Reviewing Chemung Financial (NASDAQ:CHMG) and Benchmark Bankshares (OTCMKTS:BMBN)

Chemung Financial (NASDAQ:CHMG) and Benchmark Bankshares (OTCMKTS:BMBN) are both small-cap finance companies, but which is the better investment? We will contrast the two companies based on the strength of their valuation, analyst recommendations, dividends, risk, profitability, institutional ownership and earnings.

Institutional & Insider Ownership

47.5% of Chemung Financial shares are held by institutional investors. Comparatively, 3.2% of Benchmark Bankshares shares are held by institutional investors. 12.4% of Chemung Financial shares are held by company insiders. Comparatively, 14.0% of Benchmark Bankshares shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and recommmendations for Chemung Financial and Benchmark Bankshares, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Chemung Financial	0	2	0	0	2.00
Benchmark Bankshares	0	0	0	0	0.00

Chemung Financial currently has a consensus price target of $52.50, suggesting a potential upside of 4.06%. Given Chemung Financial’s stronger consensus rating and higher possible upside, equities analysts plainly believe Chemung Financial is more favorable than Benchmark Bankshares.

Risk & Volatility

Chemung Financial has a beta of 0.37, meaning that its stock price is 63% less volatile than the S&P 500. Comparatively, Benchmark Bankshares has a beta of 0.14, meaning that its stock price is 86% less volatile than the S&P 500.

Dividends

Chemung Financial pays an annual dividend of $1.28 per share and has a dividend yield of 2.5%. Benchmark Bankshares pays an annual dividend of $0.88 per share and has a dividend yield of 3.0%. Chemung Financial pays out 27.0% of its earnings in the form of a dividend. Chemung Financial has raised its dividend for 1 consecutive years.

Profitability

This table compares Chemung Financial and Benchmark Bankshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Chemung Financial	14.95%	10.47%	0.82%
Benchmark Bankshares	N/A	N/A	N/A

Earnings & Valuation

This table compares Chemung Financial and Benchmark Bankshares”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Chemung Financial	$150.79 million	1.60	$23.67 million	$4.74	10.64
Benchmark Bankshares	$73.53 million	1.76	$15.85 million	N/A	N/A

Chemung Financial has higher revenue and earnings than Benchmark Bankshares.

Summary

Chemung Financial beats Benchmark Bankshares on 10 of the 14 factors compared between the two stocks.

About Chemung Financial

Chemung Financial Corporation operates as a bank holding company for Chemung Canal Trust Company that provides a range of banking, financing, fiduciary, and other financial services. The company provides demand, savings, and time deposits; non-interest and interest-bearing checking accounts; and insured money market accounts. It also offers commercial and agricultural loans comprising loans to small to mid-sized businesses; commercial and residential mortgage loans; and consumer loans, including home equity lines of credit and home equity term loans. In addition, the company provides interest rate swaps, letters of credit, employee benefit plans, insurance products, mutual fund, brokerage, and tax preparation services. Further, it offers guardian, custodian, trustee, investment, pension, estate planning, and employee benefit administrative services, as well as acts as an agent for pension, profit-sharing, and other employee benefit trusts. Chemung Financial Corporation was founded in 1833 and is headquartered in Elmira, New York.

About Benchmark Bankshares

Benchmark Bankshares, Inc. operates as the holding company for Benchmark Community Bank that provides various banking products and services in the United States. The company accepts various deposits, such as checking, saving, commercial services, and youth accounts. Its loan products include personal, mortgage, other real estate, business, auto, and student loans. The company also offers credit and debit cards; wealth management services comprising financial solutions, financial and retirement planning, and portfolio management, as well as estate, charitable giving, and trust services; and reorder checks, safe deposit boxes, wire transfers, bill pay, and internet and mobile banking services. The company was founded in 1971 and is based in Kenbridge, Virginia.