Analyzing WCF Bancorp (OTCMKTS:WCFB) and ECB Bancorp (NASDAQ:ECBK)

ECB Bancorp (NASDAQ:ECBK) and WCF Bancorp (OTCMKTS:WCFB) are both small-cap finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, risk, dividends, institutional ownership and profitability.

Institutional and Insider Ownership

30.3% of ECB Bancorp shares are held by institutional investors. 9.0% of ECB Bancorp shares are held by company insiders. Comparatively, 0.8% of WCF Bancorp shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares ECB Bancorp and WCF Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ECB Bancorp	9.78%	4.61%	0.52%
WCF Bancorp	N/A	N/A	N/A

Analyst Ratings

This is a summary of current ratings and price targets for ECB Bancorp and WCF Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ECB Bancorp	0	0	1	0	3.00
WCF Bancorp	0	0	0	0	0.00

Volatility and Risk

ECB Bancorp has a beta of 0.46, indicating that its stock price is 54% less volatile than the S&P 500. Comparatively, WCF Bancorp has a beta of 0.13, indicating that its stock price is 87% less volatile than the S&P 500.

Valuation & Earnings

This table compares ECB Bancorp and WCF Bancorp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ECB Bancorp	$79.51 million	1.78	$7.77 million	$0.93	17.29
WCF Bancorp	$11.85 million	0.96	-$40,000.00	N/A	N/A

ECB Bancorp has higher revenue and earnings than WCF Bancorp.

Summary

ECB Bancorp beats WCF Bancorp on 11 of the 11 factors compared between the two stocks.

About ECB Bancorp

ECB Bancorp, Inc. operating as a holding company for Everett Co-operative Bank that provides various banking products and services. The company accepts various deposit products, including certificate of deposit accounts, IRAs, money market accounts, savings accounts, demand deposit accounts, and interest-bearing and noninterest-bearing checking accounts. It also offers one- to four-family residential real estate, commercial real estate and multifamily real estate, construction and land, commercial, and consumer loans, as well as home equity loans and lines of credit. In addition, the company invests in securities, consisting primarily of U.S. government and federal agency obligations, mortgage-backed securities, and corporate bonds. ECB Bancorp, Inc. was founded in 1890 and is based in Everett, Massachusetts.

About WCF Bancorp

WCF Bancorp, Inc. operates as the bank holding company for WCF Financial Bank that provides commercial banking products and services to individuals and businesses. The company offers checking and saving accounts; certificates of deposit; personal, mortgage, business, agricultural, and commercial real estate loans; debit and credit cards; and other products. It operates through full-service offices in Webster City, Independence, and Tama, Iowa. The company was founded in 1934 and is based in Webster City, Iowa.