Head to Head Analysis: Bridgewater Bancshares (NASDAQ:BWB) versus IF Bancorp (NASDAQ:IROQ)

Bridgewater Bancshares (NASDAQ:BWB) and IF Bancorp (NASDAQ:IROQ) are both small-cap finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, profitability, earnings, risk, valuation, dividends and analyst recommendations.

Valuation and Earnings

This table compares Bridgewater Bancshares and IF Bancorp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bridgewater Bancshares	$253.27 million	1.78	$32.83 million	$1.22	13.43
IF Bancorp	$45.37 million	1.86	$1.79 million	$1.02	24.75

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

Profitability

This table compares Bridgewater Bancshares and IF Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bridgewater Bancshares	14.03%	9.73%	0.77%
IF Bancorp	6.82%	4.28%	0.37%

Analyst Ratings

This is a breakdown of recent ratings and price targets for Bridgewater Bancshares and IF Bancorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bridgewater Bancshares	0	0	2	0	3.00
IF Bancorp	0	0	0	0	0.00

Bridgewater Bancshares currently has a consensus target price of $20.00, indicating a potential upside of 22.10%. Given Bridgewater Bancshares’ stronger consensus rating and higher probable upside, equities research analysts clearly believe Bridgewater Bancshares is more favorable than IF Bancorp.

Risk & Volatility

Bridgewater Bancshares has a beta of 0.58, indicating that its share price is 42% less volatile than the S&P 500. Comparatively, IF Bancorp has a beta of 0.35, indicating that its share price is 65% less volatile than the S&P 500.

Insider and Institutional Ownership

65.8% of Bridgewater Bancshares shares are held by institutional investors. Comparatively, 44.1% of IF Bancorp shares are held by institutional investors. 23.3% of Bridgewater Bancshares shares are held by insiders. Comparatively, 12.6% of IF Bancorp shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Bridgewater Bancshares beats IF Bancorp on 12 of the 14 factors compared between the two stocks.

About Bridgewater Bancshares

Bridgewater Bancshares, Inc. operates as the bank holding company for Bridgewater Bank that provides banking products and services to commercial real estate investors, entrepreneurs, business clients, and individuals in the United States. The company provides savings and money market accounts, demand deposits, time and brokered deposits, and interest and noninterest bearing transaction, as well as certificates of deposit. It offers commercial loans to sole proprietorships, partnerships, corporations, and other business enterprises to finance working capital, capital investment, or for other business related purposes; paycheck protection program loans; construction and land development loans; 1-4 family mortgage loans; multifamily lending products; owner and non-owner occupied commercial real estate loans; and consumer and other loans. In addition, the company online, mobile, and direct banking services. Bridgewater Bancshares, Inc. was incorporated in 2005 and is headquartered in Saint Louis Park, Minnesota.

About IF Bancorp

IF Bancorp, Inc. operates as the savings and loan holding company for Iroquois Federal Savings and Loan Association that provides a range of banking and financial services to individual and corporate clients. The company offers various deposit accounts, including savings accounts, certificates of deposit, money market accounts, commercial and personal checking accounts, individual retirement accounts, and health savings accounts. It provides loans comprising one- to four-family residential mortgage loans; multi-family mortgage loans; commercial real estate loans, such as farm loans; home equity lines of credit; commercial business loans; and consumer loans primarily comprising automobile loans, as well as construction loans and land development loans. In addition, the company sells property and casualty insurance, as well as offers annuities; mutual funds; individual and group retirement plans; life, disability, and health insurance; individual securities; managed accounts; and other financial services. IF Bancorp, Inc. invests in securities; and provides ATM, online banking and bill pay, mobile banking, ACH origination, remote deposit capture, and telephone banking services. The company was founded in 1883 and is headquartered in Watseka, Illinois.