FinWise Bancorp (NASDAQ:FINW) and BANCORP 34 (OTCMKTS:BCTF) Head-To-Head Survey

FinWise Bancorp (NASDAQ:FINW) and BANCORP 34 (OTCMKTS:BCTF) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, valuation, profitability, dividends, earnings, institutional ownership and risk.

Institutional and Insider Ownership

35.4% of FinWise Bancorp shares are owned by institutional investors. Comparatively, 6.5% of BANCORP 34 shares are owned by institutional investors. 21.3% of FinWise Bancorp shares are owned by company insiders. Comparatively, 7.4% of BANCORP 34 shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Volatility & Risk

FinWise Bancorp has a beta of 0.8, suggesting that its stock price is 20% less volatile than the S&P 500. Comparatively, BANCORP 34 has a beta of 0.23, suggesting that its stock price is 77% less volatile than the S&P 500.

Valuation & Earnings

This table compares FinWise Bancorp and BANCORP 34″s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FinWise Bancorp	$96.84 million	2.15	$12.74 million	$0.92	17.13
BANCORP 34	$56.34 million	1.43	$1.69 million	$0.75	16.15

FinWise Bancorp has higher revenue and earnings than BANCORP 34. BANCORP 34 is trading at a lower price-to-earnings ratio than FinWise Bancorp, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings for FinWise Bancorp and BANCORP 34, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FinWise Bancorp	0	0	4	0	3.00
BANCORP 34	0	0	0	0	0.00

FinWise Bancorp presently has a consensus target price of $20.88, indicating a potential upside of 32.46%. Given FinWise Bancorp’s stronger consensus rating and higher probable upside, equities research analysts plainly believe FinWise Bancorp is more favorable than BANCORP 34.

Profitability

This table compares FinWise Bancorp and BANCORP 34’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FinWise Bancorp	12.67%	7.34%	1.77%
BANCORP 34	9.64%	4.70%	0.44%

Summary

FinWise Bancorp beats BANCORP 34 on 14 of the 14 factors compared between the two stocks.

About FinWise Bancorp

FinWise Bancorp operates as the bank holding company for FinWise Bank that provides various banking products and services to individual and corporate customers in Utah. The company offers various deposit products, including interest and noninterest bearing demand accounts, health savings account demand deposits, NOW and money market accounts, and checking and savings accounts, as well as time deposits and certificates of deposits. It also provides loans, including consumer, small business administration, commercial, commercial real estate, and residential real estate loans. In addition, the company offers debit cards, remote deposit capture, online banking, mobile banking, and direct deposit services; and business accounts and cash management services, such as business checking and savings accounts, and treasury services. FinWise Bancorp was founded in 1999 and is headquartered in Murray, Utah.

About BANCORP 34

Bancorp 34, Inc. operates as the holding company for Bank 34 that offers various banking products and services to individuals and businesses in the United States. It accepts various deposit products, such as savings accounts, checking accounts, money market accounts, demand and time deposits, NOW accounts, and individual retirement accounts, as well as certificates of deposit. The company also provides term, working capital, construction, USDA, small business administration, equipment, assisted living and skilled nursing, renewable energy and solar equipment, and commercial real estate loans; and small to medium size business and business acquisitions financing; lines of credit; multi-family finance; and employee stock ownership plans, HOA lending, and investor pools of single family rentals. In addition, it offers credit and debit cards; safe deposit boxes; treasury management products; and merchant card processing, cash management, e-banking, mobile and online banking, bill payment, and merchant capture services. The company operates through its network of full-service branches in Scottsdale and Arizona, as well as Alamogordo and Las Cruces, New Mexico. Bancorp 34, Inc. was founded in 1934 and is headquartered in Scottsdale, Arizona.