Citigroup Inc. (C) vs HSBC Holdings plc (HSBC)

Citigroup Inc. and HSBC Holdings plc are both Banks Diversified companies. HSBC Holdings plc is the larger, with a market value of $296.8B against $211.0B — 1.4× the size. Citigroup Inc. trades at the lower P/E: 11.9× against 12.0×. Citigroup Inc. grew revenue faster over the last twelve months: 4.74% against −14.7%. HSBC Holdings plc has the higher net margin (61.9% vs 10.4%) and the higher return on invested capital (0.00% vs 0.00%). Both pay a dividend; HSBC Holdings plc yields more (4.39% vs 2.56%). Across the 16 metrics below, Citigroup Inc. leads on 9 and HSBC Holdings plc on 7.

Valuation

Metric C HSBC Banks Diversified median
P/E 11.90 12.02 11.75
P/S 1.30 7.28 2.60
P/B 1.18 1.48 1.50
Price to free cash flow n/m 2.02 3.76
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 8.40% 8.32% 8.51%
Free cash flow yield (10.69%) 49.46% 7.56%

Profitability

Metric C HSBC Banks Diversified median
Gross margin 52.85% 100.00% 67.14%
Operating margin 0.00% 0.00% 0.00%
Net margin 10.37% 61.91% 18.44%
Free cash flow margin 0.00% 0.00% 0.00%
Return on equity 9.40% 0.00% 10.89%
Return on assets 0.65% 0.00% 0.76%
Return on invested capital 0.00% 0.00% 0.00%

Growth

Metric C HSBC Banks Diversified median
Revenue growth (TTM) 4.74% (14.66%) 5.49%
EPS growth (last fiscal year) 17.68% (2.42%) 19.95%
Revenue growth, 5-year CAGR 13.63% 15.19% 14.34%
Net income growth, 5-year CAGR 5.68% 40.18% 10.77%

Health

Metric C HSBC Banks Diversified median
Debt to equity 1.63 0.67 1.24
Current ratio 1.05 0.85 0.89
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric C HSBC Banks Diversified median
Dividend yield 2.56% 4.39% 2.44%
Payout ratio 0.30 0.53 0.29

Size

Metric C HSBC Banks Diversified median
Market cap 210.95b 296.78b 155.75b

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