Origin Bancorp (NASDAQ:OBNK) and Renasant (NASDAQ:RNST) Financial Survey

Origin Bancorp (NASDAQ:OBNK) and Renasant (NASDAQ:RNST) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their profitability, valuation, dividends, earnings, institutional ownership, analyst recommendations and risk.

Analyst Recommendations

This is a summary of recent ratings and recommmendations for Origin Bancorp and Renasant, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Origin Bancorp	0	0	0	0	0.00
Renasant	0	2	3	1	2.83

Renasant has a consensus price target of $41.67, suggesting a potential upside of 7.80%. Given Renasant’s stronger consensus rating and higher possible upside, analysts plainly believe Renasant is more favorable than Origin Bancorp.

Earnings & Valuation

This table compares Origin Bancorp and Renasant”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Origin Bancorp	$347.14 million	3.46	$87.71 million	$3.21	12.15
Renasant	$771.83 million	4.76	$195.46 million	$2.54	15.22

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

Profitability

This table compares Origin Bancorp and Renasant’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Origin Bancorp	20.47%	10.45%	0.97%
Renasant	17.91%	6.58%	0.93%

Institutional and Insider Ownership

47.2% of Origin Bancorp shares are owned by institutional investors. Comparatively, 77.3% of Renasant shares are owned by institutional investors. 6.2% of Origin Bancorp shares are owned by company insiders. Comparatively, 2.8% of Renasant shares are owned 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.

Risk & Volatility

Origin Bancorp has a beta of 0.89, meaning that its stock price is 11% less volatile than the S&P 500. Comparatively, Renasant has a beta of 0.93, meaning that its stock price is 7% less volatile than the S&P 500.

Dividends

Origin Bancorp pays an annual dividend of $0.60 per share and has a dividend yield of 1.5%. Renasant pays an annual dividend of $0.88 per share and has a dividend yield of 2.3%. Origin Bancorp pays out 18.7% of its earnings in the form of a dividend. Renasant pays out 34.6% 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. Origin Bancorp has increased its dividend for 4 consecutive years.

Summary

Renasant beats Origin Bancorp on 10 of the 18 factors compared between the two stocks.

About Origin Bancorp

Origin Bancorp, Inc. is a bank holding company, which engages in the provision of financial services to small and medium-sized businesses, municipalities, high net worth individuals, and retail clients. The firm’s products and services include lending, deposits, mortgage banking, and insurance. It also offers other banking services such as Internet banking and voice response information, mobile applications, cash management, overdraft protection, direct deposit, safe deposit boxes, U.S. savings bonds, and automatic account transfers. The company was founded in 1991 and is headquartered in Ruston, LA.

About Renasant

Renasant Corporation operates as a bank holding company for Renasant Bank that provides a range of financial, wealth management, fiduciary, and insurance services to retail and commercial customers. The company operates through Community Banks, Insurance, and Wealth Management segments. The Community Banks segment offers checking and savings accounts, business and personal loans, asset-based lending, and factoring equipment leasing services, as well as safe deposit and night depository facilities. It also provides commercial, financial, and agricultural loans; equipment financing and leasing; real estate1-4 family mortgage; real estatecommercial mortgage; real estateconstruction loans for the construction of single family residential properties, multi-family properties, and commercial projects; installment loans to individuals; and interim construction loans, as well as automated teller machine (ATM), online and mobile banking, call center, and treasury management services. The Insurance segment provides insurance agency services, such as commercial and personal insurance products through insurance carriers. The Wealth Management segment offers a range of wealth management and fiduciary services, including administration and management of trust accounts, such as personal and corporate benefit accounts, and custodial accounts, as well as accounting and money management for trust accounts; annuities, mutual funds, and other investment services through a third party broker-dealer; administrative and compliance services; and qualified retirement plans, IRAs, employee benefit plans, personal trusts, and estates. Renasant Corporation was founded in 1904 and is headquartered in Tupelo, Mississippi.