Comparing Central Valley Community Bancorp (CVCY) & FCB Financial Holdings (FCB)

Central Valley Community Bancorp (NASDAQ: CVCY) and FCB Financial Holdings (NYSE:FCB) are both finance companies, but which is the superior investment? We will compare the two businesses based on the strength of their profitability, risk, earnings, analyst recommendations, valuation, dividends and institutional ownership.

Analyst Ratings

This is a summary of current recommendations and price targets for Central Valley Community Bancorp and FCB Financial Holdings, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Central Valley Community Bancorp 0 1 0 0 2.00
FCB Financial Holdings 0 3 2 0 2.40

Central Valley Community Bancorp currently has a consensus target price of $24.00, suggesting a potential upside of 9.84%. FCB Financial Holdings has a consensus target price of $54.00, suggesting a potential upside of 10.88%. Given FCB Financial Holdings’ stronger consensus rating and higher possible upside, analysts clearly believe FCB Financial Holdings is more favorable than Central Valley Community Bancorp.

Volatility and Risk

Central Valley Community Bancorp has a beta of 0.23, indicating that its share price is 77% less volatile than the S&P 500. Comparatively, FCB Financial Holdings has a beta of 1.34, indicating that its share price is 34% more volatile than the S&P 500.

Earnings and Valuation

This table compares Central Valley Community Bancorp and FCB Financial Holdings’ top-line revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio EBITDA Earnings Per Share Price/Earnings Ratio
Central Valley Community Bancorp $62.90 million 4.24 $15.14 million $1.24 17.62
FCB Financial Holdings $306.83 million 6.88 $123.94 million $2.86 17.03

FCB Financial Holdings has higher revenue and earnings than Central Valley Community Bancorp. FCB Financial Holdings is trading at a lower price-to-earnings ratio than Central Valley Community Bancorp, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Central Valley Community Bancorp and FCB Financial Holdings’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Central Valley Community Bancorp 23.78% 8.94% 1.06%
FCB Financial Holdings 33.95% 11.11% 1.24%

Dividends

Central Valley Community Bancorp pays an annual dividend of $0.24 per share and has a dividend yield of 1.1%. FCB Financial Holdings does not pay a dividend. Central Valley Community Bancorp pays out 19.4% of its earnings in the form of a dividend.

Institutional & Insider Ownership

43.9% of Central Valley Community Bancorp shares are held by institutional investors. Comparatively, 94.0% of FCB Financial Holdings shares are held by institutional investors. 21.6% of Central Valley Community Bancorp shares are held by company insiders. Comparatively, 15.4% of FCB Financial Holdings shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Summary

FCB Financial Holdings beats Central Valley Community Bancorp on 14 of the 16 factors compared between the two stocks.

About Central Valley Community Bancorp

Central Valley Community Bancorp is a bank holding company, which operates through its subsidiary, Central Valley Community Bank (the Bank). The Company’s principal business is to provide, through its banking subsidiary, financial services in its primary market area in California. It serves over seven contiguous counties in California’s central valley, including Fresno County, Madera County, Merced County, Sacramento County, San Joaquin County, Stanislaus County, and Tulare County, and surrounding areas through the Bank. The Bank conducts a commercial banking business, which includes accepting demand, savings and time deposits and making commercial, real estate and consumer loans. It provides domestic and international wire transfer services and provides safe deposit boxes and other customary banking services. It operates over 20 full-service banking offices in Clovis, Exeter, Fresno, Kerman, Lodi, Madera, Merced, Modesto, Oakhurst, Prather, Sacramento, Stockton, Tracy and Visalia.

About FCB Financial Holdings

FCB Financial Holdings, Inc. is a bank holding company with a national bank subsidiary, Florida Community Bank, National Association (the Bank). The Company operates in the Community Banking segment. Through the Bank, the Company provides a range of retail and commercial banking services. As of December 31, 2016, the Company provided a range of financial products and services to individuals, small and medium-sized businesses, some large businesses, and other local organizations and entities through 46 branches in south and central Florida. The Company targets retail customers and commercial customers engaged in various industries, including healthcare and professional services; retail and wholesale trade; tourism; agricultural services; manufacturing; distribution and distribution-related industries; technology; automotive; aviation; food products; building materials; residential housing, and commercial real estate. It also offers a suite of treasury management services.

Receive News & Ratings for Central Valley Community Bancorp Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Central Valley Community Bancorp and related companies with MarketBeat.com's FREE daily email newsletter.

Leave a Reply