Bar Harbor Bankshares (NYSE:BHB) versus SouthState Bank (NYSE:SSB) Head-To-Head Comparison

SouthState Bank (NYSE:SSB) and Bar Harbor Bankshares (NYSE:BHB) are both financial services companies, but which is the better investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, risk, analyst recommendations, earnings and profitability.

Insider & Institutional Ownership

89.8% of SouthState Bank shares are held by institutional investors. Comparatively, 54.5% of Bar Harbor Bankshares shares are held by institutional investors. 1.7% of SouthState Bank shares are held by company insiders. Comparatively, 2.6% of Bar Harbor Bankshares shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Valuation and Earnings

This table compares SouthState Bank and Bar Harbor Bankshares”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SouthState Bank	$2.39 billion	3.75	$534.78 million	$7.27	12.19
Bar Harbor Bankshares	$156.64 million	3.12	$38.70 million	$2.32	12.64

SouthState Bank has higher revenue and earnings than Bar Harbor Bankshares. SouthState Bank is trading at a lower price-to-earnings ratio than Bar Harbor Bankshares, indicating that it is currently the more affordable of the two stocks.

Dividends

SouthState Bank pays an annual dividend of $2.40 per share and has a dividend yield of 2.7%. Bar Harbor Bankshares pays an annual dividend of $1.28 per share and has a dividend yield of 4.4%. SouthState Bank pays out 33.0% of its earnings in the form of a dividend. Bar Harbor Bankshares pays out 55.2% 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. SouthState Bank has raised its dividend for 13 consecutive years and Bar Harbor Bankshares has raised its dividend for 22 consecutive years. Bar Harbor Bankshares is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares SouthState Bank and Bar Harbor Bankshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SouthState Bank	20.25%	10.70%	1.42%
Bar Harbor Bankshares	N/A	N/A	N/A

Analyst Ratings

This is a summary of recent ratings for SouthState Bank and Bar Harbor Bankshares, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SouthState Bank	0	2	11	2	3.00
Bar Harbor Bankshares	0	2	1	0	2.33

SouthState Bank presently has a consensus price target of $115.85, indicating a potential upside of 30.74%. Bar Harbor Bankshares has a consensus price target of $34.50, indicating a potential upside of 17.63%. Given SouthState Bank’s stronger consensus rating and higher probable upside, analysts plainly believe SouthState Bank is more favorable than Bar Harbor Bankshares.

Volatility & Risk

SouthState Bank has a beta of 0.68, indicating that its share price is 32% less volatile than the S&P 500. Comparatively, Bar Harbor Bankshares has a beta of 0.71, indicating that its share price is 29% less volatile than the S&P 500.

Summary

SouthState Bank beats Bar Harbor Bankshares on 13 of the 18 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 Bar Harbor Bankshares

Bar Harbor Bankshares operates as the holding company for Bar Harbor Bank & Trust that provides commercial, lending, retail, and wealth management banking services. It accepts various deposit products, including interest-bearing and non-interest-bearing demand accounts, savings accounts, time deposits, and money market deposit accounts, as well as certificates of deposit. The company also provides commercial real estate loans, such as multi-family, commercial construction and land development, and other commercial real estate classes; commercial and industrial loans, including loans to commercial and agricultural businesses, and tax exempt entities; residential real estate loans consists of mortgages for 1-4 family housing; and consumer loans comprises home equity loans, lines of credit, auto, and other installment lending. In addition, it provides life insurance, annuity, and retirement products, as well as financial planning services; and third-party investment and insurance services. Further, the company offers trust and estate administration, wealth advisory, and investment management services to individuals, businesses, not-for-profit organizations, and municipalities; and 401K plan, financial, estate and charitable planning, investment management, family office, municipal, and tax services. It operates 53 locations across Maine, New Hampshire, and Vermont. The company was founded in 1887 and is based in Bar Harbor, Maine.