First Bancorp (NASDAQ:FBNC) and Catalyst Bancorp (NASDAQ:CLST) Head to Head Comparison

First Bancorp (NASDAQ:FBNC) and Catalyst Bancorp (NASDAQ:CLST) are both finance companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, valuation, institutional ownership, analyst recommendations, earnings, risk and profitability.

Earnings & Valuation

This table compares First Bancorp and Catalyst Bancorp”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Bancorp	$400.42 million	6.56	$111.05 million	$2.93	21.68
Catalyst Bancorp	$23.69 million	2.91	$2.05 million	$0.55	30.91

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

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for First Bancorp and Catalyst Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Bancorp	0	3	3	1	2.71
Catalyst Bancorp	0	1	0	0	2.00

First Bancorp presently has a consensus price target of $62.95, suggesting a potential downside of 0.91%. Given First Bancorp’s stronger consensus rating and higher possible upside, analysts clearly believe First Bancorp is more favorable than Catalyst Bancorp.

Volatility & Risk

First Bancorp has a beta of 0.81, suggesting that its stock price is 19% less volatile than the S&P 500. Comparatively, Catalyst Bancorp has a beta of 0.11, suggesting that its stock price is 89% less volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
First Bancorp	20.59%	10.86%	1.38%
Catalyst Bancorp	13.09%	2.48%	0.72%

Insider & Institutional Ownership

68.4% of First Bancorp shares are held by institutional investors. Comparatively, 33.1% of Catalyst Bancorp shares are held by institutional investors. 2.0% of First Bancorp shares are held by insiders. Comparatively, 10.1% of Catalyst Bancorp shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

First Bancorp beats Catalyst Bancorp on 13 of the 15 factors compared between the two stocks.

About First Bancorp

First Bancorp operates as the bank holding company for First Bank that provides banking products and services for individuals and small to medium-sized businesses. The company accepts deposit products, such as checking, savings, and money market accounts, as well as time deposits, including certificate of deposits and individual retirement accounts. It also offers loans for a range of consumer and commercial purposes comprising loans for business, real estate, personal, home improvement, and automobiles, as well as residential mortgages and small business administration loans; and accounts receivable financing and factoring, inventory financing, and purchase order financing services. In addition, the company provides credit and debit cards, letter of credits, and safe deposit box rental services, as well as electronic funds transfer services consisting of wire transfers; and internet and mobile banking, cash management, bank-by-phone services, and remote deposit capture services. Further, it offers investment and insurance products, such as mutual funds, annuities, long-term care insurance, life insurance, and company retirement plans, as well as property and casualty insurance products; and financial planning services. The company was founded in 1934 and is headquartered in Southern Pines, North Carolina.

About Catalyst Bancorp

Catalyst Bancorp, Inc. operates as a holding company for Catalyst Bank that provides various banking services to individuals and businesses in Louisiana. The company accepts various deposit products, including savings accounts, demand and NOW accounts, money market accounts, and certificates of deposit. It also offers single family residential first mortgage loans, commercial real estate mortgage loans, multi-family residential mortgage loans, commercial and industrial loans, construction and land loans, consumer loans, and other loans. In addition, the company invests in various types of securities comprising mortgage-backed securities, the U.S. treasury obligations, securities of various federal agencies and of state and municipal governments, certificates of deposit at federally insured banks and savings institutions, and federal funds. Catalyst Bancorp, Inc. was founded in 1922 and is headquartered in Opelousas, Louisiana.