Contrasting HSBC (NYSE:HSBC) and Fidelity Federal Bancorp (OTCMKTS:FDLB)

Fidelity Federal Bancorp (OTCMKTS:FDLB) and HSBC (NYSE:HSBC) are both finance companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, analyst recommendations, earnings, dividends, institutional ownership and profitability.

Profitability

This table compares Fidelity Federal Bancorp and HSBC’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fidelity Federal Bancorp	N/A	N/A	N/A
HSBC	15.61%	10.60%	0.68%

Earnings and Valuation

This table compares Fidelity Federal Bancorp and HSBC”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fidelity Federal Bancorp	N/A	N/A	N/A	N/A	N/A
HSBC	$64.07 billion	2.59	$23.53 billion	$5.80	7.64

HSBC has higher revenue and earnings than Fidelity Federal Bancorp.

Volatility and Risk

Fidelity Federal Bancorp has a beta of 0.05, meaning that its stock price is 95% less volatile than the S&P 500. Comparatively, HSBC has a beta of 0.56, meaning that its stock price is 44% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings for Fidelity Federal Bancorp and HSBC, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fidelity Federal Bancorp	0	0	0	0	N/A
HSBC	2	2	0	1	2.00

Institutional & Insider Ownership

1.5% of HSBC shares are owned by institutional investors. 72.2% of Fidelity Federal Bancorp shares are owned by insiders. Comparatively, 0.0% of HSBC shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Summary

HSBC beats Fidelity Federal Bancorp on 7 of the 8 factors compared between the two stocks.

About Fidelity Federal Bancorp

Fidelity Federal Bancorp operates as a bank holding company for United Fidelity Bank, Fsb, offers personal and business banking services. The company offers checking accounts, savings accounts, retirement accounts, health savings, personal line of credit, and commercial lending services. It also provides credit and debit cards; safe deposit boxes; and online and telephone banking services. Fidelity Federal Bancorp is based in Evansville, Indiana. Fidelity Federal Bancorp operates as a subsidiary of Pedcor Financial Bancorp.

About HSBC

HSBC Holdings plc provides banking and financial services worldwide. The company operates through Wealth and Personal Banking, Commercial Banking, and Global Banking and Markets segments. The Wealth and Personal Banking segment offers retail banking and wealth products, including current and savings accounts, mortgages and personal loans, credit and debit cards, and local and international payment services; and wealth management services comprising insurance and investment products, global asset management services, investment management, and private wealth solutions. This segment serves personal banking and high net worth individuals. The Commercial Banking segment provides credit and lending, treasury management, payment, cash management, commercial insurance, and investment services; commercial cards; international trade and receivables finance services; foreign exchange products; capital raising services on debt and equity markets; and advisory services. It serves small and medium sized enterprises, mid-market enterprises, and corporates. The Global Banking and Markets segment offers financing, advisory, and transaction services; and credit, rates, foreign exchange, equities, money markets, and securities services; and engages in principal investment activities. It serves government, corporate and institutional clients, and private investors. HSBC Holdings plc was founded in 1865 and is headquartered in London, the United Kingdom.