Simmons First National (NASDAQ:SFNC) vs. Fvcbankcorp (NASDAQ:FVCB) Head to Head Contrast

Simmons First National (NASDAQ:SFNC) and Fvcbankcorp (NASDAQ:FVCB) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their analyst recommendations, profitability, risk, valuation, institutional ownership, dividends and earnings.

Institutional and Insider Ownership

27.6% of Simmons First National shares are owned by institutional investors. Comparatively, 43.6% of Fvcbankcorp shares are owned by institutional investors. 1.4% of Simmons First National shares are owned by company insiders. Comparatively, 10.9% of Fvcbankcorp shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Simmons First National and Fvcbankcorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Simmons First National	-29.70%	5.84%	0.78%
Fvcbankcorp	17.72%	8.73%	0.94%

Earnings & Valuation

This table compares Simmons First National and Fvcbankcorp”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Simmons First National	$1.46 billion	1.87	$152.69 million	($2.93)	-6.42
Fvcbankcorp	$115.85 million	2.18	$15.06 million	$1.16	12.03

Simmons First National has higher revenue and earnings than Fvcbankcorp. Simmons First National is trading at a lower price-to-earnings ratio than Fvcbankcorp, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Simmons First National has a beta of 0.89, indicating that its stock price is 11% less volatile than the S&P 500. Comparatively, Fvcbankcorp has a beta of 0.38, indicating that its stock price is 62% less volatile than the S&P 500.

Dividends

Simmons First National pays an annual dividend of $0.85 per share and has a dividend yield of 4.5%. Fvcbankcorp pays an annual dividend of $0.24 per share and has a dividend yield of 1.7%. Simmons First National pays out -29.0% of its earnings in the form of a dividend. Fvcbankcorp pays out 20.7% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Simmons First National has increased its dividend for 14 consecutive years. Simmons First National is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for Simmons First National and Fvcbankcorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Simmons First National	1	3	2	2	2.63
Fvcbankcorp	0	2	1	0	2.33

Simmons First National presently has a consensus target price of $22.33, indicating a potential upside of 18.67%. Fvcbankcorp has a consensus target price of $16.00, indicating a potential upside of 14.61%. Given Simmons First National’s stronger consensus rating and higher probable upside, analysts plainly believe Simmons First National is more favorable than Fvcbankcorp.

Summary

Simmons First National beats Fvcbankcorp on 10 of the 18 factors compared between the two stocks.

About Simmons First National

Simmons First National Corporation operates as the holding company for Simmons Bank that provides banking and other financial products and services to individuals and businesses. The company offers checking, savings, and time deposits; consumer, real estate, and commercial loans; agricultural finance, equipment, and small business administration lending; trust and fiduciary services; credit cards; investment management products; treasury management; insurance products; and securities and investment services. It also provides ATM services; Internet and mobile banking platforms; overdraft facilities; and safe deposit boxes. The company was founded in 1903 and is headquartered in Pine Bluff, Arkansas.

About Fvcbankcorp

FVCBankcorp, Inc. operates as the bank holding company for FVCbank that provides various banking products and services in Virginia. It offers deposit products, including interest and noninterest-bearing transaction accounts, savings accounts, money market accounts, and certificates of deposit. The company also provides commercial real estate loans; commercial construction loans; commercial loans for various business purposes, such as for working capital, equipment purchases, lines of credit, and government contract financing; small business administration loans; asset-based loans and accounts receivable financing; home equity loans; and consumer loans. In addition, it offers business and consumer credit cards; merchant services; business insurance products; and online banking, remote deposit, and mobile banking services. The company serves commercial businesses, nonprofit organizations, professional service entities, and their respective owners and employees located in the greater Washington, D.C., and Baltimore metropolitan areas. It operates branch offices in Arlington, Virginia; the independent city of Manassas, Virginia; Reston, Fairfax County, Virginia; Springfield, Fairfax County in Virginia; and Montgomery County and Baltimore in Maryland, and Washington, D.C. FVCBankcorp, Inc. was founded in 2007 and is headquartered in Fairfax, Virginia.