Contrasting Greene County Bancorp (NASDAQ:GCBC) and OptimumBank (NASDAQ:OPHC)

Greene County Bancorp (NASDAQ:GCBC – Get Free Report) and OptimumBank (NASDAQ:OPHC – Get Free Report) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their institutional ownership, earnings, valuation, dividends, profitability, risk and analyst recommendations.

Risk and Volatility

Greene County Bancorp has a beta of 0.47, indicating that its share price is 53% less volatile than the S&P 500. Comparatively, OptimumBank has a beta of 0.31, indicating that its share price is 69% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Greene County Bancorp and OptimumBank, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Greene County Bancorp 0 0 1 0 3.00
OptimumBank 0 0 3 1 3.25

OptimumBank has a consensus price target of $6.67, suggesting a potential downside of 23.28%. Given OptimumBank’s stronger consensus rating and higher probable upside, analysts plainly believe OptimumBank is more favorable than Greene County Bancorp.

Earnings & Valuation

This table compares Greene County Bancorp and OptimumBank”s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Greene County Bancorp $145.79 million 3.96 $41.02 million $2.41 14.06
OptimumBank $58.79 million 1.87 $6.28 million $0.87 9.99

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

Profitability

This table compares Greene County Bancorp and OptimumBank’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Greene County Bancorp 28.14% 15.60% 1.31%
OptimumBank 19.62% 14.10% 1.31%

Institutional and Insider Ownership

13.4% of Greene County Bancorp shares are owned by institutional investors. Comparatively, 7.4% of OptimumBank shares are owned by institutional investors. 4.0% of Greene County Bancorp shares are owned by insiders. Comparatively, 18.7% of OptimumBank shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Summary

Greene County Bancorp beats OptimumBank on 9 of the 14 factors compared between the two stocks.

About Greene County Bancorp

(Get Free Report)

Greene County Bancorp, Inc. operates as a holding company for The Bank of Greene County that provides various financial services in the United States. The company's deposit products include savings, NOW accounts, money market accounts, certificates of deposit, non-interest bearing checking accounts, and individual retirement accounts. Its loan portfolio consists of residential, construction and land, and multifamily loans; commercial real estate mortgage loans; consumer loans, such as loans on new and used automobiles, personal loans, and home equity loans, as well as other consumer installment loans, including passbook loans, unsecured home improvement loans, recreational vehicle loans, and deposit account overdrafts; and commercial loans. The company was founded in 1889 and is based in Catskill, New York. Greene County Bancorp, Inc. is a subsidiary of Greene County Bancorp, MHC.

About OptimumBank

(Get Free Report)

OptimumBank Holdings, Inc. operates as the bank holding company for OptimumBank that provides various consumer and commercial banking services to individuals and businesses. It accepts demand interest-bearing and noninterest-bearing, savings, money market, and NOW accounts, as well as time deposits, wire transfers, ACH services, and certificates of deposit. The company also offers residential and commercial real estate, multi-family real estate, land and construction loans; commercial loans are generally used for working capital purposes or for acquiring equipment, inventory, and furniture; and consumer loans for various purposes, including purchases of automobiles, recreational vehicles, boats, home improvements, lines of credit, personal, and deposit account collateralized loans. In addition, it provides Visa debit and ATM cards; cash management, notary, and night depository services; and direct deposits, money orders, cashier's checks, domestic collections, and banking by mail, as well as internet banking services. The company was founded in 2000 and is based in Fort Lauderdale, Florida.

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