Analyzing Bogota Financial (NASDAQ:BSBK) and SB Financial Group (NASDAQ:SBFG)

SB Financial Group (NASDAQ:SBFG) and Bogota Financial (NASDAQ:BSBK) are both small-cap finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their valuation, risk, earnings, analyst recommendations, dividends, institutional ownership and profitability.

Valuation and Earnings

This table compares SB Financial Group and Bogota Financial”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SB Financial Group	$91.03 million	1.44	$13.97 million	$2.20	9.45
Bogota Financial	$17.24 million	6.19	$2.09 million	$0.17	48.41

SB Financial Group has higher revenue and earnings than Bogota Financial. SB Financial Group is trading at a lower price-to-earnings ratio than Bogota Financial, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a breakdown of current ratings and target prices for SB Financial Group and Bogota Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SB Financial Group	0	1	1	0	2.50
Bogota Financial	0	1	0	0	2.00

Insider & Institutional Ownership

66.7% of SB Financial Group shares are held by institutional investors. Comparatively, 11.6% of Bogota Financial shares are held by institutional investors. 6.0% of SB Financial Group shares are held by insiders. Comparatively, 3.8% of Bogota Financial 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.

Profitability

This table compares SB Financial Group and Bogota Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SB Financial Group	15.35%	10.88%	0.98%
Bogota Financial	4.67%	1.50%	0.23%

Risk and Volatility

SB Financial Group has a beta of 0.24, meaning that its share price is 76% less volatile than the S&P 500. Comparatively, Bogota Financial has a beta of 0.21, meaning that its share price is 79% less volatile than the S&P 500.

Summary

SB Financial Group beats Bogota Financial on 11 of the 13 factors compared between the two stocks.

About SB Financial Group

SB Financial Group, Inc. operates as the financial holding company for the State Bank and Trust Company that provides a range of commercial banking and wealth management services to individual and corporate customers primarily in Ohio, Indiana, and Michigan. It offers checking, savings, money market accounts, as well as time certificates of deposit; and commercial, consumer, agricultural, and residential mortgage loans. The company also provides automatic teller machine, personal and corporate trust, commercial leasing, bank credit card, safe deposit box rental, internet banking, private client group, and other personalized banking products and services; and various trust and financial services comprising asset management services for individuals and corporate employee benefit plans, as well as brokerage services. In addition, it sells insurance products to retail and commercial customers. The company was formerly known as Rurban Financial Corp. and changed its name to SB Financial Group, Inc. in April 2013. SB Financial Group, Inc. was founded in 1902 and is based in Defiance, Ohio.

About Bogota Financial

Bogota Financial Corp. operates as the bank holding company for Bogota Savings Bank that provides banking products and services in the United States. It offers deposit accounts, including demand accounts, savings accounts, money market accounts, and certificate of deposit accounts. The company also provides one-to four-family residential real estate loans, and commercial real estate and multi-family loans; consumer loans, such as home equity loans and lines of credit; commercial and industrial loans; and construction loans; and buys, sells, and holds investment securities. It operates through various offices located in Bogota, Hasbrouck Heights, Newark, Oak Ridge, Parsippany, and Teaneck, as well as through a loan production office in Spring Lake, New Jersey. The company was founded in 1893 and is based in Teaneck, New Jersey. Bogota Financial Corp. operates as a subsidiary of Bogota Financial, MHC.