Ames National (NASDAQ:ATLO) vs. Ohio Valley Banc (NASDAQ:OVBC) Financial Review

Valuation and Earnings

This table compares Ohio Valley Banc and Ames National”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Ohio Valley Banc	$88.93 million	1.81	$11.00 million	$2.94	11.65
Ames National	$59.81 million	2.76	$10.22 million	$1.54	12.02

Ohio Valley Banc has higher revenue and earnings than Ames National. Ohio Valley Banc is trading at a lower price-to-earnings ratio than Ames National, indicating that it is currently the more affordable of the two stocks.

Volatility and Risk

Ohio Valley Banc has a beta of 0.16, suggesting that its share price is 84% less volatile than the S&P 500. Comparatively, Ames National has a beta of 0.5, suggesting that its share price is 50% less volatile than the S&P 500.

Dividends

Ohio Valley Banc pays an annual dividend of $0.92 per share and has a dividend yield of 2.7%. Ames National pays an annual dividend of $0.80 per share and has a dividend yield of 4.3%. Ohio Valley Banc pays out 31.3% of its earnings in the form of a dividend. Ames National pays out 51.9% 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. Ohio Valley Banc has raised its dividend for 3 consecutive years.

Profitability

This table compares Ohio Valley Banc and Ames National’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Ohio Valley Banc	14.81%	9.07%	0.92%
Ames National	14.44%	7.59%	0.64%

Institutional & Insider Ownership

22.1% of Ohio Valley Banc shares are held by institutional investors. Comparatively, 26.5% of Ames National shares are held by institutional investors. 7.1% of Ohio Valley Banc shares are held by company insiders. Comparatively, 2.1% of Ames National shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Summary

Ohio Valley Banc beats Ames National on 9 of the 14 factors compared between the two stocks.

About Ohio Valley Banc

Ohio Valley Banc Corp. operates as the bank holding company for The Ohio Valley Bank Company that provides commercial and consumer banking products and services. The company operates in two segments, Banking and Consumer Finance. It accepts various deposit products, including checking, savings, time, and money market accounts, as well as individual retirement accounts, demand deposits, NOW accounts, and certificates of deposit. The company also provides various residential real estate loans, including one-to four-family residential mortgages; commercial loans for securing equipment, inventory, stock, commercial real estate, and rental property; and consumer loans secured by automobiles, mobile homes, recreational vehicles, and other personal property, as well as personal loans, unsecured credit card receivables, floor plan and student loans, and construction loans. In addition, it offers safe deposit box, wire transfer, credit card, home equity loans, and Internet banking services; and financial management online services, such as cash management and news updates related to repossession auctions, current rates, and general bank news. Further, the company provides automatic teller machines (ATMs), consumer finance, seasonal tax preparation, commercial property, and various liability insurance services, as well as trust and online-only consumer direct mortgage services. The company owns and operates ATMs, including off-site ATMs. It operates offices in Ohio and West Virginia. The company was founded in 1872 and is based in Gallipolis, Ohio.

About Ames National

Ames National Corporation operates as a multi-bank holding company that provides banking products and services primarily in Boone, Clarke, Hancock, Marshall, Polk, Story, and Union counties in central, north central, and south-central Iowa. The company accepts various deposit products, including checking and savings accounts; and time deposits, such as money market accounts and certificates of deposit. It also provides loans, such as short-term and medium-term commercial and agricultural real estate, residential real estate loans, equipment, vehicle, and home improvement loans; consumer loans to finance consumer purchases, such as automobiles, trucks, recreational vehicles, household furnishings, boats, personal loans, and lines of credit; agricultural and business operating loans and lines of credit; and originates mortgage loans for sale into the secondary market. In addition, the company offers cash management, merchant credit card processing, safe deposit box, wire transfer, direct deposit, and automated/video teller machine access services; and automatic drafts for various accounts, as well as wealth management services. Further, it provides farm management, investment, and custodial services for individuals, businesses, and non-profit organizations; and online, mobile, and private banking services. Ames National Corporation was incorporated in 1903 and is headquartered in Ames, Iowa.