Head-To-Head Survey: Customers Bancorp (CUBI) vs. Deutsche Bank (DB)

Deutsche Bank (NYSE: DB) and Customers Bancorp (NYSE:CUBI) are both financials companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, profitability, dividends, analyst recommendations, earnings, institutional ownership and risk.

Valuation & Earnings

This table compares Deutsche Bank and Customers Bancorp’s top-line revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Deutsche Bank $44.58 billion 0.86 -$1.55 billion ($0.60) -30.95
Customers Bancorp $345.70 million 2.67 $78.70 million $2.05 14.63

Customers Bancorp has lower revenue, but higher earnings than Deutsche Bank. Deutsche Bank is trading at a lower price-to-earnings ratio than Customers Bancorp, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Deutsche Bank and Customers Bancorp, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Deutsche Bank 4 6 1 0 1.73
Customers Bancorp 0 2 2 0 2.50

Deutsche Bank currently has a consensus target price of $18.03, suggesting a potential downside of 2.92%. Customers Bancorp has a consensus target price of $42.33, suggesting a potential upside of 41.11%. Given Customers Bancorp’s stronger consensus rating and higher probable upside, analysts plainly believe Customers Bancorp is more favorable than Deutsche Bank.

Dividends

Deutsche Bank pays an annual dividend of $0.21 per share and has a dividend yield of 1.1%. Customers Bancorp does not pay a dividend. Deutsche Bank pays out -35.0% of its earnings in the form of a dividend.

Volatility and Risk

Deutsche Bank has a beta of 1.42, meaning that its stock price is 42% more volatile than the S&P 500. Comparatively, Customers Bancorp has a beta of 0.61, meaning that its stock price is 39% less volatile than the S&P 500.

Institutional & Insider Ownership

20.9% of Deutsche Bank shares are owned by institutional investors. Comparatively, 87.8% of Customers Bancorp shares are owned by institutional investors. 8.7% of Customers Bancorp shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Profitability

This table compares Deutsche Bank and Customers Bancorp’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Deutsche Bank -0.42% 3.65% 0.16%
Customers Bancorp 19.75% 15.38% 1.02%

Summary

Customers Bancorp beats Deutsche Bank on 12 of the 16 factors compared between the two stocks.

Deutsche Bank Company Profile

Deutsche Bank AG is a bank and holding company for its subsidiaries. The Company offers a range of investment, financial and related products and services to private individuals, corporate entities and institutional clients. It operates through six divisions: Global Markets, which offers financial products, including trading and hedging services to institutions and corporate clients; Corporate & Investment Banking, which brings together its commercial banking, corporate finance and transaction banking capability; Private, Wealth and Commercial Clients, which combines its capability in private and commercial banking, as well as in wealth management solutions; Deutsche Asset Management, whose investment capabilities span both active and passive strategies and an array of asset classes, including equities, fixed income, real estate and sustainable investments; Postbank, which is a German financial service provider for retail, business and corporate clients, and Non-Core Operations Unit.

Customers Bancorp Company Profile

Customers Bancorp, Inc. (Customers Bancorp) is a bank holding company engaged in banking activities through its subsidiary, Customers Bank (the Bank). The Bank provides financial products and services to small and middle market businesses, not-for-profits, and consumers through its branches and offices in Southeastern Pennsylvania (Bucks, Berks, Chester, Delaware and Philadelphia Counties), Rye Brook, Melville and New York, New York (Westchester, Suffolk and New York Counties), Hamilton, New Jersey (Mercer County), Providence, Rhode Island (Providence County), Portsmouth, New Hampshire (Rockingham County) and Boston, Massachusetts (Suffolk County). The Bank also provides liquidity to the mortgage market nationwide through the operation of its loans to mortgage banking companies. The Bank offers a range of traditional loan and deposit banking products, and financial services. Customers Bank offers a range of lending products.

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