Head to Head Comparison: Banco BBVA Argentina (NYSE:BBAR) & Grupo Financiero Banorte (OTCMKTS:GBOOY)

Banco BBVA Argentina (NYSE:BBAR – Get Rating) and Grupo Financiero Banorte (OTCMKTS:GBOOY – Get Rating) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, risk, institutional ownership, earnings and analyst recommendations.

Valuation & Earnings

This table compares Banco BBVA Argentina and Grupo Financiero Banorte’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco BBVA Argentina	$2.51 billion	0.26	$98.68 million	$0.97	3.24
Grupo Financiero Banorte	$7.68 billion	2.64	$1.73 billion	$3.18	11.06

Grupo Financiero Banorte has higher revenue and earnings than Banco BBVA Argentina. Banco BBVA Argentina is trading at a lower price-to-earnings ratio than Grupo Financiero Banorte, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

1.9% of Banco BBVA Argentina shares are held by institutional investors. Comparatively, 0.0% of Grupo Financiero Banorte shares are held by institutional investors. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Banco BBVA Argentina and Grupo Financiero Banorte, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco BBVA Argentina	0	0	0	0	N/A
Grupo Financiero Banorte	0	0	1	0	3.00

Grupo Financiero Banorte has a consensus price target of $146.00, suggesting a potential upside of 315.24%. Given Grupo Financiero Banorte’s higher probable upside, analysts clearly believe Grupo Financiero Banorte is more favorable than Banco BBVA Argentina.

Profitability

This table compares Banco BBVA Argentina and Grupo Financiero Banorte’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco BBVA Argentina	6.69%	12.79%	2.02%
Grupo Financiero Banorte	21.35%	15.72%	2.03%

Risk & Volatility

Banco BBVA Argentina has a beta of 1.38, indicating that its stock price is 38% more volatile than the S&P 500. Comparatively, Grupo Financiero Banorte has a beta of 1.2, indicating that its stock price is 20% more volatile than the S&P 500.

Summary

Grupo Financiero Banorte beats Banco BBVA Argentina on 10 of the 12 factors compared between the two stocks.

Banco BBVA Argentina Company Profile (Get Rating)

Banco BBVA Argentina S.A. provides various banking products and services to individuals and companies in Argentina. It provides retail banking products and services, such as checking and savings accounts, time deposits, credit cards, consumer and secured loans, mortgages, insurance, and investment products to individuals; and small and medium-sized companies products and services, including financing products, factoring, checking accounts, time deposits, transactional and payroll services, insurance, and investment products to private-sector companies. The company also provides corporate and investment banking products and services, such as global transaction services; global markets solutions comprising risk management and securities brokerage; long-term financing products, including project finance and syndicated loans; and corporate finance services comprising mergers and acquisitions, and capital markets advisory services to corporations and multinational companies operating in Argentina. As of December 31, 2021, it operated a network of 243 branches, 15 in-company branches, 7 point of sale outlets, 2 points of express support, 884 ATMs, and 854 self-service terminals, as well as mobile and internet banking services. The company was formerly known as BBVA Banco Francés S.A. and changed its name to Banco BBVA Argentina S.A. in July 2019. Banco BBVA Argentina S.A. was incorporated in 1886 and is based in Buenos Aires, Argentina.

Grupo Financiero Banorte Company Profile (Get Rating)

Grupo Financiero Banorte, S.A.B. de C.V., through its subsidiaries, provides banking and financial products and services in Mexico. The company offers time and demand deposits; car, payroll, consumer, and corporate loans; mortgages; and debit and credit cards. It also provides medical, personal accident, and life insurance products; and retirement fund management services. The company operates through a network of approximately 1,193 branches, 9,387 ATMs, and 159,780 point of sale terminals. Grupo Financiero Banorte, S.A.B. de C.V. was founded in 1899 and is based in Mexico City, Mexico.