Pioneer Bancorp (NASDAQ:PBFS) & First Bank (NASDAQ:FRBA) Critical Survey

First Bank (NASDAQ:FRBA) and Pioneer Bancorp (NASDAQ:PBFS) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their risk, valuation, analyst recommendations, profitability, earnings, dividends and institutional ownership.

Risk & Volatility

First Bank has a beta of 0.85, suggesting that its stock price is 15% less volatile than the S&P 500. Comparatively, Pioneer Bancorp has a beta of 0.49, suggesting that its stock price is 51% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings for First Bank and Pioneer Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Bank	0	1	2	1	3.00
Pioneer Bancorp	0	0	1	0	3.00

First Bank currently has a consensus target price of $18.25, suggesting a potential upside of 15.58%. Given First Bank’s higher possible upside, equities research analysts clearly believe First Bank is more favorable than Pioneer Bancorp.

Earnings & Valuation

This table compares First Bank and Pioneer Bancorp”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Bank	$229.43 million	N/A	$42.24 million	$1.66	9.51
Pioneer Bancorp	$31.81 million	10.46	$6.45 million	$0.87	15.11

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

Institutional and Insider Ownership

64.9% of First Bank shares are held by institutional investors. 13.1% of First Bank shares are held by company insiders. Comparatively, 2.5% of Pioneer Bancorp shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
First Bank	17.27%	10.12%	1.08%
Pioneer Bancorp	18.33%	7.07%	1.07%

Summary

First Bank beats Pioneer Bancorp on 11 of the 13 factors compared between the two stocks.

About First Bank

First Bank provides various banking products and services to small to mid-sized businesses and individuals. The company accepts various deposits, including non-interest-bearing demand deposits, interest bearing demand accounts, money market accounts, savings accounts, and certificates of deposit, as well as commercial checking accounts. It also offers various loan products comprising commercial and industrial loans, which include line of credit, inventory, equipment, and short-term working capital financing; commercial real estate loans, such as owner-occupied, investor, construction and development, and multi-family loans; residential real estate loans comprising residential mortgages, first and second lien home equity loans, and revolving lines of credit; and consumer and other loans consists of auto, personal, traditional installment, and other loans. The company also provides electronic banking services, including Internet and mobile banking, electronic bill payment, and banking by phone; ATM and debit cards, and wire and ACH transfer services; remote deposit capture; and cash management services, as well as engages in the capital markets activities. It operates full-service branches in Cinnaminson, Delanco, Denville, Ewing, Fairfield, Flemington, Hamilton, Lawrence, Monroe, Pennington, Randolph, Somerset, and Williamstown, New Jersey; Doylestown, Trevose, Warminster, and West Chester, Paoli, Malvern, Coventry, Devon, Lionville, and Glen Mills Pennsylvania; and Palm Beach, Florida. First Bank was incorporated in 2007 and is headquartered in Hamilton, New Jersey.

About Pioneer Bancorp

Pioneer Bancorp, Inc. operates as a holding company for Pioneer Savings Bank that provides various banking products and services in New York. The company accepts various deposit products, such as demand, savings, and money market accounts, as well as certificates of deposit accounts. Its loan products include commercial real estate, commercial and industrial, commercial construction, residential mortgage lending, consumer loans, and home equity lines of credit. The company also invests in the U.S. governmental securities, fixed rate collateralized mortgage obligations, mortgage-backed securities, fixed-rate investment grade bonds, and equity securities. In addition, the company offers personal and commercial insurance products, including homeowners, automobile, and comprehensive business insurance; employee benefit products and services, such as group health, dental, disability, and life insurance products, as well as defined contribution, defined benefit administration, and human resource management services; and wealth management services comprising investment advice, retirement income planning, estate planning, business succession, and employer retirement planning. The company was founded in 1889 and is based in Albany, New York. Pioneer Bancorp, Inc. operates as a subsidiary of Pioneer Bancorp, MHC.