Financial Contrast: Mission Valley Bancorp (OTCMKTS:MVLY) vs. American Business Bank (OTCMKTS:AMBZ)

Insider & Institutional Ownership

5.7% of Mission Valley Bancorp shares are held by institutional investors. Comparatively, 9.9% of American Business Bank shares are held by institutional investors. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Volatility & Risk

Mission Valley Bancorp has a beta of 0.37, indicating that its share price is 63% less volatile than the S&P 500. Comparatively, American Business Bank has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500.

Profitability

This table compares Mission Valley Bancorp and American Business Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Mission Valley Bancorp	N/A	N/A	N/A
American Business Bank	23.92%	N/A	N/A

Dividends

Mission Valley Bancorp pays an annual dividend of $0.15 per share and has a dividend yield of 1.0%. American Business Bank pays an annual dividend of $1.00 per share and has a dividend yield of 2.3%. Mission Valley Bancorp pays out 8.2% of its earnings in the form of a dividend. American Business Bank pays out 20.9% 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.

Earnings & Valuation

This table compares Mission Valley Bancorp and American Business Bank”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Mission Valley Bancorp	N/A	N/A	$6.20 million	$1.83	8.33
American Business Bank	$183.26 million	2.08	$43.28 million	$4.78	8.91

American Business Bank has higher revenue and earnings than Mission Valley Bancorp. Mission Valley Bancorp is trading at a lower price-to-earnings ratio than American Business Bank, indicating that it is currently the more affordable of the two stocks.

Summary

American Business Bank beats Mission Valley Bancorp on 8 of the 9 factors compared between the two stocks.

About Mission Valley Bancorp

Mission Valley Bancorp operates as the bank holding company for Mission Valley Bank and Mission SBA Loan Servicing LLC that provides various banking products and services to individuals and corporate customers. The company's deposit products include non-interest-bearing and interest-bearing demand deposits, savings, and time deposits; and certificates of deposit. It also offers accounts receivable loans, advanced restaurant financing loans, commercial loans, real estate loans, small business administration loans, and term loans; consumer loans; and overdraft facilities; as well as credit and debit cards. In addition, the company provides lending services, such as underwriting, processing, closing, servicing, and referral/replacement services to other financial institutions. Mission Valley Bancorp was founded in 2001 and is headquartered in Sun Valley, California.

About American Business Bank

American Business Bank, a California-chartered bank, provides banking products and services to small and medium-sized firms, non-profits, business executives, and professionals in Southern California. The company offers credit and depository; treasury management; asset-based lending; SBA lending; international banking comprising money transfers, import and export commercial letters of credit, standby letters of credit, documentary and clean collections, and foreign currency exchange services; and consulting and referral services. It operates regional loan production offices located in North Orange County, Orange County, South Bay, San Fernando Valley, Riverside County, Inland Empire, and Long Beach. American Business Bank was incorporated in 1998 and is headquartered in Los Angeles, California.