John Marshall Bancorp (NASDAQ:JMSB – Get Free Report) and Avidia Bancorp (NYSE:AVBC – Get Free Report) are both small-cap finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their analyst recommendations, risk, valuation, earnings, profitability, institutional ownership and dividends.
Dividends
John Marshall Bancorp pays an annual dividend of $0.40 per share and has a dividend yield of 1.7%. Avidia Bancorp pays an annual dividend of $0.24 per share and has a dividend yield of 1.1%. John Marshall Bancorp pays out 23.1% of its earnings in the form of a dividend. Avidia Bancorp pays out 25.3% 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. John Marshall Bancorp is clearly the better dividend stock, given its higher yield and lower payout ratio.
Earnings & Valuation
This table compares John Marshall Bancorp and Avidia Bancorp”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| John Marshall Bancorp | $115.33 million | 2.85 | $21.23 million | $1.73 | 13.49 |
| Avidia Bancorp | $111.19 million | 4.00 | -$3.29 million | $0.95 | 23.42 |
John Marshall Bancorp has higher revenue and earnings than Avidia Bancorp. John Marshall Bancorp is trading at a lower price-to-earnings ratio than Avidia Bancorp, indicating that it is currently the more affordable of the two stocks.
Profitability
This table compares John Marshall Bancorp and Avidia Bancorp’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| John Marshall Bancorp | 20.41% | 9.16% | 1.04% |
| Avidia Bancorp | 11.51% | 4.62% | 0.63% |
Insider and Institutional Ownership
39.1% of John Marshall Bancorp shares are held by institutional investors. 12.6% of John Marshall Bancorp shares are held by company insiders. Comparatively, 3.4% of Avidia Bancorp 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 breakdown of recent ratings and recommmendations for John Marshall Bancorp and Avidia Bancorp, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| John Marshall Bancorp | 0 | 1 | 2 | 1 | 3.00 |
| Avidia Bancorp | 1 | 0 | 0 | 1 | 2.50 |
John Marshall Bancorp currently has a consensus target price of $25.00, indicating a potential upside of 7.16%. Given John Marshall Bancorp’s stronger consensus rating and higher possible upside, analysts plainly believe John Marshall Bancorp is more favorable than Avidia Bancorp.
Summary
John Marshall Bancorp beats Avidia Bancorp on 13 of the 15 factors compared between the two stocks.
About John Marshall Bancorp
John Marshall Bancorp, Inc. is the bank holding company for John Marshall Bank. The Bank is headquartered in Reston, Virginia with eight full-service branches located in Alexandria, Arlington, Loudoun, Prince William, Reston, and Tysons, Virginia, as well as Rockville, Maryland, and Washington, D.C. The Bank is dedicated to providing exceptional value, personalized service and convenience to local businesses and professionals in the Washington, D.C. Metropolitan area. The Bank offers a comprehensive line of sophisticated banking products and services that rival those of the largest banks along with experienced staff to help achieve customers’ financial goals. Dedicated relationship managers serve as direct points-of-contact, providing subject matter expertise in a variety of niche industries including charter and private schools, government contractors, health services, nonprofits and associations, professional services, property management companies and title companies
About Avidia Bancorp
Avidia Bancorp Inc. is a chartered stock savings bank. It operates full-service banking offices principally in western Middlesex County and eastern Worcester County, in Massachusetts. Avidia Bancorp Inc. is based in HUDSON, Mass.
Receive News & Ratings for John Marshall Bancorp Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for John Marshall Bancorp and related companies with MarketBeat.com's FREE daily email newsletter.
