Financial Survey: Fifth Third Bancorp (NASDAQ:FITBI) vs. New York Community Bancorp (NYSE:NYCB)

New York Community Bancorp (NYSE:NYCB) and Fifth Third Bancorp (NASDAQ:FITBI) are both financial services companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, earnings, dividends, institutional ownership, analyst recommendations, risk and profitability.

Insider & Institutional Ownership

67.9% of New York Community Bancorp shares are owned by institutional investors. 1.6% of New York Community Bancorp shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares New York Community Bancorp and Fifth Third Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
New York Community Bancorp	28.96%	6.22%	0.52%
Fifth Third Bancorp	N/A	N/A	N/A

Valuation & Earnings

This table compares New York Community Bancorp and Fifth Third Bancorp’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
New York Community Bancorp	$8.20 billion	0.29	-$79.00 million	$3.33	0.89
Fifth Third Bancorp	$8.44 billion	N/A	N/A	N/A	N/A

Fifth Third Bancorp has higher revenue and earnings than New York Community Bancorp.

Analyst Recommendations

This is a summary of current ratings and target prices for New York Community Bancorp and Fifth Third Bancorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
New York Community Bancorp	2	13	0	0	1.87
Fifth Third Bancorp	0	0	0	0	N/A

New York Community Bancorp currently has a consensus target price of $5.43, suggesting a potential upside of 82.78%. Given New York Community Bancorp’s higher possible upside, equities analysts clearly believe New York Community Bancorp is more favorable than Fifth Third Bancorp.

Dividends

New York Community Bancorp pays an annual dividend of $0.20 per share and has a dividend yield of 6.7%. Fifth Third Bancorp pays an annual dividend of $1.66 per share and has a dividend yield of 6.6%. New York Community Bancorp pays out 6.0% of its earnings in the form of a dividend. Fifth Third Bancorp has increased its dividend for 1 consecutive years.

Summary

New York Community Bancorp beats Fifth Third Bancorp on 7 of the 10 factors compared between the two stocks.

About New York Community Bancorp

New York Community Bancorp, Inc. operates as the bank holding company for Flagstar Bank, N.A. that provides banking products and services in the United States. The company's deposit products include interest-bearing checking and money market, savings, non-interest-bearing, and retirement accounts, as well as certificates of deposit. Its loan products comprise multi-family loans; commercial real estate loans; acquisition, development, and construction loans; commercial and industrial loans; one-to-four family loans; specialty finance loans and leases; warehouse loans; and other loans, such as home equity lines of credit, boat and recreational vehicle indirect lending, point of sale consumer loans, and other consumer loans, including overdraft loans. The company offers cash management products; non-deposit investment and insurance products; and online banking, mobile banking, and bank-by-phone services. It primarily serves individuals, small and mid-size businesses, and professional associations. The company was formerly known as Queens County Bancorp, Inc. and changed its name to New York Community Bancorp, Inc. in November 2000. New York Community Bancorp, Inc. was founded in 1859 and is headquartered in Hicksville, New York.

About Fifth Third Bancorp

Fifth Third Bancorp operates as the bank holding company for Fifth Third Bank, National Association that engages in the provision of a range of financial products and services in the United States. It operates through three segments: Commercial Banking, Consumer and Small Business Banking, and Wealth and Asset Management. The Commercial Banking segment offers credit intermediation, cash management, and financial services; lending and depository products; and cash management, foreign exchange and international trade finance, derivatives and capital markets services, asset-based lending, real estate finance, public finance, commercial leasing, and syndicated finance for business, government, and professional customers. The Consumer and Small Banking segment provides a range of deposit and loan products to individuals and small businesses; home equity loans and lines of credit; credit cards; and cash management services. This segment also engages in the residential mortgage that include origination, retention and servicing of residential mortgage loans, sales and securitizations of loans, and hedging activities; indirect lending, including extending loans to consumers through automobile dealers, motorcycle dealers, powersport dealers, recreational vehicle dealers, and marine dealers; and home improvement and solar energy installation loans through contractors and installers. The Wealth & Asset Management segment provides various wealth management services for individuals, companies, and not-for-profit organizations. It offers retail brokerage services to individual clients; and broker dealer services to the institutional marketplace. This segment also provides wealth planning, investment management, banking, insurance, and trust and estate services; and advisory services for institutional clients comprising middle market businesses, non-profits, states, and municipalities. The company was founded in 1858 and is headquartered in Cincinnati, Ohio.