Ballston Spa Bancorp (OTCMKTS:BSPA) and MainStreet Bank (NASDAQ:MNSB) Critical Comparison

Ballston Spa Bancorp (OTCMKTS:BSPA) and MainStreet Bank (NASDAQ:MNSB) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, analyst recommendations, dividends, profitability, risk, institutional ownership and earnings.

Risk and Volatility

Ballston Spa Bancorp has a beta of -0.18, meaning that its share price is 118% less volatile than the S&P 500. Comparatively, MainStreet Bank has a beta of 0.58, meaning that its share price is 42% less volatile than the S&P 500.

Dividends

Ballston Spa Bancorp pays an annual dividend of $1.32 per share and has a dividend yield of 1.7%. MainStreet Bank pays an annual dividend of $0.40 per share and has a dividend yield of 2.1%. MainStreet Bank pays out -27.4% of its earnings in the form of a dividend.

Profitability

This table compares Ballston Spa Bancorp and MainStreet Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ballston Spa Bancorp	N/A	N/A	N/A
MainStreet Bank	-6.34%	3.72%	0.32%

Insider & Institutional Ownership

2.4% of Ballston Spa Bancorp shares are owned by institutional investors. Comparatively, 52.3% of MainStreet Bank shares are owned by institutional investors. 9.3% of MainStreet Bank shares 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.

Analyst Ratings

This is a summary of current recommendations and price targets for Ballston Spa Bancorp and MainStreet Bank, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Ballston Spa Bancorp	0	0	0	0	0.00
MainStreet Bank	1	1	0	0	1.50

Valuation & Earnings

This table compares Ballston Spa Bancorp and MainStreet Bank”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ballston Spa Bancorp	$36.16 million	1.63	$4.78 million	N/A	N/A
MainStreet Bank	$137.87 million	1.06	-$9.98 million	($1.46)	-12.94

Ballston Spa Bancorp has higher earnings, but lower revenue than MainStreet Bank.

Summary

MainStreet Bank beats Ballston Spa Bancorp on 9 of the 12 factors compared between the two stocks.

About Ballston Spa Bancorp

Ballston Spa Bancorp, Inc. operates as a holding company for Ballston Spa National Bank that provides a range of banking, financing, fiduciary, brokerage, and other financial services to corporate, municipal, and individual customers in the United States. It offers checking, money market, savings, health savings, and individual retirement accounts, as well as certificates of deposit; loan products, such as mortgage and home construction, improvement, and equity loans, auto, boat, RV, personal, commercial, and small business loans, as well as lines of credit and government programs; and debits and credit cards. The company also provides personal investment services, which include annuities, college savings plans, mutual funds, and life and long term care insurance products; retirement plans; college planning services; investment and asset management; trusteeship; estate settlement; special needs and disability trusts; and wealth management services. In addition, the company offers treasury management services; and merchant and payment processing services, as well as online and mobile banking, and digital payments. The company was founded in 1838 and is based in Ballston Spa, New York.

About MainStreet Bank

MainStreet Bancshares, Inc. operates as the bank holding company for MainStreet Bank that provides various banking products and services for individuals, small to medium-sized businesses, and professional service organizations. The company offers demand, NOW, money market, savings, and sweep accounts, as well as certificates of deposit; business and consumer checking, interest-bearing checking, business account analysis, and other depository services; and cash management, wire transfer, check imaging, bill pay, remote deposit capture, and courier services. It also provides commercial loans, include government contract receivables, plant and equipment, general working capital, contract administration, and acquisition loans; commercial real estate, real estate construction, and residential real estate loans; and consumer loans comprising term loans and overdraft protection, as well as debit and credit cards. In addition, the company offers deposit insurance solutions; remote deposit of checks; and internet bill payment, online cash management, and online and mobile banking services. It operates in Herndon, Fairfax, McLean, Leesburg, Clarendon, and Washington D.C., as well as automated teller machines. The company was incorporated in 2003 and is headquartered in Fairfax, Virginia.