GrandSouth Bancorporation (OTCMKTS:GRRB) & F.N.B. (NYSE:FNB) Critical Analysis

F.N.B. (NYSE:FNB) and GrandSouth Bancorporation (OTCMKTS:GRRB) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their risk, institutional ownership, analyst recommendations, dividends, valuation, earnings and profitability.

Analyst Ratings

This is a summary of recent ratings and recommmendations for F.N.B. and GrandSouth Bancorporation, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
F.N.B.	0	0	6	0	3.00
GrandSouth Bancorporation	0	0	0	0	0.00

F.N.B. currently has a consensus price target of $19.60, indicating a potential upside of 22.46%. Given F.N.B.’s stronger consensus rating and higher probable upside, analysts clearly believe F.N.B. is more favorable than GrandSouth Bancorporation.

Valuation and Earnings

This table compares F.N.B. and GrandSouth Bancorporation”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
F.N.B.	$2.69 billion	2.12	$565.00 million	$1.56	10.26
GrandSouth Bancorporation	N/A	N/A	N/A	N/A	N/A

F.N.B. has higher revenue and earnings than GrandSouth Bancorporation.

Profitability

This table compares F.N.B. and GrandSouth Bancorporation’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
F.N.B.	20.98%	8.76%	1.16%
GrandSouth Bancorporation	N/A	N/A	N/A

Institutional & Insider Ownership

79.3% of F.N.B. shares are held by institutional investors. 1.4% of F.N.B. shares are held by company insiders. Comparatively, 33.3% of GrandSouth Bancorporation 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.

Summary

F.N.B. beats GrandSouth Bancorporation on 8 of the 9 factors compared between the two stocks.

About F.N.B.

F.N.B. Corporation, a bank and financial holding company, provides a range of financial products and services primarily to consumers, corporations, governments, and small- to medium-sized businesses in the United States. The company operates through three segments: Community Banking, Wealth Management, and Insurance. The Community Banking segment offers commercial and consumer banking services, including corporate and small business banking, investment real estate financing, business credit, capital market, and lease financing services. It also provides consumer banking products and services, such as deposit products, mortgage and consumer lending services, and mobile and online banking services. The Wealth Management segment provides personal and corporate fiduciary services comprising administration of decedent and trust estates; and securities brokerage and investment advisory services, mutual funds, and annuities. The Insurance segment comprises commercial and personal insurance, and reinsurance products, as well as mezzanine financing options for small- to medium-sized businesses. The company operates community banking branches in Pennsylvania, Ohio, Maryland, West Virginia, North Carolina, South Carolina, Washington, D.C., and Virginia. F.N.B. Corporation was founded in 1864 and is headquartered in Pittsburgh, Pennsylvania.

About GrandSouth Bancorporation

GrandSouth Bancorporation operates as the bank holding company for GrandSouth Bank that provides banking services to individuals and businesses. It accepts checking accounts, savings accounts, money market accounts, various term certificates of deposit, and individual retirement accounts. The company also offers one-to-four family residential, commercial real estate, home equity and lines of credit, residential construction and other construction and land, and commercial loans; and consumer loans comprising loans secured by personal property, such as automobiles, marketable securities, and boats and motorcycles, as well as unsecured consumer debt. In addition, it invests in investment securities, as well as provides specialty floor plan lending to small auto dealerships under the CarBucks trade name. The company operates through eight branches across South Carolina. GrandSouth Bancorporation was founded in 1998 and is based in Greenville, South Carolina.