Contrasting Zions Bancorporation, N.A. (NASDAQ:ZION) and Origin Bancorp (NYSE:OBK)

Origin Bancorp (NYSE:OBK) and Zions Bancorporation, N.A. (NASDAQ:ZION) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their valuation, profitability, risk, institutional ownership, analyst recommendations, earnings and dividends.

Insider and Institutional Ownership

54.7% of Origin Bancorp shares are held by institutional investors. Comparatively, 76.8% of Zions Bancorporation, N.A. shares are held by institutional investors. 5.3% of Origin Bancorp shares are held by company insiders. Comparatively, 1.4% of Zions Bancorporation, N.A. shares are held by company 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.

Volatility and Risk

Origin Bancorp has a beta of 0.74, indicating that its stock price is 26% less volatile than the S&P 500. Comparatively, Zions Bancorporation, N.A. has a beta of 0.84, indicating that its stock price is 16% less volatile than the S&P 500.

Dividends

Origin Bancorp pays an annual dividend of $1.00 per share and has a dividend yield of 1.9%. Zions Bancorporation, N.A. pays an annual dividend of $1.92 per share and has a dividend yield of 3.1%. Origin Bancorp pays out 31.2% of its earnings in the form of a dividend. Zions Bancorporation, N.A. pays out 24.5% 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. Origin Bancorp has increased its dividend for 4 consecutive years and Zions Bancorporation, N.A. has increased its dividend for 12 consecutive years. Zions Bancorporation, N.A. is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Origin Bancorp and Zions Bancorporation, N.A.’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Origin Bancorp	16.26%	7.97%	1.00%
Zions Bancorporation, N.A.	23.92%	13.72%	1.11%

Analyst Recommendations

This is a summary of current ratings and price targets for Origin Bancorp and Zions Bancorporation, N.A., as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Origin Bancorp	0	3	5	0	2.62
Zions Bancorporation, N.A.	3	10	6	0	2.16

Origin Bancorp presently has a consensus price target of $58.00, indicating a potential upside of 9.82%. Zions Bancorporation, N.A. has a consensus price target of $72.12, indicating a potential upside of 14.75%. Given Zions Bancorporation, N.A.’s higher probable upside, analysts plainly believe Zions Bancorporation, N.A. is more favorable than Origin Bancorp.

Valuation and Earnings

This table compares Origin Bancorp and Zions Bancorporation, N.A.”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Origin Bancorp	$597.80 million	2.73	$75.20 million	$3.20	16.50
Zions Bancorporation, N.A.	$4.94 billion	1.86	$899.00 million	$7.85	8.01

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

Summary

Zions Bancorporation, N.A. beats Origin Bancorp on 13 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, high net worth individuals, 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, residential mortgage, and paycheck protection program 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 box, U.S. savings bonds, and automatic account transfer services; and treasury management, mortgage origination and servicing facilities, peer-to-peer electronic pay solutions, and personal financial management solutions. As of December 31, 2021, it operated 44 banking centers. The company was founded in 1912 and is headquartered in Ruston, Louisiana.

About Zions Bancorporation, N.A.

Zions Bancorporation, National Association provides various banking products and related services primarily in the states of Arizona, California, Colorado, Idaho, Nevada, New Mexico, Oregon, Texas, Utah, Washington, and Wyoming. It operates through Zions Bank, California Bank & Trust, Amegy Bank, National Bank of Arizona, Nevada State Bank, Vectra Bank Colorado, and The Commerce Bank of Washington segments. The company offers commercial and small business banking services to small- and medium-sized businesses, such as commercial, industrial, and owner-occupied lending and leasing; municipal and public finance services; depository account and cash management services; commercial and small business cards; merchant processing services; corporate trust services; and correspondent banking and international lending services. It also provides capital markets and investment banking services, including loan syndications, foreign exchange services, interest rate derivatives, fixed income securities underwriting, advisory and capital raising, commercial mortgage-backed security conduit lending, and power and project financing; and commercial real estate lending services consisting of term and construction/land development financing for commercial and residential purposes. In addition, the company offers retail banking services comprising residential mortgages, home equity lines of credit, personal lines of credit, installment consumer loans, depository account services, consumer cards, and personal trust services; and wealth management services consisting of investment management, fiduciary and estate, and advanced business succession and estate planning services. The company was formerly known as ZB, National Association and changed its name to Zions Bancorporation, National Association in September 2018. Zions Bancorporation, National Association was founded in 1873 and is headquartered in Salt Lake City, Utah.