Contrasting NatWest Group (NYSE:NWG) and Lion Finance Group (OTCMKTS:BDGSF)

Lion Finance Group (OTCMKTS:BDGSF) and NatWest Group (NYSE:NWG) are both finance companies, but which is the better business? We will compare the two companies based on the strength of their earnings, institutional ownership, risk, dividends, valuation, profitability and analyst recommendations.

Earnings and Valuation

This table compares Lion Finance Group and NatWest Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Lion Finance Group	$1.97 billion	2.36	$911.27 million	$17.40	6.00
NatWest Group	$38.91 billion	1.65	$7.22 billion	$1.79	8.98

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

Volatility and Risk

Lion Finance Group has a beta of 0.36, suggesting that its share price is 64% less volatile than the S&P 500. Comparatively, NatWest Group has a beta of 0.96, suggesting that its share price is 4% less volatile than the S&P 500.

Profitability

This table compares Lion Finance Group and NatWest Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lion Finance Group	32.42%	27.61%	3.77%
NatWest Group	18.59%	13.11%	0.76%

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Lion Finance Group and NatWest Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lion Finance Group	0	0	0	0	0.00
NatWest Group	1	2	2	1	2.50

Insider and Institutional Ownership

1.3% of NatWest Group shares are held by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Summary

NatWest Group beats Lion Finance Group on 8 of the 13 factors compared between the two stocks.

About Lion Finance Group

Bank of Georgia Group PLC, through its subsidiaries, provides banking and financial services with focus on the Georgian and Armenian markets. It operates through Retail Banking, SME Banking, Corporate Investment Banking, and BNB segments. The Retail Banking segment offers consumer loans, mortgage loans, overdrafts, credit cards, and other credit facilities; funds transfer and settlement services; and handles customers' deposits for individuals and legal entities. This segment primarily serves mass retail and affluent, and high-net-worth client segments. The SME Banking segment provides SME loans, micro loans, and consumer and mortgage loans; funds transfers and settlement services; and handles customers' deposits for legal entities. This segment serves small and medium-sized enterprises; and micro businesses. The Corporate Investment Banking segment provides loans and other credit facilities, funds transfers and settlement services, trade finance services, and documentary operations support services; handles saving and term deposits for corporate and institutional customers; and offers brokerage services. The BNB segment provides retail and corporate banking services to clients in Belarus. Bank of Georgia Group PLC was incorporated in 2017 and is headquartered in London, the United Kingdom.

About NatWest Group

NatWest Group plc, together with its subsidiaries, provides banking and financial products and services to personal, commercial, corporate, and institutional customers in the United Kingdom and internationally. It operates through Retail Banking, Private Banking, and Commercial & Institutional segments. The Retail Banking segment offers a range of banking products and related financial services, such as current accounts, mortgages, personal unsecured lending, and personal deposits, as well as mobile and online banking services. The Private Banking segment provides private banking and wealth management products for high-net-worth individuals and their business interests. The Commercial & Institutional segment offers banking and financial solutions to large corporate organisations, multi-nationals, and financial institutions. The company was formerly known as The Royal Bank of Scotland Group plc and changed its name to NatWest Group plc in July 2020. NatWest Group plc was founded in 1727 and is headquartered in Edinburgh, the United Kingdom.