ICICI Bank (NYSE:IBN) vs. Third Coast Bancshares (NASDAQ:TCBX) Critical Comparison

ICICI Bank (NYSE:IBN) and Third Coast Bancshares (NASDAQ:TCBX) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their profitability, institutional ownership, earnings, risk, valuation, analyst recommendations and dividends.

Institutional & Insider Ownership

18.2% of ICICI Bank shares are owned by institutional investors. Comparatively, 36.9% of Third Coast Bancshares shares are owned by institutional investors. 10.5% of Third Coast Bancshares shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company will outperform the market over the long term.

Dividends

ICICI Bank pays an annual dividend of $0.21 per share and has a dividend yield of 0.7%. Third Coast Bancshares pays an annual dividend of $16.87 per share and has a dividend yield of 37.1%. ICICI Bank pays out 13.3% of its earnings in the form of a dividend. Third Coast Bancshares pays out 420.7% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Analyst Ratings

This is a summary of current ratings and recommmendations for ICICI Bank and Third Coast Bancshares, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ICICI Bank	0	2	1	1	2.75
Third Coast Bancshares	0	2	3	0	2.60

Third Coast Bancshares has a consensus target price of $46.00, suggesting a potential upside of 1.07%. Given Third Coast Bancshares’ higher probable upside, analysts plainly believe Third Coast Bancshares is more favorable than ICICI Bank.

Earnings & Valuation

This table compares ICICI Bank and Third Coast Bancshares”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ICICI Bank	$22.73 billion	4.80	$6.13 billion	$1.58	19.23
Third Coast Bancshares	$234.99 million	3.21	$47.67 million	$4.01	11.35

ICICI Bank has higher revenue and earnings than Third Coast Bancshares. Third Coast Bancshares is trading at a lower price-to-earnings ratio than ICICI Bank, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares ICICI Bank and Third Coast Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ICICI Bank	25.60%	13.81%	1.82%
Third Coast Bancshares	16.30%	12.05%	1.17%

Risk & Volatility

ICICI Bank has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500. Comparatively, Third Coast Bancshares has a beta of 0.32, indicating that its share price is 68% less volatile than the S&P 500.

Summary

ICICI Bank beats Third Coast Bancshares on 11 of the 17 factors compared between the two stocks.

About ICICI Bank

ICICI Bank Limited provides various banking products and services in India and internationally. It operates through Retail Banking, Wholesale Banking, Treasury, Other Banking, Life Insurance, and Others segments. The company offers savings, salary, pension, current, and other accounts; and time, fixed, recurring, and security deposits services. It also provides home, car, two-wheeler, personal, gold, and commercial business loans, as well as loans against securities and other loans; business loans, including working capital finance, term loans, collateral free loans, loans without financials, finance for importers and exporters, and overdraft facilities, as well as loans for new entities and card swipes; and credit, debit, prepaid, travel, forex, and corporate cards. In addition, the company offers pockets wallet; fixed income products; investment products, such as mutual funds, gold monetization schemes, initial public offerings, and other online investment services; and agri and rural business, farmer finance, tractor loans, and micro banking services, as well as other services to agri corporates. Further, it provides portfolio management, trade, foreign exchange, locker, private and NRI banking, and cash management services; family wealth and demat accounts; commercial and investment banking, capital market, custodial, and institutional banking services; health, personal accident, fire, and motor insurance, as well as distributes general and life insurance products; and Internet, mobile, and phone banking services. Additionally, the company offers securities investment, broking, trading, and underwriting services; and merchant banking, trusteeship, housing finance, pension fund management, asset management, investment advisory, points of presence, and private equity/venture capital fund management services. ICICI Bank Limited was founded in 1955 and is headquartered in Mumbai, India.

About Third Coast Bancshares

Third Coast Bancshares, Inc. operates as a bank holding company for Third Coast Bank, SSB that provides various commercial banking solutions to small and medium-sized businesses, and professionals. The company's deposit products include checking, savings, individual retirement, and money market accounts, as well as certificates of deposit. It also offers commercial and industrial loans, equipment loans, working capital lines of credit, guaranteed loans, auto finance, letters of credit, commercial and residential real estate, and construction, development, and other loans. In addition, the company provides retail and commercial online banking platforms, mobile banking apps, mortgage, treasury management solutions, merchant card services, and customer digital solutions, as well as debit and credit cards. Third Coast Bancshares, Inc. was founded in 2008 and is headquartered in Humble, Texas.