Comparing South Plains Financial (NASDAQ:SPFI) and Thomasville Bancshares (OTCMKTS:THVB)

Thomasville Bancshares (OTCMKTS:THVB) and South Plains Financial (NASDAQ:SPFI) are both small-cap finance companies, but which is the better business? We will contrast the two companies based on the strength of their valuation, risk, dividends, analyst recommendations, profitability, institutional ownership and earnings.

Volatility & Risk

Thomasville Bancshares has a beta of 0.19, meaning that its stock price is 81% less volatile than the S&P 500. Comparatively, South Plains Financial has a beta of 0.6, meaning that its stock price is 40% less volatile than the S&P 500.

Institutional & Insider Ownership

55.0% of South Plains Financial shares are owned by institutional investors. 24.6% of South Plains Financial shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares Thomasville Bancshares and South Plains Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Thomasville Bancshares	N/A	N/A	N/A
South Plains Financial	20.09%	13.16%	1.37%

Earnings & Valuation

This table compares Thomasville Bancshares and South Plains Financial”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Thomasville Bancshares	$137.59 million	4.39	$39.27 million	N/A	N/A
South Plains Financial	$288.97 million	2.23	$49.72 million	$3.50	11.34

South Plains Financial has higher revenue and earnings than Thomasville Bancshares.

Dividends

Thomasville Bancshares pays an annual dividend of $2.90 per share and has a dividend yield of 3.0%. South Plains Financial pays an annual dividend of $0.64 per share and has a dividend yield of 1.6%. South Plains Financial pays out 18.3% of its earnings in the form of a dividend. South Plains Financial has increased its dividend for 5 consecutive years.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Thomasville Bancshares and South Plains Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Thomasville Bancshares	0	0	0	0	0.00
South Plains Financial	0	2	4	0	2.67

South Plains Financial has a consensus price target of $44.75, suggesting a potential upside of 12.78%. Given South Plains Financial’s stronger consensus rating and higher possible upside, analysts clearly believe South Plains Financial is more favorable than Thomasville Bancshares.

Summary

South Plains Financial beats Thomasville Bancshares on 12 of the 15 factors compared between the two stocks.

About Thomasville Bancshares

Thomasville Bancshares, Inc. operates as the bank holding company for Thomasville National Bank that provides a range of banking services to individual and corporate customers primarily in Thomas and Glynn counties, Georgia, Leon County, Florida, and the surrounding counties. The company offers checking and savings accounts; money market accounts; and certificates of deposits. It also provides commercial real estate mortgage loans, such as non-farm and non-residential commercial real estate loans, construction loans for commercial businesses, multifamily loans secured by income producing properties, and farmland; and 1-4 family residential loans, including first mortgage liens, junior liens, and home equity lines. In addition, the company offers commercial, financial, and agricultural loans; consumer loans comprising direct consumer instalment loans, overdrafts, and other revolving credit loans and educational loans; and loans to municipalities and development authorities. Further, it provides trust and money management services. The company was incorporated in 1995 and is based in Thomasville, Georgia.

About South Plains Financial

South Plains Financial, Inc. operates as a bank holding company for City Bank that provides commercial and consumer financial services to small and medium-sized businesses and individuals. The company operates through two segments, Banking and Insurance. It offers deposit products, including demand deposit accounts, interest-bearing products, savings accounts, and certificate of deposits. The company also provides commercial real estate loans; general and specialized commercial loans, including agricultural production and real estate, energy, finance, investment, and insurance loans, as well as loans to goods, services, restaurant and retail, construction, and other industries; residential construction loans; and 1-4 family residential loans, auto loans, and other loans for recreational vehicles or other purposes. In addition, it offers crop insurance products; trust products and services; investment services; mortgage banking services; online and mobile banking services; and debit and credit cards. The company was founded in 1941 and is headquartered in Lubbock, Texas.