Financial Comparison: Commerzbank (OTCMKTS:CRZBY) vs. Woori Bank (NYSE:WF)

Commerzbank (OTCMKTS:CRZBY) and Woori Bank (NYSE:WF) are both large-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their profitability, risk, analyst recommendations, dividends, earnings, institutional ownership and valuation.

Dividends

Commerzbank pays an annual dividend of $0.52 per share and has a dividend yield of 1.4%. Woori Bank pays an annual dividend of $1.35 per share and has a dividend yield of 2.4%. Commerzbank pays out 23.1% of its earnings in the form of a dividend. Woori Bank pays out 17.0% 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. Woori Bank is clearly the better dividend stock, given its higher yield and lower payout ratio.

Institutional & Insider Ownership

3.4% of Woori Bank shares are held by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk and Volatility

Commerzbank has a beta of 0.67, meaning that its share price is 33% less volatile than the S&P 500. Comparatively, Woori Bank has a beta of 1.11, meaning that its share price is 11% more volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings for Commerzbank and Woori Bank, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Commerzbank	1	4	1	0	2.00
Woori Bank	0	0	0	0	0.00

Earnings & Valuation

This table compares Commerzbank and Woori Bank”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Commerzbank	$25.96 billion	1.67	$2.90 billion	$2.25	16.26
Woori Bank	$19.04 billion	0.75	$2.09 billion	$7.94	7.23

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

Profitability

This table compares Commerzbank and Woori Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Commerzbank	10.51%	7.49%	0.47%
Woori Bank	11.84%	8.30%	0.56%

Summary

Woori Bank beats Commerzbank on 8 of the 14 factors compared between the two stocks.

About Commerzbank

Commerzbank AG provides banking and capital market products and services to private and small business customers, corporate, financial service providers, and institutional clients in Germany, rest of Europe, the Americas, Asia, and internationally. It operates through two segments, Private and Small-Business Customers, and Corporate Clients. The company offers saving, checking, business, and current accounts; term deposits; pension; credit and debit cards; payment solutions; overdraft services; various loans; and insurance products. It also provides trade securities; treasury management; corporate financing; real estate financing; financing advisory; merger and acquisition; foreign trade; trade financing; asset and risk management; and online banking, as well as wealth management services. Commerzbank AG was founded in 1870 and is headquartered in Frankfurt am Main, Germany.

About Woori Bank

Woori Financial Group Inc., a financial holding company, operates as a commercial bank that provides a range of financial products and services to individuals, corporations, and small- and medium-sized enterprises in Korea. It operates through Banking, Credit Card, Capital, Investment Banking, and Others segments. The company offers savings, demand, installment, and time deposits; certificates of deposit; repurchase instruments; and working capital, facilities, general purpose household, mortgage, and home equity loans. It also provides debit and credit cards, cash services, card loans, and related services; lease financing; and securities operation, sale of financial instruments, project financing, and other related solutions. In addition, the company offers credit purchase, cash advance, credit card loans, foreign exchange services and dealing, import and export-related services, offshore lending, syndicated loans and foreign currency securities investment, investment trust products, bancassurance, and private equity funds. Further, it is involved in the real estate trust, system software development and maintenance, financing, credit information, securities investment and trading, derivatives trading, trust, asset securitization, investment and international banking, money transfer, and other services. Additionally, the company offers automated telephone, internet, and mobile banking services; and trust management, trustee, and custodian services. Woori Financial Group Inc. was founded in 1899 and is headquartered in Seoul, South Korea.