SouthState Bank (NYSE:SSB – Get Free Report) and Live Oak Bancshares (NYSE:LOB – Get Free Report) are both financial services companies, but which is the better investment? We will contrast the two businesses based on the strength of their dividends, earnings, institutional ownership, analyst recommendations, risk, valuation and profitability.
Valuation & Earnings
This table compares SouthState Bank and Live Oak Bancshares”s top-line revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| SouthState Bank | $2.44 billion | 4.19 | $534.78 million | $6.71 | 15.07 |
| Live Oak Bancshares | $936.15 million | 1.76 | $77.47 million | $1.22 | 29.61 |
Institutional and Insider Ownership
89.8% of SouthState Bank shares are held by institutional investors. Comparatively, 64.0% of Live Oak Bancshares shares are held by institutional investors. 1.7% of SouthState Bank shares are held by company insiders. Comparatively, 23.4% of Live Oak Bancshares 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.
Analyst Ratings
This is a summary of recent ratings and recommmendations for SouthState Bank and Live Oak Bancshares, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| SouthState Bank | 0 | 1 | 0 | 1 | 3.00 |
| Live Oak Bancshares | 0 | 1 | 0 | 1 | 3.00 |
Profitability
This table compares SouthState Bank and Live Oak Bancshares’ net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| SouthState Bank | 19.27% | 10.23% | 1.34% |
| Live Oak Bancshares | 5.71% | 5.46% | 0.42% |
Risk & Volatility
SouthState Bank has a beta of 0.74, indicating that its share price is 26% less volatile than the S&P 500. Comparatively, Live Oak Bancshares has a beta of 1.75, indicating that its share price is 75% more volatile than the S&P 500.
Dividends
SouthState Bank pays an annual dividend of $2.40 per share and has a dividend yield of 2.4%. Live Oak Bancshares pays an annual dividend of $0.12 per share and has a dividend yield of 0.3%. SouthState Bank pays out 35.8% of its earnings in the form of a dividend. Live Oak Bancshares pays out 9.8% 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. SouthState Bank has raised its dividend for 13 consecutive years. SouthState Bank is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.
Summary
SouthState Bank beats Live Oak Bancshares on 10 of the 14 factors compared between the two stocks.
About SouthState Bank
SouthState Corporation operates as the bank holding company for SouthState Bank, National Association that provides a range of banking services and products to individuals and companies. It accepts checking accounts, savings deposits, interest-bearing transaction accounts, certificates of deposits, money market accounts, and other time deposits. The company also offers commercial real estate loans, residential real estate loans, commercial, and industrial loans, as well as consumer loans, including auto, boat, and personal installment loans. In addition, it provides debit card, mobile and funds transfer products, and treasury management services comprising merchant, automated clearing house, lock-box, remote deposit capture, and other treasury services. Further, the company offers safe deposit boxes, bank money orders, wire transfer, brokerage services, and alternative investment products, including annuities, mutual funds, and trust and asset management services; and credit cards, letters of credit, and home equity lines of credit. As of December 31, 2021, it served customers through 281 branches in Florida, South Carolina, Alabama, Georgia, North Carolina, and Virginia. SouthState Corporation also serves its customers through online, mobile, and telephone banking platforms. The company was formerly known as First Financial Holdings, Inc. and changed its name to SouthState Corporation in July 2013. SouthState Corporation was founded in 1933 and is headquartered in Winter Haven, Florida.
About Live Oak Bancshares
Live Oak Bancshares, Inc. operates as the bank holding company for Live Oak Banking Company that provides various commercial banking products and services to individuals, small businesses, and professionals in North Carolina, the United States. The company accepts various deposit products, including noninterest-bearing demand, as well as interest-bearing checking, money market, savings, and time deposits. It also offers commercial and industrial loans; construction and development loans; owner occupied and non-owner occupied collateral commercial real estate loans; and commercial land loans. In addition, the company provides settlement, accounting, and securitization services for government guaranteed loans; wealth and investment management services to high-net-worth individuals and families; investment advisory services to a series of funds focused on providing venture capital to new and emerging financial technology companies; and an on-site restaurant location to company employees and business visitors. Live Oak Bancshares, Inc. was incorporated in 2008 and is headquartered in Wilmington, North Carolina.
Receive News & Ratings for SouthState Bank Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for SouthState Bank and related companies with MarketBeat.com's FREE daily email newsletter.
