Flushing Financial (NASDAQ:FFIC) vs. LifeStore Financial Group (OTCMKTS:LSFG) Critical Contrast

Flushing Financial (NASDAQ:FFIC) and LifeStore Financial Group (OTCMKTS:LSFG) 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, profitability, dividends, analyst recommendations, institutional ownership, earnings and risk.

Profitability

This table compares Flushing Financial and LifeStore Financial Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Flushing Financial	7.15%	6.25%	0.50%
LifeStore Financial Group	N/A	N/A	N/A

Volatility and Risk

Flushing Financial has a beta of 0.76, suggesting that its share price is 24% less volatile than the S&P 500. Comparatively, LifeStore Financial Group has a beta of 0.45, suggesting that its share price is 55% less volatile than the S&P 500.

Earnings and Valuation

This table compares Flushing Financial and LifeStore Financial Group”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Flushing Financial	$489.63 million	1.07	$18.88 million	$1.00	15.42
LifeStore Financial Group	$33.78 million	1.65	$5.56 million	N/A	N/A

Flushing Financial has higher revenue and earnings than LifeStore Financial Group.

Dividends

Flushing Financial pays an annual dividend of $0.88 per share and has a dividend yield of 5.7%. LifeStore Financial Group pays an annual dividend of $0.65 per share and has a dividend yield of 1.2%. Flushing Financial pays out 88.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Insider and Institutional Ownership

67.1% of Flushing Financial shares are owned by institutional investors. 5.7% of Flushing Financial shares are owned by company insiders. Comparatively, 12.2% of LifeStore Financial Group 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.

Analyst Ratings

This is a summary of current ratings for Flushing Financial and LifeStore Financial Group, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Flushing Financial	0	4	0	0	2.00
LifeStore Financial Group	0	0	0	0	0.00

Flushing Financial presently has a consensus price target of $16.80, indicating a potential upside of 8.95%. Given Flushing Financial’s stronger consensus rating and higher probable upside, equities analysts plainly believe Flushing Financial is more favorable than LifeStore Financial Group.

Summary

Flushing Financial beats LifeStore Financial Group on 10 of the 13 factors compared between the two stocks.

About Flushing Financial

Flushing Financial Corporation operates as the bank holding company for Flushing Bank that provides banking products and services primarily to consumers, businesses, and governmental units. It offers various deposit products, including checking and savings accounts, money market accounts, non-interest bearing demand accounts, NOW accounts, and certificates of deposit. The company also provides mortgage loans secured by multi-family residential, commercial real estate, one-to-four family mixed-use property, one-to-four family residential property, and commercial business loans; construction loans; small business administration loans and other small business loans; mortgage loan surrogates, such as mortgage-backed securities; and consumer loans, including overdraft lines of credit, as well as the United States government securities, corporate fixed-income securities, and other marketable securities. It operates full-service banking offices in Queens, Nassau, Suffolk, Kings, and New York counties, New York; and an internet branch under the iGObanking and BankPurely brands. Flushing Financial Corporation was founded in 1929 and is based in Uniondale, New York.

About LifeStore Financial Group

LifeStore Financial Group, Inc. operates as a federally chartered thrift holding company for LifeStore Bank that provides personal and business banking products and services in North Carolina. The company offers checking, savings, and money market accounts, as well as certificates of deposit; mortgage loans, automobile loans, home equity lines of credit, commercial real estate loans, commercial construction loans, investment property loans, equipment loans, working capital loans/lines of credit, and small business administration loans; and credit cards. It also provides insurance agency products and services; investment and cash management services; and online and mobile banking services. The company was formerly known as AF Financial Group and changed its name to LifeStore Financial Group, Inc. in September 2009. LifeStore Financial Group, Inc. was founded in 1939 and is headquartered in West Jefferson, North Carolina. Lifestore Financial Group, Inc. operates as a subsidiary of AsheCo MHC, Inc.