Analyzing Bancorp 34 (BCTF) and Its Peers

Bancorp 34 (OTCMKTS:BCTF) is one of 114 public companies in the “Federal savings institutions” industry, but how does it contrast to its competitors? We will compare Bancorp 34 to similar businesses based on the strength of its dividends, analyst recommendations, risk, profitability, earnings, institutional ownership and valuation.

Profitability

This table compares Bancorp 34 and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bancorp 34	-4.02%	-2.38%	-0.22%
Bancorp 34 Competitors	8.69%	5.24%	0.53%

Institutional & Insider Ownership

6.5% of Bancorp 34 shares are owned by institutional investors. Comparatively, 41.7% of shares of all “Federal savings institutions” companies are owned by institutional investors. 7.4% of Bancorp 34 shares are owned by insiders. Comparatively, 9.6% of shares of all “Federal savings institutions” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent ratings and price targets for Bancorp 34 and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bancorp 34	0	0	0	0	N/A
Bancorp 34 Competitors	513	2015	1209	51	2.21

As a group, “Federal savings institutions” companies have a potential upside of 5.24%. Given Bancorp 34’s competitors higher possible upside, analysts plainly believe Bancorp 34 has less favorable growth aspects than its competitors.

Earnings & Valuation

This table compares Bancorp 34 and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Bancorp 34	$28.85 million	-$3.40 million	-22.90
Bancorp 34 Competitors	$918.78 million	$302.96 million	2.06

Bancorp 34’s competitors have higher revenue and earnings than Bancorp 34. Bancorp 34 is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Volatility and Risk

Bancorp 34 has a beta of 0.32, suggesting that its share price is 68% less volatile than the S&P 500. Comparatively, Bancorp 34’s competitors have a beta of 0.28, suggesting that their average share price is 72% less volatile than the S&P 500.

Summary

Bancorp 34 competitors beat Bancorp 34 on 9 of the 10 factors compared.

About Bancorp 34

Bancorp 34, Inc. operates as the holding company for Bank 34 that offers various banking products and services to individuals and businesses in the United States. It accepts various deposit products, such as savings accounts, checking accounts, money market accounts, demand and time deposits, NOW accounts, and individual retirement accounts, as well as certificates of deposit. The company also provides term, working capital, construction, USDA, small business administration, equipment, assisted living and skilled nursing, renewable energy and solar equipment, and commercial real estate loans; and small to medium size business and business acquisitions financing; lines of credit; multi-family finance; and employee stock ownership plans, HOA lending, and investor pools of single family rentals. In addition, it offers credit and debit cards; safe deposit boxes; treasury management products; and merchant card processing, cash management, e-banking, mobile and online banking, bill payment, and merchant capture services. The company operates through its network of full-service branches in Scottsdale and Arizona, as well as Alamogordo and Las Cruces, New Mexico. Bancorp 34, Inc. was founded in 1934 and is headquartered in Scottsdale, Arizona.