USCB Financial (NASDAQ:USCB) vs. Trustmark (NASDAQ:TRMK) Head-To-Head Review

USCB Financial (NASDAQ:USCB) and Trustmark (NASDAQ:TRMK) are both finance companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, profitability, analyst recommendations, valuation, earnings, risk and dividends.

Dividends

USCB Financial pays an annual dividend of $0.40 per share and has a dividend yield of 2.3%. Trustmark pays an annual dividend of $0.96 per share and has a dividend yield of 2.3%. USCB Financial pays out 27.2% of its earnings in the form of a dividend. Trustmark pays out 27.0% 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. USCB Financial has increased its dividend for 2 consecutive years and Trustmark has increased its dividend for 1 consecutive years. Trustmark is clearly the better dividend stock, given its higher yield and lower payout ratio.

Risk and Volatility

USCB Financial has a beta of 0.62, indicating that its share price is 38% less volatile than the S&P 500. Comparatively, Trustmark has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current ratings and price targets for USCB Financial and Trustmark, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
USCB Financial	0	0	2	1	3.33
Trustmark	0	3	2	0	2.40

USCB Financial currently has a consensus price target of $22.00, indicating a potential upside of 26.44%. Trustmark has a consensus price target of $41.00, indicating a potential downside of 0.15%. Given USCB Financial’s stronger consensus rating and higher possible upside, analysts clearly believe USCB Financial is more favorable than Trustmark.

Earnings and Valuation

This table compares USCB Financial and Trustmark”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
USCB Financial	$143.97 million	2.43	$24.67 million	$1.47	11.84
Trustmark	$949.48 million	2.61	$223.01 million	$3.56	11.53

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

Institutional & Insider Ownership

61.3% of USCB Financial shares are owned by institutional investors. Comparatively, 67.6% of Trustmark shares are owned by institutional investors. 49.5% of USCB Financial shares are owned by company insiders. Comparatively, 1.5% of Trustmark shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares USCB Financial and Trustmark’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
USCB Financial	19.51%	13.39%	1.13%
Trustmark	19.21%	10.81%	1.18%

Summary

Trustmark beats USCB Financial on 9 of the 17 factors compared between the two stocks.

About USCB Financial

USCB Financial Holdings, Inc. operates as the bank holding company for U.S. Century Bank that engages in the provision of various personal and business banking products and services in the United States. It accepts various deposit products, including commercial and consumer checking, money market deposit, savings, and time deposit accounts, as well as certificates of deposit. It also offers loan products, such as small business administration loans, yacht financing, residential and commercial real estate loans; commercial and industrial loans; foreign bank loans; and secured and unsecured consumer loans comprising personal loans, overdrafts, and deposit account collateralized loans. The company also offers lockbox, treasury, commercial payments, cash management, and online banking services, as well as provides title insurance policies for real estate transactions. USCB Financial Holdings, Inc. was founded in 2002 and is headquartered in Miami, Florida.

About Trustmark

Trustmark Corporation operates as the bank holding company for Trustmark National Bank that provides banking and other financial solutions to individuals and corporate institutions in the United States. The company operates through three segments: General Banking, Wealth Management, and Insurance. It offers checking, savings, and money market accounts; certificates of deposits and individual retirement accounts; financing for commercial and industrial projects, income-producing commercial real estate, owner-occupied real estate, and construction and land development; and installment and real estate loans, and lines of credit, as well as treasury management services. The company also provides mortgage banking services, including construction financing, production of conventional and government-insured mortgages, and secondary marketing and mortgage servicing. In addition, it provides wealth management and trust services, such as administration of personal trusts and estates; management of investment accounts for individuals, employee benefit plans, and charitable foundations; and corporate trust and institutional custody, securities brokerage, financial and estate planning, retirement plan, and investment management services. Further, the company offers business insurance products and services for medical professionals, construction, manufacturing, hospitality, real estate, and group life and health plans; and life and health insurance, and personal line policies for individual customers. Trustmark Corporation was founded in 1889 and is headquartered in Jackson, Mississippi.