Head to Head Review: Deutsche Bank Aktiengesellschaft (NYSE:DB) versus Canadian Imperial Bank of Commerce (NYSE:CM)

Deutsche Bank Aktiengesellschaft (NYSE:DB) and Canadian Imperial Bank of Commerce (NYSE:CM) are both large-cap finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, risk, institutional ownership, profitability, analyst recommendations and valuation.

Insider and Institutional Ownership

27.9% of Deutsche Bank Aktiengesellschaft shares are held by institutional investors. Comparatively, 49.9% of Canadian Imperial Bank of Commerce shares are held by institutional investors. 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.

Profitability

This table compares Deutsche Bank Aktiengesellschaft and Canadian Imperial Bank of Commerce’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Deutsche Bank Aktiengesellschaft	7.67%	6.01%	0.35%
Canadian Imperial Bank of Commerce	12.94%	14.67%	0.76%

Valuation and Earnings

This table compares Deutsche Bank Aktiengesellschaft and Canadian Imperial Bank of Commerce”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Deutsche Bank Aktiengesellschaft	$71.84 billion	0.98	$4.70 billion	$2.63	13.39
Canadian Imperial Bank of Commerce	$47.09 billion	1.55	$5.23 billion	$5.92	13.23

Canadian Imperial Bank of Commerce has lower revenue, but higher earnings than Deutsche Bank Aktiengesellschaft. Canadian Imperial Bank of Commerce is trading at a lower price-to-earnings ratio than Deutsche Bank Aktiengesellschaft, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Deutsche Bank Aktiengesellschaft has a beta of 1.03, suggesting that its stock price is 3% more volatile than the S&P 500. Comparatively, Canadian Imperial Bank of Commerce has a beta of 1.03, suggesting that its stock price is 3% more volatile than the S&P 500.

Analyst Ratings

This is a summary of current ratings and price targets for Deutsche Bank Aktiengesellschaft and Canadian Imperial Bank of Commerce, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Deutsche Bank Aktiengesellschaft	1	4	4	0	2.33
Canadian Imperial Bank of Commerce	0	2	3	0	2.60

Canadian Imperial Bank of Commerce has a consensus target price of $107.50, suggesting a potential upside of 37.29%. Given Canadian Imperial Bank of Commerce’s stronger consensus rating and higher possible upside, analysts plainly believe Canadian Imperial Bank of Commerce is more favorable than Deutsche Bank Aktiengesellschaft.

Summary

Canadian Imperial Bank of Commerce beats Deutsche Bank Aktiengesellschaft on 9 of the 12 factors compared between the two stocks.

About Deutsche Bank Aktiengesellschaft

Deutsche Bank Aktiengesellschaft, a stock corporation, provides corporate and investment banking, and asset management products and services to private individuals, corporate entities, and institutional clients in Germany, the United Kingdom, rest of Europe, the Middle East, Africa, the Americas, and the Asia-Pacific. It operates through Corporate Bank, Investment Bank, Private Bank, and Asset Management segments. The Corporate Bank segment offers cash management, trade finance and lending, trust and agency, and securities services, as well as risk management solutions. The Investment Bank segment provides debt origination, merger and acquisitions, foreign exchange, and equity advisory and origination platform services. The Private Bank segment offers payment and account services, and credit and deposit products, as well as investment advice products, such as environmental, social, and governance products. This segment also provides banking, wealth management, other financial, and postal and parcel services; and supports in planning, managing and investing wealth, financing personal and business interests, and servicing institutional and corporate needs. The Asset Management segment offers investment solutions, such as alternative investments, which include real estate, infrastructure, liquid real assets, and sustainable investments; and various other services, including insurance and pension solutions, asset liability management, portfolio management solutions, and asset allocation advisory to individuals and institutions. Deutsche Bank Aktiengesellschaft was founded in 1870 and is headquartered in Frankfurt am Main, Germany.

About Canadian Imperial Bank of Commerce

Canadian Imperial Bank of Commerce, a diversified financial institution, provides various financial products and services to personal, business, public sector, and institutional clients in Canada, the United States, and internationally. The company operates through Canadian Personal and Business Banking; Canadian Commercial Banking and Wealth Management; U.S. Commercial Banking and Wealth Management; Capital Markets and Direct Financial Services; and Corporate and Other segments. It offers checking, savings, and business accounts; mortgages; business, car, and other loans; lines of credit, student lines of credit, and agriculture loans; and small business financing and overdraft protection services. The company also provides investment and insurance services; credit cards; and ATMs, as well as mobile, online, and global money and wire transfer services. Canadian Imperial Bank of Commerce was founded in 1867 and is headquartered in Toronto, Canada.