Head-To-Head Survey: CPB (NYSE:CPF) and City Bank (OTCMKTS:CTBK)

City Bank (OTCMKTS:CTBK) and CPB (NYSE:CPF) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, dividends, profitability, risk and earnings.

Profitability

This table compares City Bank and CPB’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
City Bank	N/A	N/A	N/A
CPB	21.17%	13.64%	1.06%

Earnings & Valuation

This table compares City Bank and CPB”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
City Bank	N/A	N/A	N/A	N/A	N/A
CPB	$365.98 million	2.27	$77.48 million	$2.86	11.00

CPB has higher revenue and earnings than City Bank.

Insider & Institutional Ownership

88.4% of CPB shares are held by institutional investors. 37.5% of City Bank shares are held by insiders. Comparatively, 1.7% of CPB shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a summary of current recommendations for City Bank and CPB, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
City Bank	0	0	0	0	0.00
CPB	0	1	2	0	2.67

CPB has a consensus price target of $35.50, indicating a potential upside of 12.82%. Given CPB’s stronger consensus rating and higher possible upside, analysts clearly believe CPB is more favorable than City Bank.

Summary

CPB beats City Bank on 8 of the 9 factors compared between the two stocks.

About City Bank

As of April 17, 2010, City Bank was acquired by Whidbey Island Bank. City Bank offers commercial banking services. The company was incorporated in 1974 and is headquartered in Lynnwood, Washington.

About CPB

Central Pacific Financial Corp. operates as the bank holding company for Central Pacific Bank that provides a range of commercial banking products and services to businesses, professionals, and individuals in the United States. It offers various deposit products and services, including checking, savings and time deposits, cash management and digital banking, trust, and retail brokerage services, as well as money market accounts and certificates of deposit. The company also provides various lending activities, such as commercial, commercial and residential mortgage, home equity, and consumer loans; and other products and services comprising debit cards, internet and mobile banking, cash management services, full-service ATMs, safe deposit boxes, international banking services, night depository facilities, foreign exchange, and wire transfers. In addition, it offers wealth management products and services that include non-deposit investment products, annuities, insurance, investment management, asset custody and general consultation, and planning services. The company was founded in 1954 and is headquartered in Honolulu, Hawaii.