WallStSmart

HSBC Holdings PLC ADR (HSBC)vsTexas Capital Bancshares, Inc. (TCBI)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

HSBC Holdings PLC ADR generates 5021% more annual revenue ($63.77B vs $1.25B). HSBC leads profitability with a 35.0% profit margin vs 28.7%. HSBC appears more attractively valued with a PEG of 0.90. TCBI earns a higher WallStSmart Score of 79/100 (B+).

HSBC

Buy

63

out of 100

Grade: C+

Growth: 6.0Profit: 7.5Value: 7.0Quality: 4.0
Piotroski: 4/9Altman Z: 0.33

TCBI

Strong Buy

79

out of 100

Grade: B+

Growth: 8.7Profit: 7.5Value: 6.3Quality: 5.5
Piotroski: 6/9Altman Z: -0.63

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HSBC5 strengths · Avg: 9.2/10
Market CapQuality
$311.14B10/10

Mega-cap, among the largest globally

Profit MarginProfitability
35.0%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
50.7%10/10

Strong operational efficiency at 50.7%

PEG RatioValuation
0.908/10

Growing faster than its price suggests

P/E RatioValuation
15.0x8/10

Attractively priced relative to earnings

TCBI6 strengths · Avg: 9.3/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
32.2%10/10

Strong operational efficiency at 32.2%

EPS GrowthGrowth
69.6%10/10

Earnings expanding 69.6% YoY

Profit MarginProfitability
28.7%9/10

Keeps 29 of every $100 in revenue as profit

Debt/EquityHealth
0.249/10

Conservative balance sheet, low leverage

P/E RatioValuation
13.7x8/10

Attractively priced relative to earnings

Areas to Watch

HSBC3 concerns · Avg: 3.3/10
Revenue GrowthGrowth
3.3%4/10

3.3% revenue growth

EPS GrowthGrowth
2.6%4/10

2.6% earnings growth

Altman Z-ScoreHealth
0.332/10

Distress zone — elevated risk

TCBI1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
-0.632/10

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 35.0% and operating margin at 50.7%. PEG of 0.90 suggests the stock is reasonably priced for its growth.

Bull Case : TCBI

The strongest argument for TCBI centers on Price/Book, Operating Margin, EPS Growth. Profitability is solid with margins at 28.7% and operating margin at 32.2%. Revenue growth of 16.9% demonstrates continued momentum.

Bear Case : HSBC

The primary concerns for HSBC are Revenue Growth, EPS Growth, Altman Z-Score.

Bear Case : TCBI

The primary concerns for TCBI are Altman Z-Score.

Key Dynamics to Monitor

HSBC profiles as a value stock while TCBI is a growth play — different risk/reward profiles.

TCBI carries more volatility with a beta of 0.68 — expect wider price swings.

TCBI is growing revenue faster at 16.9% — sustainability is the question.

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

Bottom Line

TCBI scores higher overall (79/100 vs 63/100), backed by strong 28.7% margins and 16.9% revenue growth. Both earn "Strong Buy" and "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.

Texas Capital Bancshares, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Texas Capital Bancshares, Inc. is the banking holding company for Texas Capital Bank, a National Association that offers various banking products and services for commercial companies, professionals and entrepreneurs. The company is headquartered in Dallas, Texas.

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