	3 Very Positive mention(s)	0 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive
Itaú Unibanco	6 Very Positive mention(s)	3 Positive mention(s)	0 Neutral mention(s)	0 Negative mention(s)	0 Very Negative mention(s)	Positive

Is SHG or ITUB more profitable?

Itaú Unibanco has a net margin of 12.25% compared to Shinhan Financial Group's net margin of 12.21%. Itaú Unibanco's return on equity of 19.46% beat Shinhan Financial Group's return on equity.

Company	Net Margins	Return on Equity	Return on Assets
Shinhan Financial Group	12.21%	7.34%	0.59%
Itaú Unibanco	12.25%	19.46%	1.47%

Which has more volatility and risk, SHG or ITUB?

Shinhan Financial Group has a beta of 0.89, suggesting that its share price is 11% less volatile than the S&P 500. Comparatively, Itaú Unibanco has a beta of 0.97, suggesting that its share price is 3% less volatile than the S&P 500.

Summary

Itaú Unibanco beats Shinhan Financial Group on 15 of the 21 factors compared between the two stocks.