Head-To-Head Comparison: SR Bancorp (NASDAQ:SRBK) vs. ESSA Bancorp (NASDAQ:ESSA)

Profitability

This table compares ESSA Bancorp and SR Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ESSA Bancorp	15.22%	7.61%	0.77%
SR Bancorp	2.25%	0.50%	0.10%

Insider & Institutional Ownership

54.2% of ESSA Bancorp shares are owned by institutional investors. Comparatively, 24.7% of SR Bancorp shares are owned by institutional investors. 7.5% of ESSA Bancorp shares are owned by company insiders. Comparatively, 3.6% of SR Bancorp shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings & Valuation

This table compares ESSA Bancorp and SR Bancorp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ESSA Bancorp	$66.48 million	2.94	$16.99 million	$1.78	10.82
SR Bancorp	$30.62 million	3.73	-$10.86 million	$0.12	100.92

ESSA Bancorp has higher revenue and earnings than SR Bancorp. ESSA Bancorp is trading at a lower price-to-earnings ratio than SR Bancorp, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

ESSA Bancorp has a beta of 0.38, suggesting that its share price is 62% less volatile than the S&P 500. Comparatively, SR Bancorp has a beta of 1.07, suggesting that its share price is 7% more volatile than the S&P 500.

Summary

ESSA Bancorp beats SR Bancorp on 8 of the 11 factors compared between the two stocks.

About ESSA Bancorp

ESSA Bancorp, Inc. operates as a bank holding company for ESSA Bank & Trust that provides a range of financial services to individuals, families, and businesses in Pennsylvania. The company accepts savings accounts, interest bearing demand accounts, checking accounts, money market accounts, club accounts, certificates of deposit and IRAs, and other qualified plan accounts, as well as commercial checking accounts. It also provides first mortgage loans for the purchase, construction, or refinancing of one- to four-family residential real estate property; commercial real estate loans; home equity loans and lines of credit; auto loans; and commercial and other consumer loans, as well as loans secured by deposits and personal unsecured loans. In addition, the company offers insurance benefits consulting services, such as health insurance, life insurance, short term and long term disability, dental, vision, 401(K) retirement planning, and individual health products, as well as asset management and trust, and investment services. It operates community offices in Monroe County, Lehigh County, Northampton County, Lackawanna County, Luzerne County, Chester County, Delaware County, and Montgomery County. ESSA Bancorp, Inc. was founded in 1916 and is headquartered in Stroudsburg, Pennsylvania.

About SR Bancorp

SR Bancorp, Inc. operates as the holding company for Somerset Regal Bank that provides customary retail and commercial banking services to individuals, businesses, and local municipalities in the communities of Somerset, Middlesex, Hunterdon, and Essex counties in New Jersey. It offers deposit instruments, including noninterest-bearing demand deposits, interest-bearing demand accounts, savings accounts, money market accounts, and certificates of deposit. The company also provides loans comprising one- to four family-residential mortgage loans, home equity loans and lines of credit, unsecured personal loans, and rehabilitation loans; and bill payment services. In addition, it is involved in the investment activities. The company was founded in 1887 and is headquartered in Bound Brook, New Jersey.