WallStSmart

HSBC Holdings PLC ADR (HSBC)vsMerchants Bancorp (MBIN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HSBC Holdings PLC ADR generates 10564% more annual revenue ($67.43B vs $632.34M). MBIN leads profitability with a 42.5% profit margin vs 37.8%. MBIN trades at a lower P/E of 10.7x. MBIN earns a higher WallStSmart Score of 75/100 (B+).

HSBC

Strong Buy

69

out of 100

Grade: B-

Growth: 7.3Profit: 7.5Value: 7.0Quality: 4.0
Piotroski: 4/9Altman Z: -0.31

MBIN

Strong Buy

75

out of 100

Grade: B+

Growth: 10.0Profit: 7.5Value: 6.7Quality: 3.0
Piotroski: 3/9Altman Z: 0.80

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HSBC6 strengths · Avg: 9.0/10
Market CapQuality
$366.94B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
37.8%10/10

Keeps 38 of every $100 in revenue as profit

Operating MarginProfitability
58.8%10/10

Strong operational efficiency at 58.8%

PEG RatioValuation
0.948/10

Growing faster than its price suggests

P/E RatioValuation
15.3x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
25.4%8/10

Revenue surging 25.4% year-over-year

MBIN6 strengths · Avg: 10.0/10
P/E RatioValuation
10.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Profit MarginProfitability
42.5%10/10

Keeps 43 of every $100 in revenue as profit

Operating MarginProfitability
61.1%10/10

Strong operational efficiency at 61.1%

Revenue GrowthGrowth
37.1%10/10

Revenue surging 37.1% year-over-year

EPS GrowthGrowth
146.7%10/10

Earnings expanding 146.7% YoY

Areas to Watch

HSBC3 concerns · Avg: 3.3/10
Price/BookValuation
8.3x4/10

Trading at 8.3x book value

EPS GrowthGrowth
2.6%4/10

2.6% earnings growth

Altman Z-ScoreHealth
-0.312/10

Distress zone — elevated risk

MBIN3 concerns · Avg: 2.7/10
Debt/EquityHealth
1.793/10

Elevated debt levels

Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Altman Z-ScoreHealth
0.802/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : HSBC

The strongest argument for HSBC centers on Market Cap, Profit Margin, Operating Margin. Profitability is solid with margins at 37.8% and operating margin at 58.8%. Revenue growth of 25.4% demonstrates continued momentum.

Bull Case : MBIN

The strongest argument for MBIN centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 42.5% and operating margin at 61.1%. Revenue growth of 37.1% demonstrates continued momentum.

Bear Case : HSBC

The primary concerns for HSBC are Price/Book, EPS Growth, Altman Z-Score.

Bear Case : MBIN

The primary concerns for MBIN are Debt/Equity, Piotroski F-Score, Altman Z-Score. Debt-to-equity of 1.79 is elevated, increasing financial risk.

Key Dynamics to Monitor

MBIN carries more volatility with a beta of 1.16 — expect wider price swings.

MBIN is growing revenue faster at 37.1% — sustainability is the question.

Monitor BANKS - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

MBIN scores higher overall (75/100 vs 69/100), backed by strong 42.5% margins and 37.1% revenue growth. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

HSBC Holdings PLC ADR

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

HSBC Holdings plc offers banking and financial products and services globally. The company is headquartered in London, the United Kingdom.

Merchants Bancorp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Merchants Bancorp is the diversified bank holding company in the United States. The company is headquartered in Carmel, Indiana.

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