Critical Comparison: HomeTrust Bancshares (HTB) versus The Competition

HomeTrust Bancshares (NYSE:HTB) is one of 926 public companies in the “Banks” industry, but how does it weigh in compared to its rivals? We will compare HomeTrust Bancshares to related businesses based on the strength of its analyst recommendations, institutional ownership, valuation, profitability, dividends, risk and earnings.

Analyst Ratings

This is a summary of recent ratings and price targets for HomeTrust Bancshares and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HomeTrust Bancshares	0	2	2	1	2.80
HomeTrust Bancshares Competitors	7346	29631	27014	1350	2.34

HomeTrust Bancshares currently has a consensus target price of $52.00, indicating a potential upside of 10.60%. As a group, “Banks” companies have a potential upside of 10.46%. Given HomeTrust Bancshares’ stronger consensus rating and higher possible upside, equities research analysts clearly believe HomeTrust Bancshares is more favorable than its rivals.

Profitability

This table compares HomeTrust Bancshares and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HomeTrust Bancshares	22.50%	10.88%	1.45%
HomeTrust Bancshares Competitors	14.93%	9.45%	0.92%

Insider & Institutional Ownership

60.9% of HomeTrust Bancshares shares are owned by institutional investors. Comparatively, 47.5% of shares of all “Banks” companies are owned by institutional investors. 11.0% of HomeTrust Bancshares shares are owned by insiders. Comparatively, 9.9% of shares of all “Banks” companies are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Dividends

HomeTrust Bancshares pays an annual dividend of $0.60 per share and has a dividend yield of 1.3%. HomeTrust Bancshares pays out 15.7% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 9.7% and pay out 32.4% of their earnings in the form of a dividend.

Risk & Volatility

HomeTrust Bancshares has a beta of 0.79, indicating that its share price is 21% less volatile than the S&P 500. Comparatively, HomeTrust Bancshares’ rivals have a beta of 0.59, indicating that their average share price is 41% less volatile than the S&P 500.

Earnings and Valuation

This table compares HomeTrust Bancshares and its rivals top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
HomeTrust Bancshares	$292.47 million	$64.36 million	12.34
HomeTrust Bancshares Competitors	$174.13 billion	$2.39 billion	22.63

HomeTrust Bancshares’ rivals have higher revenue and earnings than HomeTrust Bancshares. HomeTrust Bancshares is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Summary

HomeTrust Bancshares beats its rivals on 10 of the 15 factors compared.

HomeTrust Bancshares Company Profile

HomeTrust Bancshares, Inc. operates as the bank holding company for HomeTrust Bank that provides a range of retail and commercial banking products and services. Its deposit products include savings, money market, and demand accounts, as well as certificates of deposit for individuals, businesses, and nonprofit organizations. The company’s loan portfolio comprises retail consumer loans, such as one-to-four-family real estate lending, home equity lines of credit, construction and land/lots, indirect auto finance, and consumer lending; and commercial loans that include commercial real estate, construction and development, and commercial and industrial loans. It also provides small business administration loans, equipment finance leases, indirect automobile loans, and municipal leases; and cash management and online/mobile banking services. As of June 30, 2021, the company operated 41 offices in North Carolina, Upstate South Carolina, East Tennessee, and Southwest Virginia. HomeTrust Bancshares, Inc. was founded in 1926 and is headquartered in Asheville, North Carolina.