Oak Valley Bancorp (NASDAQ:OVLY) & Origin Bancorp (NASDAQ:OBK) Head to Head Comparison

Origin Bancorp (NASDAQ:OBK) and Oak Valley Bancorp (NASDAQ:OVLY) are both small-cap finance companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, earnings, dividends, institutional ownership, profitability and analyst recommendations.

Earnings and Valuation

This table compares Origin Bancorp and Oak Valley Bancorp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Origin Bancorp	$354.68 million	2.88	$83.80 million	$2.43	13.49
Oak Valley Bancorp	$76.98 million	3.20	$30.85 million	$3.00	9.84

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

Volatility and Risk

Origin Bancorp has a beta of 1, suggesting that its stock price has a similar volatility profile to the S&P 500.Comparatively, Oak Valley Bancorp has a beta of 0.34, suggesting that its stock price is 66% less volatile than the S&P 500.

Dividends

Origin Bancorp pays an annual dividend of $0.60 per share and has a dividend yield of 1.8%. Oak Valley Bancorp pays an annual dividend of $0.45 per share and has a dividend yield of 1.5%. Origin Bancorp pays out 24.7% of its earnings in the form of a dividend. Oak Valley Bancorp pays out 15.0% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Profitability

This table compares Origin Bancorp and Oak Valley Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Origin Bancorp	12.12%	7.36%	0.82%
Oak Valley Bancorp	28.03%	14.38%	1.34%

Insider and Institutional Ownership

54.7% of Origin Bancorp shares are owned by institutional investors. Comparatively, 30.9% of Oak Valley Bancorp shares are owned by institutional investors. 6.2% of Origin Bancorp shares are owned by insiders. Comparatively, 19.3% of Oak Valley Bancorp shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of current ratings for Origin Bancorp and Oak Valley Bancorp, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Origin Bancorp	0	1	3	1	3.00
Oak Valley Bancorp	0	0	0	0	0.00

Origin Bancorp currently has a consensus price target of $36.80, suggesting a potential upside of 12.30%. Given Origin Bancorp’s stronger consensus rating and higher probable upside, equities analysts plainly believe Origin Bancorp is more favorable than Oak Valley Bancorp.

Summary

Origin Bancorp beats Oak Valley Bancorp on 10 of the 17 factors compared between the two stocks.

About Origin Bancorp

Origin Bancorp, Inc. operates as a bank holding company for Origin Bank that provides banking and financial services to small and medium-sized businesses, municipalities, and retail clients in Texas, Louisiana, and Mississippi. It offers noninterest and interest-bearing checking accounts, savings deposits, money market accounts, and time deposits; and offers commercial real estate, construction and land development, consumer, residential real estate, commercial and industrial, mortgage warehouse, and residential mortgage loans. The company also offers personal and commercial property, and casualty insurance products; and Internet banking and voice response information, mobile applications, cash management, overdraft protection, direct deposit, safe deposit boxes, U.S. savings bonds, and automatic account transfer services; and mobile and online banking, treasury management, mortgage origination and servicing facilities, peer-to-peer electronic pay solutions, and personal financial management solutions. The company was founded in 1912 and is headquartered in Ruston, Louisiana.

About Oak Valley Bancorp

Oak Valley Bancorp operates as the bank holding company for Oak Valley Community Bank that provides a range of commercial banking services to individuals and small to medium-sized businesses in the Central Valley and the Eastern Sierras. The company's deposits products include checking and savings, money market, health savings, and individual retirement accounts, as well as certificates of deposit. It also offers commercial real estate loans, commercial business lending and trade finance, and small business administration lending, as well as consumer loans, including automobile loans, home mortgages, credit lines, and other personal loans. In addition, the company provides online and mobile banking, remote deposit capture, merchant, night depository, extended hours, wire transfer of funds, note collection services, and automated teller machines. The company was incorporated in 1990 and is headquartered in Oakdale, California.