Head to Head Analysis: Bancorp (NASDAQ:TBBK) versus Hawthorn Bancshares (NASDAQ:HWBK)

Bancorp (NASDAQ:TBBK) and Hawthorn Bancshares (NASDAQ:HWBK) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their institutional ownership, valuation, analyst recommendations, dividends, earnings, risk and profitability.

Risk & Volatility

Bancorp has a beta of 1.59, meaning that its share price is 59% more volatile than the S&P 500. Comparatively, Hawthorn Bancshares has a beta of 0.59, meaning that its share price is 41% less volatile than the S&P 500.

Institutional & Insider Ownership

96.2% of Bancorp shares are held by institutional investors. Comparatively, 30.7% of Hawthorn Bancshares shares are held by institutional investors. 5.2% of Bancorp shares are held by insiders. Comparatively, 23.4% of Hawthorn Bancshares shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares Bancorp and Hawthorn Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bancorp	30.97%	27.33%	2.66%
Hawthorn Bancshares	16.65%	13.00%	1.00%

Earnings and Valuation

This table compares Bancorp and Hawthorn Bancshares”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bancorp	$523.72 million	5.04	$217.54 million	$4.30	12.77
Hawthorn Bancshares	$72.91 million	3.03	$18.26 million	$2.61	11.19

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

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Bancorp and Hawthorn Bancshares, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bancorp	0	0	3	0	3.00
Hawthorn Bancshares	0	0	0	0	0.00

Bancorp currently has a consensus target price of $67.67, suggesting a potential upside of 23.19%. Given Bancorp’s stronger consensus rating and higher probable upside, equities research analysts plainly believe Bancorp is more favorable than Hawthorn Bancshares.

Summary

Bancorp beats Hawthorn Bancshares on 13 of the 14 factors compared between the two stocks.

About Bancorp

The Bancorp, Inc. operates as the bank holding company for The Bancorp Bank, National Association that provides banking products and services in the United States. It offers a range of deposit products and services, including checking, savings, time, money market, and commercial accounts; overdrafts; and certificates of deposit. The company also provides securities-backed lines of credit and insurance policy cash value-backed lines of credit; investor advisor financing; lease financing for commercial and government vehicle fleets, including trucks and other special purpose vehicles; commercial real estate bridge loans; and small business administration loans. In addition, it offers bill and other payment services; debit and prepaid card issuing services; card and bill payment, and automated clearing house processing services; and internet banking services. The company was incorporated in 1999 and is headquartered in Wilmington, Delaware.

About Hawthorn Bancshares

Hawthorn Bancshares, Inc. operates as the bank holding company for Hawthorn Bank that provides various banking services in the United States. It accepts checking, savings, money market, individual retirement, and other time deposit accounts, as well as certificates of deposit. The company also offers commercial and industrial, single payment personal, installment, commercial and residential real estate, and consumer loans, as well as equipment, operating, and small business administration loans; and debit and credit cards. In addition, it provides trust services that include estate planning, investment, and asset management services; and cash management, safety deposit box, brokerage, and Internet banking services. Hawthorn Bancshares, Inc. was founded in 1865 and is headquartered in Jefferson City, Missouri.