Banco Comercial Portugues (OTCMKTS:BPCGY) & Coastal Financial (NASDAQ:CCB) Head-To-Head Review

Banco Comercial Portugues (OTCMKTS:BPCGY) and Coastal Financial (NASDAQ:CCB) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, earnings, risk, institutional ownership, valuation, analyst recommendations and dividends.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Banco Comercial Portugues and Coastal Financial, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Banco Comercial Portugues	0	2	0	0	2.00
Coastal Financial	2	0	5	0	2.43

Coastal Financial has a consensus target price of $91.33, suggesting a potential upside of 81.47%. Given Coastal Financial’s stronger consensus rating and higher probable upside, analysts plainly believe Coastal Financial is more favorable than Banco Comercial Portugues.

Risk and Volatility

Banco Comercial Portugues has a beta of 0.4, meaning that its share price is 60% less volatile than the S&P 500. Comparatively, Coastal Financial has a beta of 0.78, meaning that its share price is 22% less volatile than the S&P 500.

Profitability

This table compares Banco Comercial Portugues and Coastal Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco Comercial Portugues	N/A	N/A	N/A
Coastal Financial	-0.53%	-0.80%	-0.08%

Valuation & Earnings

This table compares Banco Comercial Portugues and Coastal Financial”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco Comercial Portugues	$5.82 billion	3.55	$980.79 million	$0.91	15.32
Coastal Financial	$661.22 million	1.16	$46.99 million	($0.28)	-179.75

Banco Comercial Portugues has higher revenue and earnings than Coastal Financial. Coastal Financial is trading at a lower price-to-earnings ratio than Banco Comercial Portugues, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

59.2% of Coastal Financial shares are held by institutional investors. 13.5% of Coastal Financial 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.

Summary

Banco Comercial Portugues beats Coastal Financial on 8 of the 14 factors compared between the two stocks.

About Banco Comercial Portugues

Banco Comercial Português, S.A., a private sector bank, engages in the provision of various banking and financial products and services in Portugal and internationally. It operates through Retail Banking; Companies, Corporate & Investment Banking; Private Banking; Foreign Business; and Other segments. It offers a range of financial products and services, including current accounts, payment systems, savings and investment products, private banking, asset management, and investment banking services, such as mortgage loans, personal loans, commercial banking, leasing, factoring and insurance, and others. The company is also involved in the provision of investment fund and real estate management, e-commerce, web portal, real estate investment fund, trade finance, trust, consulting, brokerage, marketing, and real estate services, as well as internet, telephone, and mobile banking services. Banco Comercial Português, S.A. was incorporated in 1985 and is based in Porto, Portugal.

About Coastal Financial

Coastal Financial Corporation operates as the bank holding company for Coastal Community Bank that provides various banking products and services to small and medium-sized businesses, professionals, and individuals in the Puget Sound region in Washington. It accepts a range of deposit products, including demand and savings accounts, time deposits, and money market accounts. The company also offers commercial and industrial loans, such as term loans, commercial lines of credit, capital call lines working capital loans, equipment financing, borrowing base loans, small business administration loans, and other loan products; owner and non-owner-occupied real estate loans, and multi-family residential loans; construction, land, and land development loans; residential real estate loans; and consumer and other loans, including automobile, boat and recreational vehicle, and secured term loans, as well as personal lines of credit, including overdraft protection. In addition, it provides remote deposit capture, online and mobile banking, and direct and reciprocal deposit services; and debit cards. Further, the company offers business accounts and cash management services, including business checking and savings accounts, and treasury services, as well as Banking as a Service (BaaS), a platform that allows broker dealers and digital financial service providers to offer their customers banking services. Coastal Financial Corporation was founded in 1997 and is headquartered in Everett, Washington.