Danske Bank vs Jyske Bank Which Performs Better?

Danske Bank and Jyske Bank are two prominent financial institutions in Denmark, each with a long history of providing banking services to customers. Both banks offer a range of financial products and services, including savings accounts, loans, and investment opportunities. Investors looking to add Danish banking stocks to their portfolio may consider comparing Danske Bank and Jyske Bank. Understanding the strengths, weaknesses, and potential growth opportunities of these two banks can help investors make informed decisions about which stock to invest in.

Danske Bank or Jyske Bank?

When comparing Danske Bank and Jyske Bank, different investors may prioritize various metrics based on their investment strategies and goals. So, ask yourself what type of investor you are. This will guide you in determining which metrics are most important for your investment decision between Danske Bank and Jyske Bank.

Dividend Investors:

Dividend investors look for stable and growing income streams, using dividend metrics to assess potential investments. A company's dividend yield essentially measures the size of its dividend relative to the total market value of the company. Danske Bank has a dividend yield of 8.02%, while Jyske Bank has a dividend yield of 1.34%. Beyond the yield itself, considering the growth and sustainability of these dividends is also crucial. Danske Bank reports a 5-year dividend growth of 16.92% year and a payout ratio of 77.06%. On the other hand, Jyske Bank reports a 5-year dividend growth of 0.00% year and a payout ratio of 9.53%.

Value Investors:

Value investors focus on financial metrics to determine a stock's intrinsic value compared to its market value. The Price-to-Earnings (P/E) Ratio links stock price to a company's earnings per share, with Danske Bank P/E ratio at 8.81 and Jyske Bank's P/E ratio at 6.98. Another crucial valuation metric is the Price-to-Book (P/B) Ratio, which compares stock price with book value per share. Danske Bank P/B ratio is 1.18 while Jyske Bank's P/B ratio is 0.72.

Growth Investors:

Growth investors prioritize metrics indicative of a company's expansion potential. Focusing on top-line growth, Danske Bank has seen a 5-year revenue growth of 0.23%, while Jyske Bank's is 1.08%. Return on Equity (ROE) measures how effectively a company uses equity investment to generate earnings, with Danske Bank's ROE at 13.42% and Jyske Bank's ROE at 11.19%.

Retail Investors:

Retail investors often consider stock affordability and company familiarity. For example, day low prices are $17.41 for Danske Bank and kr567.50 for Jyske Bank. Over the past year, Danske Bank's prices ranged from $13.50 to $17.61, with a yearly change of 30.44%. Jyske Bank's prices fluctuated between kr469.00 and kr616.50, with a yearly change of 31.45%. Brand recognition also plays a role, as familiarity with a company can influence investment decisions.