NB Bancorp (NASDAQ:NBBK) vs. First Resource Bancorp (OTCMKTS:FRSB) Critical Contrast
by Mitch Edgeman · The Markets DailyNB Bancorp (NASDAQ:NBBK – Get Free Report) and First Resource Bancorp (OTCMKTS:FRSB – Get Free Report) are both small-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, profitability, valuation, earnings, risk and institutional ownership.
Volatility & Risk
NB Bancorp has a beta of 0.06, suggesting that its stock price is 94% less volatile than the S&P 500. Comparatively, First Resource Bancorp has a beta of 0.09, suggesting that its stock price is 91% less volatile than the S&P 500.
Profitability
This table compares NB Bancorp and First Resource Bancorp’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| NB Bancorp | 13.81% | 8.57% | 1.09% |
| First Resource Bancorp | 19.11% | N/A | N/A |
Analyst Ratings
This is a summary of recent recommendations and price targets for NB Bancorp and First Resource Bancorp, as provided by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| NB Bancorp | 0 | 3 | 1 | 0 | 2.25 |
| First Resource Bancorp | 0 | 0 | 0 | 0 | 0.00 |
NB Bancorp presently has a consensus target price of $24.00, suggesting a potential upside of 12.68%. Given NB Bancorp’s stronger consensus rating and higher probable upside, equities analysts plainly believe NB Bancorp is more favorable than First Resource Bancorp.
Valuation & Earnings
This table compares NB Bancorp and First Resource Bancorp”s revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| NB Bancorp | $351.74 million | 2.71 | $50.30 million | $1.37 | 15.55 |
| First Resource Bancorp | $44.33 million | 1.60 | $8.16 million | $2.98 | 7.89 |
NB Bancorp has higher revenue and earnings than First Resource Bancorp. First Resource Bancorp is trading at a lower price-to-earnings ratio than NB Bancorp, indicating that it is currently the more affordable of the two stocks.
Dividends
NB Bancorp pays an annual dividend of $0.28 per share and has a dividend yield of 1.3%. First Resource Bancorp pays an annual dividend of $0.08 per share and has a dividend yield of 0.3%. NB Bancorp pays out 20.4% of its earnings in the form of a dividend. First Resource Bancorp pays out 2.7% 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.
Summary
NB Bancorp beats First Resource Bancorp on 10 of the 14 factors compared between the two stocks.
About NB Bancorp
NB Bancorp, Inc. focuses on operating as a bank holding company for Needham Bank that provides various banking products and services in Greater Boston metropolitan area and surrounding communities in Massachusetts, eastern Connecticut, southern New Hampshire, and Rhode Island. The company offers various deposits, including certificate of deposit, individual retirement, money market, savings, NOW, demand deposit, and interest-bearing and noninterest-bearing checking accounts; and commercial real estate and multifamily, one- to four-family residential real estate, construction and land development, commercial and industrial, and consumer loans, as well as home equity loans and lines of credit. It also invests in securities consisting of U.S. treasury and federal agency securities, government-sponsored residential mortgage-backed securities, municipal bonds, and corporate bonds. The company was founded in 1892 and is based in Needham, Massachusetts.
About First Resource Bancorp
First Resource Bancorp, Inc. operates as the bank holding for First Resource Bank that provides personal and business banking products and services to businesses and families primarily in the southeastern area of Pennsylvania. The company's offers savings, checking, and money market accounts, as well as certificate deposit account registry services, insured cash sweeps, certificates of deposit, and IRAs. Its loan products include commercial mortgages, construction loans, working capital credit lines, small business administration loans, commercial term loans, home equity lines of credit, fixed payment home equity loans, residential construction loans, land loans, overdraft protection, vehicle loans, unsecured installment loans, certificate of deposit secured installment loans, and swing loans. The company also provides personal financial statements; credit and debit cards; digital banking services; and cash management, positive pay, ACH origination, sweep/transfer of funds, ATM, over the counter checks, bill payment, wire transfer, signature guarantee/notary, safe deposit box, drive-up banking, night depository, foreign currency exchange, cashier's check, e-statements, and stop payments, as well as telephone, messaging and text, online, and mobile banking services. First Resource Bancorp, Inc. was founded in 2005 and is based in Exton, Pennsylvania.