John Marshall Bancorp (NASDAQ:JMSB – Get Free Report) and Premier Financial (NASDAQ:PFC – Get Free Report) are both small-cap finance companies, but which is the better investment? We will contrast the two companies based on the strength of their profitability, institutional ownership, analyst recommendations, risk, valuation, earnings and dividends.
Profitability
This table compares John Marshall Bancorp and Premier Financial’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| John Marshall Bancorp | 15.23% | 7.20% | 0.76% |
| Premier Financial | 16.12% | 7.66% | 0.87% |
Earnings and Valuation
This table compares John Marshall Bancorp and Premier Financial”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| John Marshall Bancorp | $53.32 million | 4.65 | $17.12 million | $1.20 | 14.51 |
| Premier Financial | $243.59 million | 4.13 | $71.40 million | $1.99 | 14.09 |
Institutional & Insider Ownership
39.1% of John Marshall Bancorp shares are held by institutional investors. Comparatively, 66.1% of Premier Financial shares are held by institutional investors. 12.7% of John Marshall Bancorp shares are held by company insiders. Comparatively, 2.2% of Premier Financial shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.
Analyst Ratings
This is a breakdown of current ratings and recommmendations for John Marshall Bancorp and Premier Financial, as provided by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| John Marshall Bancorp | 0 | 0 | 0 | 0 | 0.00 |
| Premier Financial | 0 | 3 | 1 | 0 | 2.25 |
Premier Financial has a consensus target price of $22.50, indicating a potential downside of 19.76%. Given Premier Financial’s stronger consensus rating and higher probable upside, analysts clearly believe Premier Financial is more favorable than John Marshall Bancorp.
Risk and Volatility
John Marshall Bancorp has a beta of 0.64, suggesting that its stock price is 36% less volatile than the S&P 500. Comparatively, Premier Financial has a beta of 1.28, suggesting that its stock price is 28% more volatile than the S&P 500.
Dividends
John Marshall Bancorp pays an annual dividend of $0.25 per share and has a dividend yield of 1.4%. Premier Financial pays an annual dividend of $1.24 per share and has a dividend yield of 4.4%. John Marshall Bancorp pays out 20.8% of its earnings in the form of a dividend. Premier Financial pays out 62.3% 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.
Summary
Premier Financial beats John Marshall Bancorp on 12 of the 16 factors compared between the two stocks.
About John Marshall Bancorp
John Marshall Bancorp, Inc. operates as the bank holding company for John Marshall Bank that provides banking products and financial services. The company accepts checking, demand, NOW, savings, and money market accounts, as well as certificates of deposit. It offers residential and commercial construction and development loans, commercial term, mortgage, commercial real estate, industrial loans, and other commercial lines of credit; debit and credit cards; and treasury and cash management, investment, business and personal insurance, remote deposit capture, deposit sweep and online and mobile banking services. The company serves small to medium-sized businesses, their owners and employees, professional corporations, non-profits, and individuals. The company was founded in 2005 and is headquartered in Reston, Virginia.
About Premier Financial
Premier Financial Corp., through its subsidiaries, provides various banking services. It offers demand, checking, money market, and savings accounts, as well as certificates of deposits and certificates of deposit account registry service; and investment products. The company also provides residential and commercial real estate, commercial, construction, home improvement and home equity, installment, and consumer loans. In addition, it invests in the U.S. treasury and federal government agency obligations, obligations of states and political subdivisions, mortgage-backed securities that are issued by federal agencies, residential collateralized mortgage obligations, and corporate bonds. Further, the company offers property and casualty, life, and group health insurance agency services; mezzanine funding services; and digital banking services, which include mobile banking, zelle, online bill pay, and online account opening, as well as the MoneyPass ATM network. It operates in Ohio, Michigan, Indiana, Pennsylvania, and West Virginia. The company was formerly known as First Defiance Financial Corp. and changed its name to Premier Financial Corp. in June 2020. Premier Financial Corp. was founded in 1920 and is headquartered in Defiance, Ohio.
Receive News & Ratings for John Marshall Bancorp Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for John Marshall Bancorp and related companies with MarketBeat.com's FREE daily email newsletter.
