Critical Analysis: Blue Foundry Bancorp (NASDAQ:BLFY) vs. Chain Bridge Bancorp (NYSE:CBNA)

Blue Foundry Bancorp (NASDAQ:BLFY) and Chain Bridge Bancorp (NYSE:CBNA) are both small-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, profitability, valuation, institutional ownership, earnings, risk and dividends.

Profitability

This table compares Blue Foundry Bancorp and Chain Bridge Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Blue Foundry Bancorp	-9.82%	-2.84%	-0.44%
Chain Bridge Bancorp	32.83%	12.10%	1.22%

Insider & Institutional Ownership

56.5% of Blue Foundry Bancorp shares are held by institutional investors. 6.0% of Blue Foundry Bancorp shares are held by insiders. Comparatively, 25.9% of Chain Bridge Bancorp shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Risk & Volatility

Blue Foundry Bancorp has a beta of 0.56, meaning that its stock price is 44% less volatile than the S&P 500. Comparatively, Chain Bridge Bancorp has a beta of 0.54, meaning that its stock price is 46% less volatile than the S&P 500.

Earnings & Valuation

This table compares Blue Foundry Bancorp and Chain Bridge Bancorp”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Blue Foundry Bancorp	$87.25 million	2.97	-$11.91 million	($0.46)	-27.11
Chain Bridge Bancorp	$56.65 million	4.05	$20.95 million	$2.86	12.23

Chain Bridge Bancorp has lower revenue, but higher earnings than Blue Foundry Bancorp. Blue Foundry Bancorp is trading at a lower price-to-earnings ratio than Chain Bridge Bancorp, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Blue Foundry Bancorp and Chain Bridge Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Blue Foundry Bancorp	1	1	0	0	1.50
Chain Bridge Bancorp	1	2	0	1	2.25

Blue Foundry Bancorp presently has a consensus price target of $10.00, indicating a potential downside of 19.81%. Chain Bridge Bancorp has a consensus price target of $33.00, indicating a potential downside of 5.66%. Given Chain Bridge Bancorp’s stronger consensus rating and higher probable upside, analysts clearly believe Chain Bridge Bancorp is more favorable than Blue Foundry Bancorp.

Summary

Chain Bridge Bancorp beats Blue Foundry Bancorp on 11 of the 14 factors compared between the two stocks.

About Blue Foundry Bancorp

Blue Foundry Bancorp operates as a bank holding company for Blue Foundry Bank, a savings bank that offers various banking products and services for individuals and businesses in the United States. The company offers saving, time, and non-interest bearing deposits; demand accounts; and loans, such as one-to-four family residential property, multi-family, residential real estate, non-residential real estate, consumer, construction, and commercial and industrial loans, as well as junior liens and home equity lines of credit. The company was formerly known as Boiling Springs Bancorp and changed its name to Blue Foundry Bancorp in July 2019. Blue Foundry Bancorp was founded in 1939 and is based in Rutherford, New Jersey.

About Chain Bridge Bancorp

Chain Bridge Bancorp, Inc. operates as a Delaware-chartered bank holding company for Chain Bridge Bank, National Association that provides commercial and personal banking, and trust services in the United States. Its deposit products include non-interest-bearing and interest-bearing checking accounts, savings accounts, and money market accounts. The company’s loan portfolio comprises of residential and commercial real estate loans, commercial loans, and consumer loans. It also provides treasury management, payments, trusts and estate administration, wealth management, and asset custody services. The company was incorporated in 2006 and is headquartered in McLean, Virginia.