Seek Returns logo

BK vs. HSBC: A Head-to-Head Stock Comparison

Updated on

Here’s a clear look at BK and HSBC, comparing key factors like historical performance, profitability, financial strength, growth, dividend, and valuation.

Company Profile

BK is a standard domestic listing, while HSBC trades as an American Depositary Receipt (ADR), offering U.S. investors access to its foreign-listed shares.

SymbolBKHSBC
Company NameThe Bank of New York Mellon CorporationHSBC Holdings plc
CountryUnited StatesUnited Kingdom
GICS SectorFinancialsFinancials
GICS IndustryCapital MarketsBanks
Market Capitalization75.74 billion USD246.16 billion USD
ExchangeNYSENYSE
Listing DateMay 3, 1973July 16, 1999
Security TypeCommon StockADR

Historical Performance

This chart compares the performance of BK and HSBC by tracking the growth of an initial $10,000 investment in each. Use the tabs to select the desired time period. Data is adjusted for dividends and splits.

BK vs. HSBC: Growth of a $10,000 investment over the past one year.

Historical Performance at a Glance

SymbolBKHSBC
5-Day Price Return0.79%0.75%
13-Week Price Return19.59%20.03%
26-Week Price Return28.05%16.67%
52-Week Price Return51.97%54.59%
Month-to-Date Return3.18%10.38%
Year-to-Date Return41.82%33.07%
10-Day Avg. Volume3.32M19.68M
3-Month Avg. Volume3.72M14.39M
3-Month Volatility14.73%15.95%
Beta1.151.57

Profitability

Return on Equity (TTM)

BK

11.69%

Capital Markets Industry

Max
38.97%
Q3
22.24%
Median
13.52%
Q1
8.61%
Min
-4.25%

BK’s Return on Equity of 11.69% is on par with the norm for the Capital Markets industry, indicating its profitability relative to shareholder equity is typical for the sector.

HSBC

13.86%

Banks Industry

Max
25.40%
Q3
15.55%
Median
12.00%
Q1
8.98%
Min
-0.10%

HSBC’s Return on Equity of 13.86% is on par with the norm for the Banks industry, indicating its profitability relative to shareholder equity is typical for the sector.

BK vs. HSBC: A comparison of their Return on Equity (TTM) against their respective Capital Markets and Banks industry benchmarks.

Net Profit Margin (TTM)

BK

21.21%

Capital Markets Industry

Max
69.91%
Q3
37.24%
Median
24.30%
Q1
13.06%
Min
-15.18%

BK’s Net Profit Margin of 21.21% is aligned with the median group of its peers in the Capital Markets industry. This indicates its ability to convert revenue into profit is typical for the sector.

HSBC

34.16%

Banks Industry

Max
54.20%
Q3
35.73%
Median
28.97%
Q1
22.56%
Min
6.98%

HSBC’s Net Profit Margin of 34.16% is aligned with the median group of its peers in the Banks industry. This indicates its ability to convert revenue into profit is typical for the sector.

BK vs. HSBC: A comparison of their Net Profit Margin (TTM) against their respective Capital Markets and Banks industry benchmarks.

Operating Profit Margin (TTM)

BK

26.54%

Capital Markets Industry

Max
84.86%
Q3
47.16%
Median
32.23%
Q1
18.65%
Min
-21.87%

BK’s Operating Profit Margin of 26.54% is around the midpoint for the Capital Markets industry, indicating that its efficiency in managing core business operations is typical for the sector.

HSBC

40.44%

Banks Industry

Max
63.35%
Q3
44.73%
Median
37.24%
Q1
28.25%
Min
12.28%

HSBC’s Operating Profit Margin of 40.44% is around the midpoint for the Banks industry, indicating that its efficiency in managing core business operations is typical for the sector.

BK vs. HSBC: A comparison of their Operating Profit Margin (TTM) against their respective Capital Markets and Banks industry benchmarks.

Profitability at a Glance

SymbolBKHSBC
Return on Equity (TTM)11.69%13.86%
Return on Assets (TTM)1.13%0.85%
Net Profit Margin (TTM)21.21%34.16%
Operating Profit Margin (TTM)26.54%40.44%
Gross Profit Margin (TTM)----

Financial Strength

Current Ratio (MRQ)

BK

--

Capital Markets Industry

Max
3.37
Q3
1.81
Median
1.01
Q1
0.56
Min
0.04

For the Capital Markets industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

HSBC

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

For the Banks industry, the Current Ratio is often not the most suitable measure of short-term liquidity.

BK vs. HSBC: A comparison of their Current Ratio (MRQ) against their respective Capital Markets and Banks industry benchmarks.

Debt-to-Equity Ratio (MRQ)

BK

1.17

Capital Markets Industry

Max
6.52
Q3
2.79
Median
0.96
Q1
0.28
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Capital Markets industry.

HSBC

1.91

Banks Industry

Max
5.78
Q3
2.66
Median
1.05
Q1
0.40
Min
0.00

The Debt-to-Equity Ratio is often not the primary focus for assessing leverage in the Banks industry.

BK vs. HSBC: A comparison of their Debt-to-Equity Ratio (MRQ) against their respective Capital Markets and Banks industry benchmarks.

Interest Coverage Ratio (TTM)

BK

--

Capital Markets Industry

Max
107.59
Q3
48.41
Median
10.85
Q1
4.56
Min
-36.26

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Capital Markets industry.

HSBC

--

Banks Industry

Max
--
Q3
--
Median
--
Q1
--
Min
--

The Interest Coverage Ratio is often not a primary indicator of debt servicing capacity in the Banks industry.

BK vs. HSBC: A comparison of their Interest Coverage Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Financial Strength at a Glance

SymbolBKHSBC
Current Ratio (MRQ)----
Quick Ratio (MRQ)----
Debt-to-Equity Ratio (MRQ)1.171.91
Interest Coverage Ratio (TTM)----

Growth

Revenue Growth

BK vs. HSBC: A side-by-side comparison of their Revenue Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

EPS Growth

BK vs. HSBC: A side-by-side comparison of their EPS Growth for the MRQ (YoY), TTM (YoY), 3-Year CAGR, and 5-Year CAGR periods.

Dividend

Dividend Yield (TTM)

BK

2.08%

Capital Markets Industry

Max
9.02%
Q3
4.54%
Median
2.55%
Q1
1.27%
Min
0.00%

BK’s Dividend Yield of 2.08% is consistent with its peers in the Capital Markets industry, providing a dividend return that is standard for its sector.

HSBC

5.60%

Banks Industry

Max
11.03%
Q3
6.00%
Median
3.87%
Q1
2.41%
Min
0.00%

HSBC’s Dividend Yield of 5.60% is consistent with its peers in the Banks industry, providing a dividend return that is standard for its sector.

BK vs. HSBC: A comparison of their Dividend Yield (TTM) against their respective Capital Markets and Banks industry benchmarks.

Dividend Payout Ratio (TTM)

BK

31.95%

Capital Markets Industry

Max
199.38%
Q3
99.28%
Median
60.67%
Q1
32.00%
Min
0.00%

BK’s Dividend Payout Ratio of 31.95% is in the lower quartile for the Capital Markets industry. This suggests a conservative dividend policy, with a strategic focus on reinvesting profits for future growth.

HSBC

71.79%

Banks Industry

Max
134.24%
Q3
79.39%
Median
55.09%
Q1
36.09%
Min
0.00%

HSBC’s Dividend Payout Ratio of 71.79% is within the typical range for the Banks industry, suggesting a balanced approach between shareholder payouts and company reinvestment.

BK vs. HSBC: A comparison of their Dividend Payout Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Dividend at a Glance

SymbolBKHSBC
Dividend Yield (TTM)2.08%5.60%
Dividend Payout Ratio (TTM)31.95%71.79%

Valuation

Price-to-Earnings Ratio (TTM)

BK

15.34

Capital Markets Industry

Max
51.69
Q3
29.42
Median
17.58
Q1
12.55
Min
5.59

BK’s P/E Ratio of 15.34 is within the middle range for the Capital Markets industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

HSBC

9.25

Banks Industry

Max
22.69
Q3
13.75
Median
10.32
Q1
7.73
Min
2.59

HSBC’s P/E Ratio of 9.25 is within the middle range for the Banks industry. This suggests its valuation is in line with the sector average, representing neither a significant premium nor a discount compared to its peers.

BK vs. HSBC: A comparison of their Price-to-Earnings Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Price-to-Sales Ratio (TTM)

BK

2.13

Capital Markets Industry

Max
14.65
Q3
7.29
Median
4.53
Q1
2.26
Min
0.04

In the lower quartile for the Capital Markets industry, BK’s P/S Ratio of 2.13 indicates its revenue is valued more conservatively than most of its peers. This could present a compelling opportunity if the market has overlooked its sales-generating capabilities.

HSBC

1.74

Banks Industry

Max
4.90
Q3
2.98
Median
2.24
Q1
1.59
Min
0.45

The P/S Ratio is often not a primary valuation tool in the Banks industry.

BK vs. HSBC: A comparison of their Price-to-Sales Ratio (TTM) against their respective Capital Markets and Banks industry benchmarks.

Price-to-Book Ratio (MRQ)

BK

1.46

Capital Markets Industry

Max
10.83
Q3
5.12
Median
2.66
Q1
1.19
Min
0.37

BK’s P/B Ratio of 1.46 is within the conventional range for the Capital Markets industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

HSBC

1.08

Banks Industry

Max
2.09
Q3
1.40
Median
1.11
Q1
0.86
Min
0.29

HSBC’s P/B Ratio of 1.08 is within the conventional range for the Banks industry. This shows a balanced market view, where the stock’s price is neither at a significant premium nor a discount to the book value of its peers.

BK vs. HSBC: A comparison of their Price-to-Book Ratio (MRQ) against their respective Capital Markets and Banks industry benchmarks.

Valuation at a Glance

SymbolBKHSBC
Price-to-Earnings Ratio (TTM)15.349.25
Price-to-Sales Ratio (TTM)2.131.74
Price-to-Book Ratio (MRQ)1.461.08
Price-to-Free Cash Flow Ratio (TTM)24.905.10