Contrasting Hingham Institution for Savings (NASDAQ:HIFS) & Bancorp (NASDAQ:TBBK)

Bancorp (NASDAQ:TBBK) and Hingham Institution for Savings (NASDAQ:HIFS) are both finance companies, but which is the better business? We will contrast the two companies based on the strength of their earnings, institutional ownership, profitability, dividends, analyst recommendations, risk and valuation.

Profitability

This table compares Bancorp and Hingham Institution for Savings’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bancorp	26.92%	30.56%	2.52%
Hingham Institution for Savings	21.17%	7.89%	0.81%

Analyst Ratings

This is a summary of recent ratings and target prices for Bancorp and Hingham Institution for Savings, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bancorp	0	3	6	1	2.80
Hingham Institution for Savings	0	1	0	0	2.00

Bancorp currently has a consensus price target of $59.50, indicating a potential upside of 5.31%. Given Bancorp’s stronger consensus rating and higher possible upside, equities research analysts clearly believe Bancorp is more favorable than Hingham Institution for Savings.

Insider & Institutional Ownership

96.2% of Bancorp shares are owned by institutional investors. Comparatively, 49.3% of Hingham Institution for Savings shares are owned by institutional investors. 6.0% of Bancorp shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company will outperform the market over the long term.

Earnings & Valuation

This table compares Bancorp and Hingham Institution for Savings”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bancorp	$879.70 million	2.67	$228.21 million	$5.14	10.99
Hingham Institution for Savings	$236.78 million	2.68	$54.55 million	$22.81	12.76

Bancorp has higher revenue and earnings than Hingham Institution for Savings. Bancorp is trading at a lower price-to-earnings ratio than Hingham Institution for Savings, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

Bancorp has a beta of 1.21, indicating that its stock price is 21% more volatile than the S&P 500. Comparatively, Hingham Institution for Savings has a beta of 0.84, indicating that its stock price is 16% less volatile than the S&P 500.

Summary

Bancorp beats Hingham Institution for Savings on 12 of the 15 factors compared between the two stocks.

About Bancorp

The Bancorp, Inc. operates as the bank holding company for The Bancorp Bank, National Association that provides banking products and services in the United States. It offers a range of deposit products and services, including checking, savings, time, money market, and commercial accounts; overdrafts; and certificates of deposit. The company also provides securities-backed lines of credit and insurance policy cash value-backed lines of credit; investor advisor financing; lease financing for commercial and government vehicle fleets, including trucks and other special purpose vehicles; commercial real estate bridge loans; and small business administration loans. In addition, it offers bill and other payment services; debit and prepaid card issuing services; card and bill payment, and automated clearing house processing services; and internet banking services. The company was incorporated in 1999 and is headquartered in Wilmington, Delaware.

About Hingham Institution for Savings

Hingham Institution for Savings provides various financial products and services to individuals and small businesses in the United States. It offers savings, checking, money market, demand, and negotiable order of withdrawal accounts, as well as certificates of deposit. The company provides commercial and residential real estate, construction, home equity, commercial, consumer, and mortgage loans. In addition, it offers ATMs, debit cards, and Internet-based banking services. The company offers its services through a network of offices in Boston; Washington, D.C.; and San Francisco Bay Area. Hingham Institution for Savings was incorporated in 1834 and is headquartered in Hingham, Massachusetts.