Analyzing MCAN Mortgage (OTCMKTS:MAMTF) and Daiwa Securities Group (OTCMKTS:DSEEY)

Profitability

This table compares Daiwa Securities Group and MCAN Mortgage’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Daiwa Securities Group	12.72%	8.46%	0.44%
MCAN Mortgage	N/A	N/A	N/A

Earnings & Valuation

This table compares Daiwa Securities Group and MCAN Mortgage”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Daiwa Securities Group	$9.75 billion	1.68	$1.16 billion	$0.93	12.42
MCAN Mortgage	N/A	N/A	N/A	C$1.49	11.35

Daiwa Securities Group has higher revenue and earnings than MCAN Mortgage. MCAN Mortgage is trading at a lower price-to-earnings ratio than Daiwa Securities Group, indicating that it is currently the more affordable of the two stocks.

Dividends

Daiwa Securities Group pays an annual dividend of $0.31 per share and has a dividend yield of 2.7%. MCAN Mortgage pays an annual dividend of C$1.12 per share and has a dividend yield of 6.6%. Daiwa Securities Group pays out 33.3% of its earnings in the form of a dividend. MCAN Mortgage pays out 75.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Insider and Institutional Ownership

0.1% of MCAN Mortgage shares are owned by institutional investors. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Daiwa Securities Group beats MCAN Mortgage on 6 of the 9 factors compared between the two stocks.

About Daiwa Securities Group

Daiwa Securities Group Inc., together with its subsidiaries, primarily operates as a securities broker-dealer in Japan and internationally. The company operates through four segments: Retail, Wholesale, Asset Management, and Investment. The Retail segment offers products and services related to asset management, including equities, bonds, investment trusts, wrap account services, insurance, banking services, inheritance-related services, etc. for individual investors and unlisted companies. The Wholesale segment offers sales and trading services of equities and bonds, as well as of foreign exchange and derivative products primarily for institutional investors and corporations; and investment banking services, such as underwriting of securities, M&A advisory, etc. The Asset Management segment structures and manages investment trusts primarily for individual investors and financial institutions; provides investment advisory services; and manages assets. The Investment segment invests in monetary claims, loans, private equities, and real estate properties, as well as energy, infrastructure, and resource sectors. The company also offers research and consulting, and information services, as well as engages in the office work activities. In addition, it is involved in the securities-related, investment advisory and agency, and investment management businesses, as well as lending and borrowing of real estate properties. The company was formerly known as Daiwa Securities Co. Ltd. and changed its name to Daiwa Securities Group Inc. in 1999. Daiwa Securities Group Inc. was founded in 1902 and is headquartered in Tokyo, Japan.

About MCAN Mortgage

MCAN Mortgage Corporation operates as a loan and mortgage investment corporation in Canada. The company engages in the real estate lending and investing activities, including residential mortgage, residential construction, non-residential construction, and commercial loans, as well as portfolio of real estate investments trusts and private investment activities. It also provides term deposits through a network of independent financial agents. The company was formerly known as MCAP Inc. and changed its name to MCAN Mortgage Corporation in September 2006. The company was founded in 1980 and is headquartered in Toronto, Canada.