Head to Head Review: Old Point Financial (NASDAQ:OPOF) & Seacoast Banking Corporation of Florida (NASDAQ:SBCF)

Old Point Financial (NASDAQ:OPOF) and Seacoast Banking Corporation of Florida (NASDAQ:SBCF) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their risk, analyst recommendations, profitability, valuation, dividends, institutional ownership and earnings.

Dividends

Old Point Financial pays an annual dividend of $0.56 per share and has a dividend yield of 1.3%. Seacoast Banking Corporation of Florida pays an annual dividend of $0.72 per share and has a dividend yield of 2.3%. Old Point Financial pays out 32.9% of its earnings in the form of a dividend. Seacoast Banking Corporation of Florida pays out 44.2% 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. Seacoast Banking Corporation of Florida has increased its dividend for 4 consecutive years. Seacoast Banking Corporation of Florida is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Old Point Financial and Seacoast Banking Corporation of Florida’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Old Point Financial	10.12%	8.16%	0.66%
Seacoast Banking Corporation of Florida	16.63%	6.65%	0.95%

Institutional and Insider Ownership

33.4% of Old Point Financial shares are held by institutional investors. Comparatively, 81.8% of Seacoast Banking Corporation of Florida shares are held by institutional investors. 21.1% of Old Point Financial shares are held by insiders. Comparatively, 1.6% of Seacoast Banking Corporation of Florida shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Volatility & Risk

Old Point Financial has a beta of -0.31, suggesting that its share price is 131% less volatile than the S&P 500. Comparatively, Seacoast Banking Corporation of Florida has a beta of 0.94, suggesting that its share price is 6% less volatile than the S&P 500.

Valuation and Earnings

This table compares Old Point Financial and Seacoast Banking Corporation of Florida”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Old Point Financial	$85.82 million	2.50	$9.51 million	$1.70	24.76
Seacoast Banking Corporation of Florida	$808.99 million	3.36	$120.99 million	$1.63	18.97

Seacoast Banking Corporation of Florida has higher revenue and earnings than Old Point Financial. Seacoast Banking Corporation of Florida is trading at a lower price-to-earnings ratio than Old Point Financial, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for Old Point Financial and Seacoast Banking Corporation of Florida, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Old Point Financial	0	0	0	0	0.00
Seacoast Banking Corporation of Florida	0	4	2	1	2.57

Seacoast Banking Corporation of Florida has a consensus target price of $29.40, suggesting a potential downside of 4.92%. Given Seacoast Banking Corporation of Florida’s stronger consensus rating and higher possible upside, analysts clearly believe Seacoast Banking Corporation of Florida is more favorable than Old Point Financial.

Summary

Seacoast Banking Corporation of Florida beats Old Point Financial on 13 of the 18 factors compared between the two stocks.

About Old Point Financial

Old Point Financial Corporation operates as the bank holding company for The Old Point National Bank of Phoebus that provides consumer, mortgage, and business banking services for individual and commercial customers in Virginia. It offers deposit products, including interest-bearing transaction accounts, money market deposit accounts, savings accounts, time deposits, and demand deposits. The company also provides real estate construction, commercial, and mortgage loans, such as residential 1-4 family mortgages, second mortgages, and equity lines of credit; and other loans. In addition, it offers retirement planning, estate planning, financial planning, estate and trust administration, retirement plan administration, tax, and investment management services; and insurance products, wealth management, and cash management services. Old Point Financial Corporation was founded in 1922 and is headquartered in Hampton, Virginia.

About Seacoast Banking Corporation of Florida

Seacoast Banking Corp. of Florida is a financial holding company, which engages in the provision of integrated financial services. It provides banking and investment services to businesses and consumers, including personal and business deposit products, Internet and mobile banking, personal, commercial and mortgage loans, wealth management services, and treasury management solutions. The company was founded in 1983 and is headquartered in Stuart, FL.