Critical Contrast: SVB Financial Group (OTCMKTS:SIVPQ) versus Mediobanca Banca di Credito Finanziario (OTCMKTS:MDIBY)

SVB Financial Group (OTCMKTS:SIVPQ) and Mediobanca Banca di Credito Finanziario (OTCMKTS:MDIBY) are both financial services companies, but which is the better stock? We will compare the two businesses based on the strength of their risk, profitability, analyst recommendations, institutional ownership, dividends, valuation and earnings.

Valuation and Earnings

This table compares SVB Financial Group and Mediobanca Banca di Credito Finanziario’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SVB Financial Group	$6.21 billion	0.00	$1.67 billion	$25.35	0.00
Mediobanca Banca di Credito Finanziario	N/A	N/A	N/A	$0.52	30.02

SVB Financial Group has higher revenue and earnings than Mediobanca Banca di Credito Finanziario. SVB Financial Group is trading at a lower price-to-earnings ratio than Mediobanca Banca di Credito Finanziario, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares SVB Financial Group and Mediobanca Banca di Credito Finanziario’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SVB Financial Group	22.05%	13.02%	0.76%
Mediobanca Banca di Credito Finanziario	N/A	N/A	N/A

Analyst Recommendations

This is a breakdown of recent recommendations for SVB Financial Group and Mediobanca Banca di Credito Finanziario, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SVB Financial Group	0	0	0	0	N/A
Mediobanca Banca di Credito Finanziario	0	0	0	0	N/A

Institutional & Insider Ownership

92.3% of SVB Financial Group shares are held by institutional investors. 0.6% of SVB Financial Group shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

SVB Financial Group beats Mediobanca Banca di Credito Finanziario on 7 of the 8 factors compared between the two stocks.

About SVB Financial Group

SVB Financial Group, a diversified financial services company, offers various banking and financial products and services. It operates through four segments: Silicon Valley Bank, SVB Private, SVB Capital, and SVB Securities. The Silicon Valley Bank segment provides commercial banking products and services, including credit, treasury management, foreign exchange, trade finance, and other financial products and services. This segment also offers traditional term, growth capital term, and equipment loans, asset-based loans, revolving lines of credit, warehouse facilities, recurring revenue and acquisition finance facilities, mezzanine lending, corporate working capital facilities, and credit card programs; treasury management products and services; business and analysis checking, money market, multi-currency, in-country bank, and sweep accounts; receivables services, which include merchant services, remote capture, lockbox, and fraud control services; wire transfer and automated clearing house payment services; business bill pay, credit and debit cards, account analysis, and disbursement services. In addition, it offers foreign exchange and trade finance products and services; letters of credit; and investment services and solutions. The SVB Private segment offers mortgages, home equity lines of credit, restricted and private stock loans, capital call lines of credit, and other secured and unsecured lending products; planning-based financial strategies, wealth management, family office, financial planning, tax planning, and trust services; and real estate secured loans. The SVB Capital segment provides venture capital investment services. The SVB Securities segment provides investment banking services; products and services, including capital raising, merger and acquisition advisory, equity research, and sales and trading. The company was founded in 1983 and is headquartered in Santa Clara, California. On March 17, 2023, SVB Financial Group, filed a voluntary petition for reorganization under Chapter 11 in the U.S. Bankruptcy Court for the Southern District of New York.

About Mediobanca Banca di Credito Finanziario

Mediobanca Banca di Credito Finanziario S.p.A., together with its subsidiaries, provides various banking products and services in Italy and internationally. The company operates through Wealth Management, Consumer Banking, Corporate and Investment Banking, Insurance – Principal Investing, and Holding Functions segments. The Wealth Management segment offers asset management and management services to private clients, and premier customers. The Consumer Banking segment provides a range of consumer credit products comprising personal and special-purpose loans, salary-backed finances, and credit cards, as well as Pagolight, a buy-now-pay-later solution. The Corporate and Investment Banking segment offers corporate loans and advisory services; capital market, specialty finance, and credit management services; and client and proprietary trading services. The Insurance – Principal Investing segment engages in the equity investment and holding activities. The Holding Functions segment engages in treasury, and asset and liability management operations. The company was founded in 1946 and is headquartered in Milan, Italy.