Reviewing UniCredit (OTCMKTS:UNCFF) and Societe Generale Group (OTCMKTS:SCGLY)

Societe Generale Group (OTCMKTS:SCGLY) and UniCredit (OTCMKTS:UNCFF) are both large-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, profitability, analyst recommendations, institutional ownership, earnings, dividends and risk.

Risk and Volatility

Societe Generale Group has a beta of 0.79, indicating that its share price is 21% less volatile than the S&P 500. Comparatively, UniCredit has a beta of 0.84, indicating that its share price is 16% less volatile than the S&P 500.

Earnings and Valuation

This table compares Societe Generale Group and UniCredit”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Societe Generale Group	$30.83 billion	2.12	$6.79 billion	$1.80	9.76
UniCredit	$41.32 billion	3.43	$12.35 billion	N/A	N/A

UniCredit has higher revenue and earnings than Societe Generale Group.

Profitability

This table compares Societe Generale Group and UniCredit’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Societe Generale Group	22.33%	6.92%	0.35%
UniCredit	27.51%	16.29%	1.30%

Insider & Institutional Ownership

1.0% of Societe Generale Group shares are owned by institutional investors. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current recommendations for Societe Generale Group and UniCredit, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Societe Generale Group	0	5	6	0	2.55
UniCredit	0	0	0	0	0.00

Summary

UniCredit beats Societe Generale Group on 7 of the 10 factors compared between the two stocks.

About Societe Generale Group

Société Générale Société anonyme provides banking and financial services to individuals, corporates, and institutional clients in Europe and internationally. It operates through French Retail Banking, International Retail Banking & Financial Services, and Global Banking and Investor Solutions. It offers retail banking services, such as consumer credit, vehicle leasing and fleet management, online banking, wealth management, and equipment and vendor finance services; and insurance products, including home, vehicle, family, health, and mortgage insurance. The company also provides corporate and investment banking, securities, business consulting, consumer finance, advisory and financing, and asset management and private banking services. In addition, it offers brokerage, cash management, payment, factoring/reverse factoring, export financing, trade finance, cash clearing and correspondent banking, and receivables and supply chain financing services. Société Générale Société anonyme was incorporated in 1864 and is headquartered in Paris, France.

About UniCredit

UniCredit S.p.A. provides commercial banking services in Italy, Germany, Central Europe, and Eastern Europe. It offers retail, private, and wealth management solutions; and institutional investor solutions. The company also provides corporate finance advisory, rating advisory, financial sponsor, patient capital, capital structure advisory, and finance solutions, as well as securities services. In addition, it offers transactional and risk management, and strategic advisory and funding services; group trade and correspondent banking services; and payments and cash management solutions. The company serves SME, corporate, multinational corporate, financial institution, and public sector clients, as well as retail, private banking, wealth management, and family office clients. The company was founded in 1870 and is headquartered in Milan, Italy.