Parke Bancorp (NASDAQ:PKBK) vs. Bank First National (NASDAQ:BFC) Head-To-Head Comparison

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

Valuation and Earnings

This table compares Parke Bancorp and Bank First National”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Parke Bancorp	$146.08 million	2.48	$37.78 million	$3.50	8.81
Bank First National	$243.93 million	6.40	$71.50 million	$7.19	19.46

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

Analyst Ratings

This is a summary of recent ratings and target prices for Parke Bancorp and Bank First National, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Parke Bancorp	0	0	1	0	3.00
Bank First National	1	1	2	1	2.60

Bank First National has a consensus target price of $161.00, suggesting a potential upside of 15.07%. Given Bank First National’s higher possible upside, analysts clearly believe Bank First National is more favorable than Parke Bancorp.

Dividends

Parke Bancorp pays an annual dividend of $0.72 per share and has a dividend yield of 2.3%. Bank First National pays an annual dividend of $2.00 per share and has a dividend yield of 1.4%. Parke Bancorp pays out 20.6% of its earnings in the form of a dividend. Bank First National pays out 27.8% 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. Bank First National has raised its dividend for 10 consecutive years. Parke Bancorp is clearly the better dividend stock, given its higher yield and lower payout ratio.

Insider and Institutional Ownership

49.7% of Parke Bancorp shares are owned by institutional investors. Comparatively, 30.0% of Bank First National shares are owned by institutional investors. 13.0% of Parke Bancorp shares are owned by insiders. Comparatively, 5.0% of Bank First National shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

Parke Bancorp has a beta of 0.48, indicating that its share price is 52% less volatile than the S&P 500. Comparatively, Bank First National has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Parke Bancorp	28.04%	13.02%	1.90%
Bank First National	27.49%	11.89%	1.66%

About Parke Bancorp

Parke Bancorp, Inc. operates as the bank holding company for Parke Bank that provides personal and business financial services to individuals and small to mid-sized businesses. The company offers various deposit products, including checking, savings, time, money market, and individual retirement accounts, as well as certificates of deposit. Its loan portfolio comprises commercial and industrial, construction, commercial and residential real estate mortgage, and consumer loans. In addition, the company provides debit cards, internet banking, and online bill payment services. Parke Bancorp, Inc. was founded in 1999 and is headquartered in Washington Township, New Jersey.

About Bank First National

Bank First Corporation operates as a holding company for Bank First, N.A. that provides consumer and commercial financial services to businesses, professionals, consumers, associations, individuals, and governmental authorities in Wisconsin. It offers checking, savings, money market, cash management, retirement, and health savings accounts; other time deposits; certificates of deposit; and residential mortgage products. The company's loan products include real estate loans, including commercial real estate, residential mortgage, and home equity loans; commercial and industrial loans for working capital, accounts receivable, inventory financing, and other business purposes; construction and development loans; residential 1-4 family loans; and consumer loans for personal and household purposes, including secured and unsecured installment loans, and revolving lines of credit. It also provides credit cards; ATM processing; insurance; data processing and other information technology; investment and safekeeping; treasury management; and online, telephone, and mobile banking services. The company was formerly known as Bank First National Corporation and changed its name to Bank First Corporation in June 2019. Bank First Corporation was founded in 1894 and is headquartered in Manitowoc, Wisconsin.