Financial Analysis: Bank of Santa Clarita (OTCMKTS:BSCA) vs. FinWise Bancorp (NASDAQ:FINW)

Bank of Santa Clarita (OTCMKTS:BSCA) and FinWise Bancorp (NASDAQ:FINW) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, analyst recommendations, risk, profitability and earnings.

Profitability

This table compares Bank of Santa Clarita and FinWise Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bank of Santa Clarita	N/A	N/A	N/A
FinWise Bancorp	12.72%	7.70%	1.76%

Institutional & Insider Ownership

35.4% of FinWise Bancorp shares are held by institutional investors. 21.3% of FinWise 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.

Earnings and Valuation

This table compares Bank of Santa Clarita and FinWise Bancorp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bank of Santa Clarita	N/A	N/A	N/A	N/A	N/A
FinWise Bancorp	$96.84 million	2.69	$12.74 million	$0.97	19.87

FinWise Bancorp has higher revenue and earnings than Bank of Santa Clarita.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Bank of Santa Clarita and FinWise Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bank of Santa Clarita	0	0	0	0	0.00
FinWise Bancorp	0	0	4	0	3.00

FinWise Bancorp has a consensus price target of $20.88, suggesting a potential upside of 8.33%. Given FinWise Bancorp’s stronger consensus rating and higher possible upside, analysts clearly believe FinWise Bancorp is more favorable than Bank of Santa Clarita.

Summary

FinWise Bancorp beats Bank of Santa Clarita on 9 of the 9 factors compared between the two stocks.

About Bank of Santa Clarita

Bank of Santa Clarita engages in the provision of banking and financial services. It offers real estate, small business administration, commercial and consumer loans, consumer and business checking accounts, savings accounts, certificates of deposit, trade finance, and money transfers. The company was founded by Frank D. Di Tomaso on October 26, 2004 and is headquartered in Santa Clarita, CA.

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.