Peoples Financial Services (NASDAQ:PFIS) & Glen Burnie Bancorp (NASDAQ:GLBZ) Financial Analysis

Glen Burnie Bancorp (NASDAQ:GLBZ) and Peoples Financial Services (NASDAQ:PFIS) are both small-cap finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, analyst recommendations, profitability, earnings, risk, institutional ownership and valuation.

Profitability

This table compares Glen Burnie Bancorp and Peoples Financial Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Glen Burnie Bancorp	0.16%	0.14%	0.01%
Peoples Financial Services	20.17%	18.32%	1.76%

Dividends

Glen Burnie Bancorp pays an annual dividend of $0.10 per share and has a dividend yield of 2.2%. Peoples Financial Services pays an annual dividend of $2.47 per share and has a dividend yield of 5.1%. Glen Burnie Bancorp pays out 1,000.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Peoples Financial Services pays out 29.2% of its earnings in the form of a dividend. Peoples Financial Services has increased its dividend for 8 consecutive years. Peoples Financial Services is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Insider & Institutional Ownership

9.8% of Glen Burnie Bancorp shares are owned by institutional investors. Comparatively, 31.7% of Peoples Financial Services shares are owned by institutional investors. 14.6% of Glen Burnie Bancorp shares are owned by company insiders. Comparatively, 4.1% of Peoples Financial Services shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Valuation and Earnings

This table compares Glen Burnie Bancorp and Peoples Financial Services”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Glen Burnie Bancorp	$11.83 million	1.10	-$110,000.00	$0.01	448.00
Peoples Financial Services	$229.80 million	2.12	$8.50 million	$8.47	5.75

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

Volatility & Risk

Glen Burnie Bancorp has a beta of 0.2, suggesting that its stock price is 80% less volatile than the S&P 500. Comparatively, Peoples Financial Services has a beta of 0.81, suggesting that its stock price is 19% less volatile than the S&P 500.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Glen Burnie Bancorp and Peoples Financial Services, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Glen Burnie Bancorp	1	0	0	0	1.00
Peoples Financial Services	0	3	0	0	2.00

Peoples Financial Services has a consensus price target of $50.00, indicating a potential upside of 2.59%. Given Peoples Financial Services’ stronger consensus rating and higher possible upside, analysts clearly believe Peoples Financial Services is more favorable than Glen Burnie Bancorp.

Summary

Peoples Financial Services beats Glen Burnie Bancorp on 14 of the 16 factors compared between the two stocks.

About Glen Burnie Bancorp

Glen Burnie Bancorp operates as the bank holding company for The Bank of Glen Burnie that provides commercial and retail banking services to individuals, associations, partnerships, and corporations. The company offers savings accounts, money market deposit accounts, demand deposit accounts, NOW checking accounts, IRA and SEP accounts, and certificates of deposit. It also provides residential and commercial real estate, construction, land acquisition and development, and secured and unsecured commercial loans, as well as consumer instalment lending, such as indirect automobile lending services; and residential first and second mortgage loans, home equity lines of credit, and commercial mortgage loans. In addition, the company offers safe deposit boxes, money orders, night depositories, automated clearinghouse transactions, wire transfers, and automated teller machine (ATM) services, as well as electronic banking services, such as telephone and online banking, bill pay, card management and control, mobile app, merchant source capture, mobile deposit capture, Zelle, etc. Further, it provides treasury services, including wire transfer and ACH services, and debit cards. Additionally, the company engages in the acquisition and disposition of other real estate properties. It serves customers in northern Anne Arundel county and surrounding areas from its main office and branch in Glen Burnie, Maryland; and branch offices in Odenton, Riviera Beach, Crownsville, Severn, Linthicum, and Severna Park, Maryland. The company also operates a remote ATM located in Pasadena, Maryland. The company was founded in 1949 and is based in Glen Burnie, Maryland.

About Peoples Financial Services

Peoples Financial Services Corp. operates as the bank holding company for Peoples Security Bank and Trust Company that provides various commercial and retail banking services. The company accepts money market, negotiable order of withdrawal, savings, individual retirement, demand deposit, and certificates of deposit accounts. It also provides residential real estate, automobile, manufactured housing, personal, and home equity loans; and commercial real estate, working capital, construction, small business administration, and agricultural loans, as well as loans for equipment and other commercial needs, and mineral rights. In addition, the company offers fiduciary and investment services; investment management, IRA trustee, estate administration, living and life insurance trust, trustee under will, guardianship, custodial/IRA custodial, and corporate trust services, as well as pension and profit-sharing plans. Further, it provides wealth management products and services comprising investment portfolio management, estate and business succession planning, annuities, insurance, retirement plan, and tax planning, as well as education funding strategies; and securities, brokerage, and investor services. Additionally, the company offers small business checking and merchant money market accounts, online and telephone banking, business credit cards, merchant line of credit, and financial checkup services; and remote deposit capture, automatic clearing house transaction, cash management, automated teller machine, point of sale transaction, safe deposit box, night depository, direct deposit, and official check services. It serves business, non-profit, governmental, municipal agency, and professional customers, as well as retail customers. Peoples Financial Services Corp. was founded in 1905 and is headquartered in Scranton, Pennsylvania.