First Community (NASDAQ:FCCO) & PCB Bancorp (NASDAQ:PCB) Head to Head Comparison

First Community (NASDAQ:FCCO) and PCB Bancorp (NASDAQ:PCB) are both small-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their valuation, earnings, risk, dividends, institutional ownership, analyst recommendations and profitability.

Institutional & Insider Ownership

61.3% of First Community shares are held by institutional investors. Comparatively, 33.0% of PCB Bancorp shares are held by institutional investors. 3.0% of First Community shares are held by company insiders. Comparatively, 25.0% of PCB Bancorp shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Dividends

First Community pays an annual dividend of $0.60 per share and has a dividend yield of 2.8%. PCB Bancorp pays an annual dividend of $0.80 per share and has a dividend yield of 4.3%. First Community pays out 33.1% of its earnings in the form of a dividend. PCB Bancorp pays out 46.0% 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.

Profitability

This table compares First Community and PCB Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Community	13.49%	10.14%	0.73%
PCB Bancorp	13.45%	9.02%	0.90%

Valuation & Earnings

This table compares First Community and PCB Bancorp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Community	$61.14 million	2.67	$13.95 million	$1.81	11.77
PCB Bancorp	$99.71 million	2.67	$25.81 million	$1.74	10.61

PCB Bancorp has higher revenue and earnings than First Community. PCB Bancorp is trading at a lower price-to-earnings ratio than First Community, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

First Community has a beta of 0.31, meaning that its stock price is 69% less volatile than the S&P 500. Comparatively, PCB Bancorp has a beta of 0.47, meaning that its stock price is 53% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for First Community and PCB Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Community	0	0	2	1	3.33
PCB Bancorp	0	2	0	0	2.00

First Community presently has a consensus target price of $29.67, indicating a potential upside of 39.21%. PCB Bancorp has a consensus target price of $22.00, indicating a potential upside of 19.11%. Given First Community’s stronger consensus rating and higher probable upside, equities research analysts clearly believe First Community is more favorable than PCB Bancorp.

Summary

First Community beats PCB Bancorp on 11 of the 17 factors compared between the two stocks.

About First Community

First Community Corporation operates as the bank holding company for First Community Bank that provides various commercial and retail banking products and services to small-to-medium sized businesses, professionals, and individuals. The company operates through Commercial and Retail Banking, Mortgage Banking, and Investment Advisory and Non-Deposit segments. Its deposit products include checking, NOW, savings, and individual retirement accounts; and demand deposits, as well as other time deposits, such as daily money market accounts and longer-term certificates of deposit. The company's loan portfolio comprises commercial loans that include secured and unsecured loans for working capital, business expansion, and the purchase of equipment and machinery; consumer loans, including secured and unsecured loans for financing automobiles, home improvements, education, and personal investments; real estate construction and acquisition loans; and fixed and variable rate mortgage loans. It also provides online banking, internet banking, cash management, safe deposit boxes, direct deposit of payroll and social security checks, and automatic drafts for various accounts. In addition, the company offers non-deposit investment products and other investment brokerage services; VISA and MasterCard credit card services; investment advisory services; and insurance services. The company was incorporated in 1994 and is headquartered in Lexington, South Carolina.

About PCB Bancorp

PCB Bancorp operates as the bank holding company for PCB Bank that provides various banking products and services to small to medium-sized businesses, individuals, and professionals in Southern California. The company offers demand, savings, money market, and time deposits, as well as certificates of deposit; and trade finance, remote deposit capture, courier deposit services, positive pay services, zero balance accounts, and sweep accounts. It also provides real estate loans, including commercial and residential, Small Business Administration (SBA) property, and construction loans; commercial and industrial loans, such as commercial term and lines of credit, SBA commercial term, and SBA Paycheck Protection Program loans; and consumer loans comprising residential mortgage; and automobile loans, unsecured lines of credit, and term loans. In addition, the company offers access to account balances, online transfers, and online bill payment and electronic delivery of customer statements; and mobile banking solutions that include remote check deposit and mobile bill pay. Further, it provides automated teller machines; and banking by telephone, mail, personal appointment, debit cards, direct deposit, and cashier's checks, as well as treasury management, wire transfer, and automated clearing house services. The company operates through a network of full-service branches in Los Angeles and Orange counties, California; Carrollton and Dallas, Texas; and Englewood Cliffs and Palisade Park, New Jersey, and Bayside, New York. It also operates loan production offices in Los Angeles and Orange Counties, California; Annandale, Virginia; Atlanta, Georgia; Bellevue, Washington; Aurora, Colorado; and Carrollton, Texas. The company was formerly known as Pacific City Financial Corporation and changed its name to PCB Bancorp in July 2019. PCB Bancorp was founded in 2003 and is headquartered in Los Angeles, California.