Head-To-Head Analysis: Fvcbankcorp (NASDAQ:FVCB) & Colony Bankcorp (NYSE:CBAN)

Fvcbankcorp (NASDAQ:FVCB) and Colony Bankcorp (NYSE:CBAN) are both small-cap finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.

Dividends

Fvcbankcorp pays an annual dividend of $0.24 per share and has a dividend yield of 2.0%. Colony Bankcorp pays an annual dividend of $0.46 per share and has a dividend yield of 2.8%. Fvcbankcorp pays out 20.7% of its earnings in the form of a dividend. Colony Bankcorp pays out 28.9% 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.

Institutional and Insider Ownership

43.6% of Fvcbankcorp shares are held by institutional investors. Comparatively, 50.4% of Colony Bankcorp shares are held by institutional investors. 14.0% of Fvcbankcorp shares are held by insiders. Comparatively, 6.6% of Colony Bankcorp shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Fvcbankcorp and Colony Bankcorp”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fvcbankcorp	$63.97 million	3.44	$15.06 million	$1.16	10.50
Colony Bankcorp	$126.05 million	2.24	$23.87 million	$1.59	10.16

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

Analyst Ratings

This is a summary of current recommendations for Fvcbankcorp and Colony Bankcorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fvcbankcorp	0	2	1	0	2.33
Colony Bankcorp	0	0	1	0	3.00

Fvcbankcorp currently has a consensus target price of $16.00, suggesting a potential upside of 31.31%. Given Fvcbankcorp’s higher possible upside, research analysts clearly believe Fvcbankcorp is more favorable than Colony Bankcorp.

Volatility & Risk

Fvcbankcorp has a beta of 0.43, suggesting that its share price is 57% less volatile than the S&P 500. Comparatively, Colony Bankcorp has a beta of 0.72, suggesting that its share price is 28% less volatile than the S&P 500.

Profitability

This table compares Fvcbankcorp and Colony Bankcorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fvcbankcorp	17.72%	8.85%	0.96%
Colony Bankcorp	15.07%	10.67%	0.98%

Summary

Colony Bankcorp beats Fvcbankcorp on 9 of the 15 factors compared between the two stocks.

About Fvcbankcorp

FVCBankcorp, Inc. operates as the bank holding company for FVCbank that provides various banking products and services in Virginia. It offers deposit products, including interest and noninterest-bearing transaction accounts, savings accounts, money market accounts, and certificates of deposit. The company also provides commercial real estate loans; commercial construction loans; commercial loans for various business purposes, such as for working capital, equipment purchases, lines of credit, and government contract financing; small business administration loans; asset-based loans and accounts receivable financing; home equity loans; and consumer loans. In addition, it offers business and consumer credit cards; merchant services; business insurance products; and online banking, remote deposit, and mobile banking services. The company serves commercial businesses, nonprofit organizations, professional service entities, and their respective owners and employees located in the greater Washington, D.C., and Baltimore metropolitan areas. It operates branch offices in Arlington, Virginia; the independent city of Manassas, Virginia; Reston, Fairfax County, Virginia; Springfield, Fairfax County in Virginia; and Montgomery County and Baltimore in Maryland, and Washington, D.C. FVCBankcorp, Inc. was founded in 2007 and is headquartered in Fairfax, Virginia.

About Colony Bankcorp

Colony Bankcorp, Inc. operates as the bank holding company for Colony Bank that provides various banking products and services to commercial and consumer customers. The company offers various deposit products, including demand, savings, and time deposits. It also provides loans to small and medium-sized businesses; residential and commercial construction, and land development loans; commercial real estate loans; commercial loans; agri-business and production loans; residential mortgage loans; home equity loans; and consumer loans. In addition, the company offers internet banking services, electronic bill payment services, safe deposit box rentals, telephone banking, credit and debit card services, and remote depository products, as well as access to a network of ATMs. As of January 20, 2022, it operated 39 locations throughout Georgia. The company was founded in 1975 and is headquartered in Fitzgerald, Georgia.