1st Source (NASDAQ:SRCE) vs. Chester Bancorp (OTCMKTS:CNBA) Head to Head Contrast

1st Source (NASDAQ:SRCE) and Chester Bancorp (OTCMKTS:CNBA) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their profitability, dividends, institutional ownership, risk, valuation, earnings and analyst recommendations.

Earnings and Valuation

This table compares 1st Source and Chester Bancorp”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
1st Source	$574.21 million	2.52	$132.62 million	$5.71	10.33
Chester Bancorp	N/A	N/A	N/A	N/A	N/A

1st Source has higher revenue and earnings than Chester Bancorp.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for 1st Source and Chester Bancorp, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
1st Source	0	2	1	0	2.33
Chester Bancorp	0	0	0	0	0.00

1st Source presently has a consensus target price of $72.00, indicating a potential upside of 22.01%. Given 1st Source’s stronger consensus rating and higher probable upside, research analysts plainly believe 1st Source is more favorable than Chester Bancorp.

Profitability

This table compares 1st Source and Chester Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
1st Source	24.02%	11.94%	1.61%
Chester Bancorp	N/A	N/A	N/A

Insider & Institutional Ownership

74.5% of 1st Source shares are held by institutional investors. 19.6% of 1st Source shares are held by company insiders. Comparatively, 38.8% of Chester Bancorp shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Risk & Volatility

1st Source has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500. Comparatively, Chester Bancorp has a beta of 0.37, indicating that its share price is 63% less volatile than the S&P 500.

Dividends

1st Source pays an annual dividend of $1.52 per share and has a dividend yield of 2.6%. Chester Bancorp pays an annual dividend of $0.68 per share and has a dividend yield of 15.7%. 1st Source pays out 26.6% of its earnings in the form of a dividend. 1st Source has raised its dividend for 38 consecutive years.

Summary

1st Source beats Chester Bancorp on 10 of the 13 factors compared between the two stocks.

About 1st Source

1st Source Corporation operates as the bank holding company for 1st Source Bank that provides commercial and consumer banking services, trust and wealth advisory services, and insurance products to individual and business clients. Its consumer banking services include checking and savings accounts; certificates of deposit; individual retirement accounts; online and mobile banking products; consumer loans, real estate mortgage loans, and home equity lines of credit; and financial planning, financial literacy, and other consultative services, as well as debit and credit cards. The company also offers commercial, small business, agricultural, and real estate loans for general corporate purposes, including financing for industrial and commercial properties, equipment, inventories, accounts receivables, and renewable energy and acquisition financing; and commercial leasing, treasury management, and retirement planning services. In addition, it provides trust, investment, agency, and custodial services comprising administration of estates and personal trusts, as well as management of investment accounts for individuals, employee benefit plans, and charitable foundations. Further, the company offers equipment loan and lease products for construction equipment, new and pre-owned aircraft, auto and light trucks, and medium and heavy duty trucks; and finances construction equipment, aircrafts, medium and heavy duty trucks, step vans, vocational work trucks, motor coaches, shuttle buses, funeral cars, automobiles, and other equipment. Additionally, it provides corporate and personal property, casualty, and individual and group health and life insurance products and services. 1st Source Corporation was founded in 1863 and is headquartered in South Bend, Indiana.

About Chester Bancorp

Chester Bancorp, Inc. operates as the holding company for Chester National Bank that provides various banking products and services to individuals and businesses in Chester, Illinois. It offers checking accounts, such as regular checking, student checking, golden checking, and club checking accounts; savings accounts, including statement savings, Christmas club, and money market accounts; and certificate of deposits and individual retirement accounts. The company also provides loans comprising mortgage, construction, lot, home equity, consumer, and business loans; and reorder check services. It operates two full service offices in Sparta, Illinois; and Perryville, Missouri. Chester Bancorp, Inc. was founded in 1996 and is based in Chester, Illinois.