Contrasting Parke Bancorp (NASDAQ:PKBK) and NSTS Bancorp (NASDAQ:NSTS)

NSTS Bancorp (NASDAQ:NSTS) and Parke Bancorp (NASDAQ:PKBK) are both small-cap finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their analyst recommendations, risk, profitability, dividends, earnings, valuation and institutional ownership.

Risk & Volatility

NSTS Bancorp has a beta of 0.14, indicating that its share price is 86% less volatile than the S&P 500. Comparatively, Parke Bancorp has a beta of 0.48, indicating that its share price is 52% less volatile than the S&P 500.

Profitability

This table compares NSTS Bancorp and Parke Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
NSTS Bancorp	-2.91%	-0.49%	-0.14%
Parke Bancorp	28.04%	13.20%	1.90%

Institutional & Insider Ownership

23.7% of NSTS Bancorp shares are held by institutional investors. Comparatively, 49.7% of Parke Bancorp shares are held by institutional investors. 6.2% of NSTS Bancorp shares are held by insiders. Comparatively, 13.0% of Parke Bancorp shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and target prices for NSTS Bancorp and Parke Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
NSTS Bancorp	1	0	0	0	1.00
Parke Bancorp	0	0	1	0	3.00

Earnings & Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
NSTS Bancorp	$9.43 million	6.94	-$390,000.00	($0.08)	-155.63
Parke Bancorp	$146.08 million	2.42	$37.78 million	$3.50	8.60

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

Summary

Parke Bancorp beats NSTS Bancorp on 12 of the 13 factors compared between the two stocks.

About NSTS Bancorp

NSTS Bancorp, Inc. operates as a savings and loan holding company for North Shore Trust and Savings that provides banking products and services in Illinois. The company offers interest-bearing and noninterest-bearing checking, money market, savings, and time deposit accounts; and one- to four-family residential mortgage, multi-family and commercial real estate mortgage, construction, home equity, and consumer loans. It operates through full-service banking offices in Lake County, Illinois; and one loan production office in Chicago. The company was founded in 1921 and is headquartered in Waukegan, Illinois.

About Parke Bancorp

Parke Bancorp, Inc. operates as the bank holding company for Parke Bank that provides personal and business financial services to individuals and small to mid-sized businesses. The company offers various deposit products, including checking, savings, time, money market, and individual retirement accounts, as well as certificates of deposit. Its loan portfolio comprises commercial and industrial, construction, commercial and residential real estate mortgage, and consumer loans. In addition, the company provides debit cards, internet banking, and online bill payment services. Parke Bancorp, Inc. was founded in 1999 and is headquartered in Washington Township, New Jersey.