NU (NYSE:NU) & Bankinter (OTCMKTS:BKNIY) Head-To-Head Contrast

Bankinter (OTCMKTS:BKNIY) and NU (NYSE:NU) are both large-cap finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, institutional ownership, valuation, risk, earnings, analyst recommendations and profitability.

Institutional and Insider Ownership

84.0% of NU shares are owned by institutional investors. 1.2% of NU shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Bankinter and NU”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bankinter	$5.27 billion	3.11	$1.23 billion	$1.46	12.49
NU	$15.77 billion	4.34	$2.87 billion	$0.65	21.72

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

Volatility & Risk

Bankinter has a beta of -0.16, suggesting that its stock price is 116% less volatile than the S&P 500. Comparatively, NU has a beta of 0.95, suggesting that its stock price is 5% less volatile than the S&P 500.

Profitability

This table compares Bankinter and NU’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bankinter	24.27%	18.20%	0.90%
NU	18.20%	30.91%	4.80%

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Bankinter and NU, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bankinter	1	3	2	0	2.17
NU	1	4	10	0	2.60

NU has a consensus price target of $17.24, suggesting a potential upside of 22.15%. Given NU’s stronger consensus rating and higher probable upside, analysts clearly believe NU is more favorable than Bankinter.

Summary

NU beats Bankinter on 12 of the 14 factors compared between the two stocks.

About Bankinter

Bankinter, S.A. provides various banking products and services to individuals and corporate customers, and small- and medium-sized enterprises in Spain. It offers payroll, pension, business, salary, non-salary, youth salary, current, currency, professional, basic, and management accounts; deposit products; and mortgages and loan products, as well as financing services. The company also provides saving and investment products, including profiled funds, sustainable investment funds, other managers funds, pension funds, and themed funds, as well as funds for beginners; regular investment plans; and advisory, customized investment, wealth management, and alternative investment products and services. In addition, it offers accident, home, life, funeral, health, mortgage payment protection, property, personal, and motor insurance products, as well as business insurance products. Further, the company provides various services, such as estate administration, switch, asset management, accounts management, and transfer services, as well as real estate and brokerage services. Additionally, it offers retail, personal, private, commercial, and corporate banking products, as well as remote banking services. The company was formerly known as Banco Intercontinental Español, S.A. and changed its name to Bankinter, S.A. in July 1990. Bankinter, S.A. was incorporated in 1965 and is based in Madrid, Spain.

About NU

Nu Holdings Ltd. is a holding company, which engages in the provision of digital banking services. The company was founded by David Vélez Osorno, Cristina Helena Zingaretti Junqueira, and Adam Edward Wible on February 26, 2016 and is headquartered in George Town, Cayman Islands.