Head-To-Head Review: Banco Bradesco (NYSE:BBDO) versus Bank of South Carolina (NASDAQ:BKSC)

Dividends

Banco Bradesco pays an annual dividend of $0.02 per share and has a dividend yield of 0.9%. Bank of South Carolina pays an annual dividend of $0.76 per share and has a dividend yield of 5.8%. Banco Bradesco pays out 8.7% of its earnings in the form of a dividend. Bank of South Carolina pays out 66.7% 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.

Earnings and Valuation

This table compares Banco Bradesco and Bank of South Carolina”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Banco Bradesco	$101.44 billion	0.22	$2.85 billion	$0.23	9.17
Bank of South Carolina	$21.16 million	3.35	$5.49 million	$1.14	11.43

Banco Bradesco has higher revenue and earnings than Bank of South Carolina. Banco Bradesco is trading at a lower price-to-earnings ratio than Bank of South Carolina, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Banco Bradesco has a beta of 1.14, indicating that its stock price is 14% more volatile than the S&P 500. Comparatively, Bank of South Carolina has a beta of 0.47, indicating that its stock price is 53% less volatile than the S&P 500.

Insider and Institutional Ownership

0.2% of Bank of South Carolina shares are held by institutional investors. 0.3% of Banco Bradesco shares are held by company insiders. Comparatively, 29.8% of Bank of South Carolina shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Profitability

This table compares Banco Bradesco and Bank of South Carolina’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Banco Bradesco	7.07%	10.01%	0.84%
Bank of South Carolina	22.15%	13.18%	1.03%

Summary

Bank of South Carolina beats Banco Bradesco on 9 of the 13 factors compared between the two stocks.

About Banco Bradesco

Banco Bradesco S.A., together with its subsidiaries, provides various banking products and services to individuals, corporates, and businesses in Brazil and internationally. The company operates through two segments, Banking and Insurance. It provides current, savings, click, and salary accounts; real estate credit, vehicle financing, payroll loans, mortgage loans, microcredit, leasing, and personal and installment credit; overdraft and agribusiness loans; debit and business cards; financial and security services; consortium products; car, personal accident, dental, travel, and life insurance; investment products; pension products; foreign currency exchange services; capitalization bonds; and internet banking services. Banco Bradesco S.A. was founded in 1943 and is headquartered in Osasco, Brazil.

About Bank of South Carolina

Bank of South Carolina Corporation operates as a bank holding company for The Bank of South Carolina that provides a range of financial products and services primarily in Charleston, Berkeley, and Dorchester counties of South Carolina. Its deposits include non-interest-bearing demand accounts, NOW accounts, money market accounts, time deposits, and savings accounts, as well as certificates of deposit. The company offers secured and unsecured commercial loans, commercial real estate construction loans, consumer construction loans, home equity lines of credit, and mortgage originations, as well as paycheck protection program loans. It operates five banking house locations. The company was founded in 1986 and is headquartered in Charleston, South Carolina.