Financial Review: Zions Bancorporation, N.A. (NASDAQ:ZION) versus First Northwest Bancorp (NASDAQ:FNWB)

First Northwest Bancorp (NASDAQ:FNWB) and Zions Bancorporation, N.A. (NASDAQ:ZION) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, valuation, profitability, analyst recommendations, earnings, institutional ownership and dividends.

Profitability

This table compares First Northwest Bancorp and Zions Bancorporation, N.A.’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Northwest Bancorp	5.35%	4.23%	0.29%
Zions Bancorporation, N.A.	18.19%	13.70%	1.03%

Earnings and Valuation

This table compares First Northwest Bancorp and Zions Bancorporation, N.A.”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Northwest Bancorp	$118.64 million	0.81	-$4.19 million	$0.72	14.18
Zions Bancorporation, N.A.	$3.39 billion	2.74	$899.00 million	$6.00	10.49

Zions Bancorporation, N.A. has higher revenue and earnings than First Northwest Bancorp. Zions Bancorporation, N.A. is trading at a lower price-to-earnings ratio than First Northwest Bancorp, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

66.1% of First Northwest Bancorp shares are owned by institutional investors. Comparatively, 76.8% of Zions Bancorporation, N.A. shares are owned by institutional investors. 5.5% of First Northwest Bancorp shares are owned by insiders. Comparatively, 2.2% of Zions Bancorporation, N.A. shares are owned by 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.

Volatility and Risk

First Northwest Bancorp has a beta of 0.58, indicating that its stock price is 42% less volatile than the S&P 500. Comparatively, Zions Bancorporation, N.A. has a beta of 0.85, indicating that its stock price is 15% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and recommmendations for First Northwest Bancorp and Zions Bancorporation, N.A., as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Northwest Bancorp	1	2	1	0	2.00
Zions Bancorporation, N.A.	1	15	4	1	2.24

First Northwest Bancorp currently has a consensus price target of $13.50, suggesting a potential upside of 32.22%. Zions Bancorporation, N.A. has a consensus price target of $63.32, suggesting a potential upside of 0.65%. Given First Northwest Bancorp’s higher probable upside, research analysts clearly believe First Northwest Bancorp is more favorable than Zions Bancorporation, N.A..

Summary

Zions Bancorporation, N.A. beats First Northwest Bancorp on 12 of the 15 factors compared between the two stocks.

About First Northwest Bancorp

First Northwest Bancorp operates as a bank holding company for First Fed Bank that provides commercial and consumer banking services to individuals, businesses, and nonprofit organizations in western Washington, the United States. The company accepts various deposit instruments, including checking, money market deposit, savings, and transaction accounts, as well as certificates of deposit. It also originates one- to four-family mortgage loans, commercial and multi-family real estate loans, construction and land loans, and commercial business loans, as well as consumer loans primarily consisting of automobile loans, and home-equity loans and lines of credit. First Northwest Bancorp operates branch offices in Clallam, Jefferson, King, Kitsap, and Whatcom Counties, Washington. First Northwest Bancorp was founded in 1923 and is based in Port Angeles, Washington.

About Zions Bancorporation, N.A.

Zions Bancorporation, National Association provides various banking products and related services primarily in the states of Arizona, California, Colorado, Idaho, Nevada, New Mexico, Oregon, Texas, Utah, Washington, and Wyoming. It operates through Zions Bank, California Bank & Trust, Amegy Bank, National Bank of Arizona, Nevada State Bank, Vectra Bank Colorado, and The Commerce Bank of Washington segments. The company offers commercial and small business banking services to small- and medium-sized businesses, such as commercial, industrial, and owner-occupied lending and leasing; municipal and public finance services; depository account and cash management services; commercial and small business cards; merchant processing services; corporate trust services; and correspondent banking and international lending services. It also provides capital markets and investment banking services, including loan syndications, foreign exchange services, interest rate derivatives, fixed income securities underwriting, advisory and capital raising, commercial mortgage-backed security conduit lending, and power and project financing; and commercial real estate lending services consisting of term and construction/land development financing for commercial and residential purposes. In addition, the company offers retail banking services comprising residential mortgages, home equity lines of credit, personal lines of credit, installment consumer loans, depository account services, consumer cards, and personal trust services; and wealth management services consisting of investment management, fiduciary and estate, and advanced business succession and estate planning services. The company was formerly known as ZB, National Association and changed its name to Zions Bancorporation, National Association in September 2018. Zions Bancorporation, National Association was founded in 1873 and is headquartered in Salt Lake City, Utah.