Comparing Kentucky First Federal Bancorp (NASDAQ:KFFB) and Bluegreen Vacations (OTCMKTS:BVHBB)

Bluegreen Vacations (OTCMKTS:BVHBB) and Kentucky First Federal Bancorp (NASDAQ:KFFB) are both small-cap consumer discretionary companies, but which is the better stock? We will contrast the two companies based on the strength of their earnings, profitability, institutional ownership, analyst recommendations, valuation, dividends and risk.

Profitability

This table compares Bluegreen Vacations and Kentucky First Federal Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bluegreen Vacations	6.26%	24.03%	4.46%
Kentucky First Federal Bancorp	-2.39%	-0.70%	-0.10%

Analyst Ratings

This is a breakdown of recent ratings and price targets for Bluegreen Vacations and Kentucky First Federal Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bluegreen Vacations	0	0	0	0	N/A
Kentucky First Federal Bancorp	0	0	0	0	N/A

Earnings & Valuation

This table compares Bluegreen Vacations and Kentucky First Federal Bancorp’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bluegreen Vacations	$919.43 million	1.33	$64.39 million	$3.71	19.41
Kentucky First Federal Bancorp	$7.56 million	4.06	$930,000.00	($0.05)	-76.00

Bluegreen Vacations has higher revenue and earnings than Kentucky First Federal Bancorp. Kentucky First Federal Bancorp is trading at a lower price-to-earnings ratio than Bluegreen Vacations, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

20.7% of Bluegreen Vacations shares are held by institutional investors. Comparatively, 3.2% of Kentucky First Federal Bancorp shares are held by institutional investors. 88.2% of Bluegreen Vacations shares are held by insiders. Comparatively, 5.3% of Kentucky First Federal Bancorp shares are held by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Risk & Volatility

Bluegreen Vacations has a beta of 1.62, suggesting that its stock price is 62% more volatile than the S&P 500. Comparatively, Kentucky First Federal Bancorp has a beta of 0.28, suggesting that its stock price is 72% less volatile than the S&P 500.

Dividends

Bluegreen Vacations pays an annual dividend of $0.80 per share and has a dividend yield of 1.1%. Kentucky First Federal Bancorp pays an annual dividend of $0.40 per share and has a dividend yield of 10.5%. Bluegreen Vacations pays out 21.6% of its earnings in the form of a dividend. Kentucky First Federal Bancorp pays out -800.0% 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. Kentucky First Federal Bancorp is clearly the better dividend stock, given its higher yield and lower payout ratio.

Summary

Bluegreen Vacations beats Kentucky First Federal Bancorp on 10 of the 13 factors compared between the two stocks.

About Bluegreen Vacations

Bluegreen Vacations Holding Corporation operates as a vacation ownership company. The company markets and sells vacation ownership interests (VOI); and manages resorts in leisure and urban destinations, including Orlando, Las Vegas, Myrtle Beach, Charleston and New Orleans, and others. It also provides resort management, mortgage, title, reservation, and construction design and development services; and financing to qualified VOI purchasers, as well as management services to the vacation club and homeowners' associations. The company was founded in 1966 and is headquartered in Boca Raton, Florida.

About Kentucky First Federal Bancorp

Kentucky First Federal Bancorp operates as the holding company for First Federal Savings and Loan Association of Hazard, and Frankfort First Bancorp, Inc. that provide various banking products and services in Kentucky. It accepts deposit products include passbook savings and certificate accounts, checking accounts, and individual retirement accounts. The company's loan portfolio comprises one-to four-family residential mortgage loans; construction loans; mortgage loans secured by multi-family property; nonresidential loans that are secured by commercial office buildings, churches, and properties used for other purposes; commercial non-mortgage loans; and consumer loans, such as home equity lines of credit, loans secured by savings deposits, automobile loans, and unsecured or personal loans. It also invests in mortgage-backed securities. The company was incorporated in 2005 and is based in Hazard, Kentucky. Kentucky First Federal Bancorp is a subsidiary of First Federal MHC.