Contrasting Broadway Financial (NASDAQ:BYFC) and Beverly Hills Bancorp (OTCMKTS:BHBCQ)

Beverly Hills Bancorp (OTCMKTS:BHBCQ) and Broadway Financial (NASDAQ:BYFC) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, institutional ownership, profitability, analyst recommendations, risk, dividends and valuation.

Insider and Institutional Ownership

12.1% of Broadway Financial shares are held by institutional investors. 13.0% of Beverly Hills Bancorp shares are held by insiders. Comparatively, 4.1% of Broadway Financial shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Valuation and Earnings

This table compares Beverly Hills Bancorp and Broadway Financial”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Beverly Hills Bancorp	N/A	N/A	N/A	N/A	N/A
Broadway Financial	$63.76 million	1.13	$1.93 million	($2.96)	-2.66

Broadway Financial has higher revenue and earnings than Beverly Hills Bancorp.

Analyst Recommendations

This is a summary of current ratings for Beverly Hills Bancorp and Broadway Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Beverly Hills Bancorp	0	0	0	0	0.00
Broadway Financial	1	0	0	0	1.00

Given Beverly Hills Bancorp’s higher probable upside, equities research analysts plainly believe Beverly Hills Bancorp is more favorable than Broadway Financial.

Profitability

This table compares Beverly Hills Bancorp and Broadway Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Beverly Hills Bancorp	N/A	N/A	N/A
Broadway Financial	-36.31%	1.41%	0.14%

Summary

Broadway Financial beats Beverly Hills Bancorp on 5 of the 8 factors compared between the two stocks.

About Beverly Hills Bancorp

Beverly Hills Bancorp Inc. is a financial holding company and conducts its banking and lending operations through its primary subsidiary, First Bank of Beverly Hills. The Bank focuses on niche products, including the origination and acquisition of commercial and multi-family real estate loans. The Bank's principal funding sources consist of certificates of deposits generated through independent brokers and its money desk, borrowings from the Federal Home Loan Bank of San Francisco and repurchase agreements with major investment banks. The Bank is a California state-chartered commercial bank and is regulated by the Federal Deposit Insurance Corporation.Beverly Hills Bancorp's common stock is traded on the Nasdaq National Market under the trading symbol "BHBC".

About Broadway Financial

Broadway Financial Corporation operates as the holding company for City First Bank, National Association that provides various banking products and services in the United States. It accepts various deposit accounts, including savings accounts, checking accounts, interest checking accounts, money market accounts, and fixed-term certificates of deposit. The company also offers mortgage loans, which are secured by multi-family residential properties; single family residential properties; and commercial real estate, including charter schools, community facilities, and churches, as well as commercial business, construction, and consumer loans. In addition, it invests in securities issued by federal government agencies, residential mortgage-backed securities, and other investments. The company was founded in 1946 and is headquartered in Los Angeles, California.