Head-To-Head Comparison: Banco de Chile (NYSE:BCH) and OceanFirst Financial (NASDAQ:OCFCP)

OceanFirst Financial (NASDAQ:OCFCP) and Banco de Chile (NYSE:BCH) are both financial services companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, dividends, valuation, earnings and profitability.

Profitability

This table compares OceanFirst Financial and Banco de Chile’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
OceanFirst Financial	N/A	N/A	N/A
Banco de Chile	28.99%	22.72%	2.22%

Valuation and Earnings

This table compares OceanFirst Financial and Banco de Chile’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
OceanFirst Financial	$388.93 million	N/A	N/A	N/A	N/A
Banco de Chile	$3,077.07 billion	0.00	$1.65 billion	$2.97	8.62

Banco de Chile has higher revenue and earnings than OceanFirst Financial.

Dividends

OceanFirst Financial pays an annual dividend of $1.75 per share and has a dividend yield of 7.0%. Banco de Chile pays an annual dividend of $1.23 per share and has a dividend yield of 4.8%. Banco de Chile pays out 41.4% of its earnings in the form of a dividend.

Insider and Institutional Ownership

1.2% of Banco de Chile shares are owned by institutional investors. 5.9% of Banco de Chile shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of recent ratings and recommmendations for OceanFirst Financial and Banco de Chile, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
OceanFirst Financial	0	0	0	0	N/A
Banco de Chile	0	3	0	0	2.00

Banco de Chile has a consensus price target of $21.00, indicating a potential downside of 18.00%. Given Banco de Chile’s higher probable upside, analysts clearly believe Banco de Chile is more favorable than OceanFirst Financial.

Summary

Banco de Chile beats OceanFirst Financial on 7 of the 9 factors compared between the two stocks.

About OceanFirst Financial

OceanFirst Financial Corp. operates as the bank holding company for OceanFirst Bank N.A. that provides community banking services to retail and commercial customers. It accepts money market accounts, savings accounts, interest-bearing checking accounts, non-interest-bearing accounts, and time deposits, that includes brokered deposits to retail, government, and business customers. The company also offers commercial real estate, multi-family, land loans, construction, and commercial and industrial loans; fixed-rate and adjustable-rate mortgage loans that are secured by one-to-four family residences; and consumer loans, such as home equity loans and lines of credit, student loans, overdraft line of credit, loans on savings accounts, and other consumer loans. In addition, it invests in mortgage-backed securities, securities issued by the U.S. Government and agencies, corporate securities, and other investments. Further, the company offers bankcard, trust and asset management services; and bank owned life insurance products. The company was founded in 1902 and is based in Red Bank, New Jersey.

About Banco de Chile

Banco de Chile, together with its subsidiaries, provides various banking services to customers in Chile. The company offers checking and debit accounts, debit and credit cards, and lines of credit; mortgage, consume, commercial, general purpose mortgage loans, and finance leases; and factoring services, mutual fund management, stock brokerage, foreign trade, payments and collections, insurance brokerage, including life and general insurance, as well as time deposits, savings instruments, and foreign currency services through branches under the Banco de Chile and Banco Edwards brands. It also provides working capital loans, corporate credit cards, foreign currency brokerage, leasing and long-term syndicated loans, advisory services for mergers acquisitions and debt restructuring; cash management services, including payment and collection services; and international fund transfer networks, current account and deposit products, fund administration, and treasury management. In addition, the company offers insurance brokerage, derivative contracts, transactional banking, financial risks coverage, representation and asset custody, investment banking and management, capital markets products, foreign exchange transactions; and advisory services for initial public offerings, capital increases, sales and purchases of blocks of shares, private capital placements, public share tenders, company valuations, bond issuances, and syndicated loans services. Further, it provides foreign exchange brokerage, forward contracts, interest rate swaps, repurchase agreements, and other investment products based on bonds, mortgage bonds and deposits. The company serves individuals, small and medium-sized companies, corporate clients, and large companies, real estate and construction, and high net worth family office customers. Banco de Chile was founded in 1893 and is headquartered in Santiago, Chile.