Midland States Bancorp (NASDAQ:MSBI) and First Resource Bancorp (OTCMKTS:FRSB) Head to Head Review

Midland States Bancorp (NASDAQ:MSBI) and First Resource Bancorp (OTCMKTS:FRSB) are both small-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their institutional ownership, earnings, analyst recommendations, valuation, profitability, dividends and risk.

Volatility and Risk

Midland States Bancorp has a beta of 0.75, meaning that its stock price is 25% less volatile than the S&P 500. Comparatively, First Resource Bancorp has a beta of 0.14, meaning that its stock price is 86% less volatile than the S&P 500.

Valuation and Earnings

This table compares Midland States Bancorp and First Resource Bancorp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Midland States Bancorp	$489.48 million	0.73	-$13.43 million	($1.01)	-16.64
First Resource Bancorp	$37.81 million	1.22	$5.31 million	$1.87	8.20

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

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Midland States Bancorp	-2.59%	-1.81%	-0.16%
First Resource Bancorp	14.48%	N/A	N/A

Analyst Ratings

This is a summary of current ratings for Midland States Bancorp and First Resource Bancorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Midland States Bancorp	0	3	0	0	2.00
First Resource Bancorp	0	0	0	0	0.00

Midland States Bancorp currently has a consensus price target of $21.33, suggesting a potential upside of 26.91%. Given Midland States Bancorp’s stronger consensus rating and higher possible upside, equities research analysts plainly believe Midland States Bancorp is more favorable than First Resource Bancorp.

Insider & Institutional Ownership

60.9% of Midland States Bancorp shares are owned by institutional investors. 5.6% of Midland States Bancorp shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

First Resource Bancorp beats Midland States Bancorp on 7 of the 13 factors compared between the two stocks.

About Midland States Bancorp

Midland States Bancorp, Inc. operates as a financial holding company for Midland States Bank that provides various banking products and services to individuals, businesses, municipalities, and other entities. It operates through Banking, Wealth Management, and Other segments. The company provides a range of financial products and services to consumers and businesses, including commercial loans to finance agricultural equipment and production; and commercial real estate loans for owner occupied offices, warehouses and production facilities, office buildings, hotels, mixed-use residential and commercial facilities, retail centers, multifamily properties, and assisted living facilities. In addition, it offers construction and land development loans, such as real estate investment properties and residential developments, and lesser extent loans; and residential real estate loans, which includes first and second mortgage loans, and home equity lines of credit consisting of loans secured by first or second mortgages on primarily owner occupied primary residences. The company also provides consumer installment loans for the purchase of cars, boats and other recreational vehicles, as well as for the purchase of major appliances and other home improvement projects; and commercial equipment leasing programs for manufacturing, construction, transportation, and healthcare industries. Further, it offers merchant services; deposit products, including checking, time, savings, money market, and certificates of deposit, as well as sweep accounts; letters of credit; and trust and wealth management services, such as financial and estate planning, trustee and custodial, investment management, tax, insurance, and business planning, corporate retirement plan consulting and administration, and retail brokerage services. The company was founded in 1881 and is headquartered in Effingham, Illinois.

About First Resource Bancorp

First Resource Bancorp, Inc. operates as the bank holding for First Resource Bank that provides personal and business banking products and services to businesses and families primarily in the southeastern area of Pennsylvania. The company's offers savings, checking, and money market accounts, as well as certificate deposit account registry services, insured cash sweeps, certificates of deposit, and IRAs. Its loan products include commercial mortgages, construction loans, working capital credit lines, small business administration loans, commercial term loans, home equity lines of credit, fixed payment home equity loans, residential construction loans, land loans, overdraft protection, vehicle loans, unsecured installment loans, certificate of deposit secured installment loans, and swing loans. The company also provides personal financial statements; credit and debit cards; digital banking services; and cash management, positive pay, ACH origination, sweep/transfer of funds, ATM, over the counter checks, bill payment, wire transfer, signature guarantee/notary, safe deposit box, drive-up banking, night depository, foreign currency exchange, cashier's check, e-statements, and stop payments, as well as telephone, messaging and text, online, and mobile banking services. First Resource Bancorp, Inc. was founded in 2005 and is based in Exton, Pennsylvania.