Head to Head Review: Pacific Valley Bancorp (OTCMKTS:PVBK) versus First Financial Bancorp. (NASDAQ:FFBC)

First Financial Bancorp. (NASDAQ:FFBC) and Pacific Valley Bancorp (OTCMKTS:PVBK) are both finance companies, but which is the superior business? We will contrast the two companies based on the strength of their earnings, analyst recommendations, dividends, risk, institutional ownership, profitability and valuation.

Earnings and Valuation

This table compares First Financial Bancorp. and Pacific Valley Bancorp”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Financial Bancorp.	$840.71 million	2.74	$228.83 million	$2.41	9.97
Pacific Valley Bancorp	$30.26 million	1.67	$4.42 million	$0.85	12.00

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

Institutional and Insider Ownership

77.2% of First Financial Bancorp. shares are owned by institutional investors. Comparatively, 2.8% of Pacific Valley Bancorp shares are owned by institutional investors. 1.1% of First Financial Bancorp. shares are owned 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.

Profitability

This table compares First Financial Bancorp. and Pacific Valley Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Financial Bancorp.	18.67%	10.52%	1.38%
Pacific Valley Bancorp	14.62%	N/A	N/A

Volatility and Risk

First Financial Bancorp. has a beta of 0.97, indicating that its stock price is 3% less volatile than the S&P 500. Comparatively, Pacific Valley Bancorp has a beta of 0.21, indicating that its stock price is 79% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations for First Financial Bancorp. and Pacific Valley Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Financial Bancorp.	0	3	1	0	2.25
Pacific Valley Bancorp	0	0	0	0	0.00

First Financial Bancorp. presently has a consensus price target of $29.25, indicating a potential upside of 21.72%. Given First Financial Bancorp.’s stronger consensus rating and higher possible upside, research analysts plainly believe First Financial Bancorp. is more favorable than Pacific Valley Bancorp.

Summary

First Financial Bancorp. beats Pacific Valley Bancorp on 13 of the 14 factors compared between the two stocks.

About First Financial Bancorp.

First Financial Bancorp. operates as the bank holding company for First Financial Bank that provides commercial banking and related services to individuals and businesses in Ohio, Indiana, Kentucky, and Illinois. The company offers checking, savings, and money-market accounts; and accepts various deposit products, such as interest-bearing and non-interest-bearing accounts, time deposits, and cash management services for commercial customers. It also provides real estate loans secured by residential property, such as one to four family residential housing units or commercial property comprising owner-occupied and/or investor income producing real estate consisting of apartments, shopping centers, and office buildings; commercial and industrial loans for various purposes, including inventory, receivables, and equipment, as well as equipment and leasehold improvement financing for franchisees; consumer loans comprising new and used vehicle loans, second mortgages on residential real estate, and unsecured loans; and home equity lines of credit. In addition, the company offers commercial financing to the insurance industry, registered investment advisors, certified public accountants, indirect auto finance companies, and restaurant franchisees. Further, it provides a range of trust and wealth management services; lease and equipment financing services; and currency payments, foreign exchange hedging, and other advisory products. First Financial Bancorp. was founded in 1863 and is headquartered in Cincinnati, Ohio.

About Pacific Valley Bancorp

Pacific Valley Bancorp operates as the bank holding company for Pacific Valley Bank that provides various banking products and services in the United States. The company offers personal and business banking, including checking accounts, savings and money market accounts, and certificates of deposit; and online solutions, such as online and mobile banking, bill pay, remote deposit capture, positive pay, e-statements, and order checks. It also provides commercial or agriculture lines of credit, commercial or agriculture terms loans, commercial constructions loans, agriculture production lending, and government guaranteed loan programs; and debit card, incoming wire instructions, ATM locator, fraud prevention, identity theft, and FDIC insurance estimator services. The company was founded in 2004 and is headquartered in Salinas, California.