Analyzing Mid Penn Bancorp (MPB) & Its Peers

Mid Penn Bancorp (NASDAQ:MPB) is one of 919 public companies in the “Banks” industry, but how does it compare to its peers? We will compare Mid Penn Bancorp to similar businesses based on the strength of its valuation, institutional ownership, risk, profitability, analyst recommendations, earnings and dividends.

Volatility and Risk

Mid Penn Bancorp has a beta of 0.51, indicating that its share price is 49% less volatile than the S&P 500. Comparatively, Mid Penn Bancorp’s peers have a beta of 0.61, indicating that their average share price is 39% less volatile than the S&P 500.

Profitability

This table compares Mid Penn Bancorp and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mid Penn Bancorp	17.83%	9.06%	1.16%
Mid Penn Bancorp Competitors	15.64%	9.43%	0.93%

Dividends

Mid Penn Bancorp pays an annual dividend of $0.92 per share and has a dividend yield of 2.6%. Mid Penn Bancorp pays out 31.9% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 8.9% and pay out 28.9% of their earnings in the form of a dividend. Mid Penn Bancorp lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Institutional and Insider Ownership

43.1% of Mid Penn Bancorp shares are held by institutional investors. Comparatively, 47.8% of shares of all “Banks” companies are held by institutional investors. 7.2% of Mid Penn Bancorp shares are held by insiders. Comparatively, 9.7% of shares of all “Banks” companies are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Mid Penn Bancorp and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Mid Penn Bancorp	0	1	4	0	2.80
Mid Penn Bancorp Competitors	7490	30240	27843	1488	2.35

Mid Penn Bancorp currently has a consensus price target of $39.67, suggesting a potential upside of 14.05%. As a group, “Banks” companies have a potential upside of 14.55%. Given Mid Penn Bancorp’s peers higher probable upside, analysts clearly believe Mid Penn Bancorp has less favorable growth aspects than its peers.

Valuation & Earnings

This table compares Mid Penn Bancorp and its peers revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Mid Penn Bancorp	$350.61 million	$56.25 million	12.08
Mid Penn Bancorp Competitors	$37.93 billion	$2.42 billion	21.33

Mid Penn Bancorp’s peers have higher revenue and earnings than Mid Penn Bancorp. Mid Penn Bancorp is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Summary

Mid Penn Bancorp peers beat Mid Penn Bancorp on 11 of the 15 factors compared.

About Mid Penn Bancorp

Mid Penn Bancorp, Inc. is a bank holding company headquartered in Harrisburg, Pennsylvania. Its principal subsidiary, Mid Penn Bank, provides commercial and consumer banking services to individuals, businesses, and organizations. The bank offers deposit accounts, business and personal loans, mortgage lending, cash management, and online and mobile banking. It also provides wealth management and trust services. Mid Penn Bank traces its history to 1868 and serves communities across Pennsylvania, with a network of branches concentrated in the state’s central and eastern regions.