USCB Financial (NASDAQ:USCB) vs. Commerzbank (OTCMKTS:CRZBY) Financial Comparison

USCB Financial (NASDAQ:USCB) and Commerzbank (OTCMKTS:CRZBY) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their risk, valuation, earnings, profitability, analyst recommendations, dividends and institutional ownership.

Insider and Institutional Ownership

61.3% of USCB Financial shares are held by institutional investors. 27.4% of USCB Financial 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 Ratings

This is a breakdown of recent ratings and recommmendations for USCB Financial and Commerzbank, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
USCB Financial	0	2	4	0	2.67
Commerzbank	0	5	3	1	2.56

USCB Financial presently has a consensus target price of $24.00, indicating a potential upside of 19.28%. Given USCB Financial’s stronger consensus rating and higher possible upside, analysts clearly believe USCB Financial is more favorable than Commerzbank.

Volatility and Risk

USCB Financial has a beta of 0.45, indicating that its stock price is 55% less volatile than the S&P 500. Comparatively, Commerzbank has a beta of 0.6, indicating that its stock price is 40% less volatile than the S&P 500.

Earnings and Valuation

This table compares USCB Financial and Commerzbank”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
USCB Financial	$159.60 million	2.33	$26.10 million	$1.58	12.73
Commerzbank	$26.54 billion	1.66	$2.97 billion	$3.04	13.77

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

Profitability

This table compares USCB Financial and Commerzbank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
USCB Financial	17.44%	15.76%	1.23%
Commerzbank	13.30%	8.89%	0.53%

Dividends

USCB Financial pays an annual dividend of $0.50 per share and has a dividend yield of 2.5%. Commerzbank pays an annual dividend of $0.90 per share and has a dividend yield of 2.2%. USCB Financial pays out 31.6% of its earnings in the form of a dividend. Commerzbank pays out 29.6% 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. USCB Financial has raised its dividend for 2 consecutive years. USCB Financial is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

USCB Financial beats Commerzbank on 11 of the 18 factors compared between the two stocks.

About USCB Financial

USCB Financial Holdings, Inc. operates as the bank holding company for U.S. Century Bank that engages in the provision of various personal and business banking products and services in the United States. It accepts various deposit products, including commercial and consumer checking, money market deposit, savings, and time deposit accounts, as well as certificates of deposit. It also offers loan products, such as small business administration loans, yacht financing, residential and commercial real estate loans; commercial and industrial loans; foreign bank loans; and secured and unsecured consumer loans comprising personal loans, overdrafts, and deposit account collateralized loans. The company also offers lockbox, treasury, commercial payments, cash management, and online banking services, as well as provides title insurance policies for real estate transactions. USCB Financial Holdings, Inc. was founded in 2002 and is headquartered in Miami, Florida.

About Commerzbank

Commerzbank AG provides banking and capital market products and services to private and small business customers, corporate, financial service providers, and institutional clients in Germany, rest of Europe, the Americas, Asia, and internationally. It operates through two segments, Private and Small-Business Customers, and Corporate Clients. The company offers saving, checking, business, and current accounts; term deposits; pension; credit and debit cards; payment solutions; overdraft services; various loans; and insurance products. It also provides trade securities; treasury management; corporate financing; real estate financing; financing advisory; merger and acquisition; foreign trade; trade financing; asset and risk management; and online banking, as well as wealth management services. Commerzbank AG was founded in 1870 and is headquartered in Frankfurt am Main, Germany.