Investing Insights: A Comprehensive Comparison of Orrstown Financial Services (NASDAQ: ORRF) and University Bancorp (OTCMKTS: UNIB)

University Bancorp and Orrstown Financial Services are two small-cap finance companies worth exploring. Let’s break down how they compare in key areas like ownership, earnings, and analyst views.

Earnings & Valuation

When it comes to revenue, Orrstown Financial Services leads the pack. Here’s a quick look at their numbers:

• University Bancorp: $125.26 million in gross revenue.
• Orrstown Financial Services: $286.37 million in gross revenue.

Orrstown also shows higher earnings, making it a more financially robust option at the moment.

Ownership Insights

In terms of ownership, things look different for both companies:

• 44.3% of Orrstown’s shares are held by institutional investors.
• 63.7% of University Bancorp’s shares are owned by insiders.

The higher institutional ownership in Orrstown indicates confidence from larger investors in its future growth.

Analyst Ratings

Analysts are more favorable towards Orrstown. The company has four buy ratings and no sell ratings. Analysts suggest a price target of $38.00, showing a potential upside of 12.51%. In contrast, University Bancorp has not received any ratings, indicating that it is not currently on analysts’ radar.

Profitability Metrics

Profitability is another area where Orrstown stands out:

• Orrstown’s Net Margins: 9.74%
• Return on Equity: 14.35%
• Return on Assets: 1.35%

University Bancorp does not have disclosed profitability metrics available for comparison.

Risk Factors

In terms of volatility, University Bancorp is considerably less volatile compared to the S&P 500, with a beta of 0.16, while Orrstown’s beta is at 0.79, indicating it’s a bit riskier but still manageable.

Dividends

Orrstown Financial Services has an edge when it comes to dividends. It pays $1.04 per share, giving a yield of 3.1%. That’s quite attractive compared to University Bancorp’s $0.20 per share with a yield of just 1.3%. Notably, Orrstown has raised its dividends for ten straight years, a sign of stability and growth.

Summary

Overall, Orrstown Financial Services outshines University Bancorp across several key areas. Investors interested in finance stocks might find Orrstown to be the more sound choice right now.

Company Overviews

University Bancorp operates University Bank in Michigan, offering a wide range of banking services from personal to commercial loans. Established in 1890, it has a long history in the community.

Orrstown Financial Services functions through Orrstown Bank in Pennsylvania, providing commercial banking and financial advisory services to a diverse clientele since 1919. Its long-standing presence enhances its credibility in the industry.

In summary, for those considering investments in the finance sector, Orrstown appears to be a stronger candidate based on current metrics.

For more detailed financial reports, check out [MarketBeat](https://www.marketbeat.com).

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