Financial Survey: Bridgewater Bancshares (NASDAQ:BWB) versus Princeton Bancorp (NASDAQ:BPRN)

Bridgewater Bancshares (NASDAQ:BWB) and Princeton Bancorp (NASDAQ:BPRN) are both small-cap finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their institutional ownership, dividends, risk, earnings, profitability, analyst recommendations and valuation.

Analyst Ratings

This is a breakdown of current recommendations for Bridgewater Bancshares and Princeton Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bridgewater Bancshares	0	1	2	0	2.67
Princeton Bancorp	0	1	1	0	2.50

Bridgewater Bancshares currently has a consensus target price of $20.00, indicating a potential upside of 16.89%. Princeton Bancorp has a consensus target price of $37.50, indicating a potential upside of 16.46%. Given Bridgewater Bancshares’ stronger consensus rating and higher probable upside, research analysts plainly believe Bridgewater Bancshares is more favorable than Princeton Bancorp.

Volatility & Risk

Bridgewater Bancshares has a beta of 0.58, suggesting that its share price is 42% less volatile than the S&P 500. Comparatively, Princeton Bancorp has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500.

Valuation & Earnings

This table compares Bridgewater Bancshares and Princeton Bancorp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bridgewater Bancshares	$253.27 million	1.86	$32.83 million	$1.22	14.02
Princeton Bancorp	$131.10 million	1.66	$7.22 million	$1.07	30.09

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

Profitability

This table compares Bridgewater Bancshares and Princeton Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bridgewater Bancshares	14.03%	9.73%	0.77%
Princeton Bancorp	N/A	N/A	N/A

Insider and Institutional Ownership

65.8% of Bridgewater Bancshares shares are held by institutional investors. Comparatively, 43.4% of Princeton Bancorp shares are held by institutional investors. 23.3% of Bridgewater Bancshares shares are held by insiders. Comparatively, 23.0% of Princeton Bancorp shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

Bridgewater Bancshares beats Princeton Bancorp on 12 of the 14 factors compared between the two stocks.

About Bridgewater Bancshares

Bridgewater Bancshares, Inc. operates as the bank holding company for Bridgewater Bank that provides banking products and services to commercial real estate investors, entrepreneurs, business clients, and individuals in the United States. The company provides savings and money market accounts, demand deposits, time and brokered deposits, and interest and noninterest bearing transaction, as well as certificates of deposit. It offers commercial loans to sole proprietorships, partnerships, corporations, and other business enterprises to finance working capital, capital investment, or for other business related purposes; paycheck protection program loans; construction and land development loans; 1-4 family mortgage loans; multifamily lending products; owner and non-owner occupied commercial real estate loans; and consumer and other loans. In addition, the company online, mobile, and direct banking services. Bridgewater Bancshares, Inc. was incorporated in 2005 and is headquartered in Saint Louis Park, Minnesota.

About Princeton Bancorp

Princeton Bancorp, Inc. operates as the bank holding company for The Bank of Princeton that provides various banking products and services. It accepts various deposit products, including checking, savings, attorney trust, and money market accounts, as well as certificates of deposit. The company also offers traditional retail banking services, one-to-four-family residential mortgage loans, multi-family and commercial mortgage loans, construction loans, and commercial business loans, as well as consumer loans, including home equity loans and lines of credit. In addition, it provides debit and credit cards, and money orders, direct deposit, automated teller machines, cashier's checks, safe deposit boxes, online banking, wire transfers, night depository, remote deposit capture, bank-by-mail, online, and automated telephone banking services, as well as payroll-related services and merchant credit card processing services. Further, the company offers full on-line statements, on-line bill payment, account inquiries, mobile banking, transaction histories and details, and account-to-account transfer services. Princeton Bancorp, Inc. was founded in 2007 and is headquartered in Princeton, New Jersey.