Comparing Lake Shore Bancorp (LSBK) & Its Rivals

Lake Shore Bancorp (NASDAQ:LSBK) is one of 69 public companies in the “FIN – SVGS & LOAN” industry, but how does it weigh in compared to its peers? We will compare Lake Shore Bancorp to similar companies based on the strength of its dividends, earnings, analyst recommendations, risk, profitability, institutional ownership and valuation.

Earnings and Valuation

This table compares Lake Shore Bancorp and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Lake Shore Bancorp	$27.84 million	$7.27 million	14.95
Lake Shore Bancorp Competitors	$279.33 million	$42.61 million	38.71

Lake Shore Bancorp’s peers have higher revenue and earnings than Lake Shore Bancorp. Lake Shore Bancorp is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

Lake Shore Bancorp has a beta of 0.31, indicating that its stock price is 69% less volatile than the S&P 500. Comparatively, Lake Shore Bancorp’s peers have a beta of 0.48, indicating that their average stock price is 52% less volatile than the S&P 500.

Profitability

This table compares Lake Shore Bancorp and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Lake Shore Bancorp	18.38%	6.26%	1.00%
Lake Shore Bancorp Competitors	11.79%	3.94%	0.81%

Dividends

Lake Shore Bancorp pays an annual dividend of $0.36 per share and has a dividend yield of 2.3%. Lake Shore Bancorp pays out 34.0% of its earnings in the form of a dividend. As a group, “FIN – SVGS & LOAN” companies pay a dividend yield of 2.5% and pay out 27.4% of their earnings in the form of a dividend. Lake Shore Bancorp lags its peers as a dividend stock, given its lower dividend yield and higher payout ratio.

Institutional & Insider Ownership

8.8% of Lake Shore Bancorp shares are held by institutional investors. Comparatively, 50.0% of shares of all “FIN – SVGS & LOAN” companies are held by institutional investors. 4.1% of Lake Shore Bancorp shares are held by company insiders. Comparatively, 8.9% of shares of all “FIN – SVGS & LOAN” companies are held 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.

Analyst Ratings

This is a summary of current recommendations for Lake Shore Bancorp and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Lake Shore Bancorp	0	1	0	0	2.00
Lake Shore Bancorp Competitors	575	1848	920	49	2.13

As a group, “FIN – SVGS & LOAN” companies have a potential upside of 2.77%. Given Lake Shore Bancorp’s peers stronger consensus rating and higher possible upside, analysts plainly believe Lake Shore Bancorp has less favorable growth aspects than its peers.

Summary

Lake Shore Bancorp peers beat Lake Shore Bancorp on 12 of the 15 factors compared.

About Lake Shore Bancorp

Lake Shore Bancorp, Inc. operates as a savings and loan holding company for Lake Shore Servings Bank. It offers personal services such as checking, savings, lending, banking, debit card, e-services, and online banking; and business services including deposit products, commercial loans, and business e-statements. The company was founded in 2006 and is headquartered in Dunkirk, NY.