Auburn National Bancorporation (NASDAQ:AUBN) versus Community Trust Bancorp (NASDAQ:CTBI) Head to Head Contrast
by Danessa Lincoln · The Markets DailyAuburn National Bancorporation (NASDAQ:AUBN – Get Free Report) and Community Trust Bancorp (NASDAQ:CTBI – Get Free Report) are both small-cap finance companies, but which is the better business? We will contrast the two businesses based on the strength of their risk, valuation, analyst recommendations, dividends, institutional ownership, profitability and earnings.
Analyst Ratings
This is a breakdown of current recommendations for Auburn National Bancorporation and Community Trust Bancorp, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Auburn National Bancorporation | 0 | 1 | 0 | 0 | 2.00 |
| Community Trust Bancorp | 0 | 0 | 3 | 0 | 3.00 |
Community Trust Bancorp has a consensus target price of $63.50, suggesting a potential downside of 1.75%. Given Community Trust Bancorp’s stronger consensus rating and higher possible upside, analysts clearly believe Community Trust Bancorp is more favorable than Auburn National Bancorporation.
Volatility and Risk
Auburn National Bancorporation has a beta of 0.41, indicating that its share price is 59% less volatile than the S&P 500. Comparatively, Community Trust Bancorp has a beta of 0.53, indicating that its share price is 47% less volatile than the S&P 500.
Institutional & Insider Ownership
39.5% of Auburn National Bancorporation shares are held by institutional investors. Comparatively, 60.2% of Community Trust Bancorp shares are held by institutional investors. 25.1% of Auburn National Bancorporation shares are held by company insiders. Comparatively, 2.6% of Community Trust Bancorp shares are held by company 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.
Dividends
Auburn National Bancorporation pays an annual dividend of $1.08 per share and has a dividend yield of 4.5%. Community Trust Bancorp pays an annual dividend of $2.12 per share and has a dividend yield of 3.3%. Auburn National Bancorporation pays out 51.9% of its earnings in the form of a dividend. Community Trust Bancorp pays out 39.0% 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. Community Trust Bancorp has increased its dividend for 44 consecutive years.
Profitability
This table compares Auburn National Bancorporation and Community Trust Bancorp’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Auburn National Bancorporation | 16.53% | 8.27% | 0.72% |
| Community Trust Bancorp | 23.95% | 11.96% | 1.51% |
Earnings & Valuation
This table compares Auburn National Bancorporation and Community Trust Bancorp”s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Auburn National Bancorporation | $32.79 million | 2.54 | $7.26 million | $2.08 | 11.43 |
| Community Trust Bancorp | $282.60 million | 4.15 | $98.06 million | $5.43 | 11.90 |
Community Trust Bancorp has higher revenue and earnings than Auburn National Bancorporation. Auburn National Bancorporation is trading at a lower price-to-earnings ratio than Community Trust Bancorp, indicating that it is currently the more affordable of the two stocks.
Summary
Community Trust Bancorp beats Auburn National Bancorporation on 15 of the 17 factors compared between the two stocks.
About Auburn National Bancorporation
Auburn National Bancorporation, Inc. operates as the bank holding company for AuburnBank that provides various banking products and services in East Alabama. The company offers checking, savings, and transaction deposit accounts, as well as certificates of deposit. It also provides commercial, financial, agricultural, real estate construction, and consumer loan products; and other financial services. In addition, the company offers automated teller services; debit cards; online banking, bill payment, and other electronic banking services; and safe deposit boxes. Auburn National Bancorporation, Inc. was founded in 1907 and is headquartered in Auburn, Alabama.
About Community Trust Bancorp
Community Trust Bancorp, Inc. operates as the bank holding company for Community Trust Bank, Inc. that engages in the provision of commercial and personal banking, and trust and wealth management services to small and mid-sized communities in eastern, northeastern, central, and south-central Kentucky, as well as southern West Virginia, and northeastern Tennessee. The company accepts time and demand deposits, checking accounts, savings accounts and savings certificates, individual retirement accounts and Keogh plans, and money market accounts. Its loan portfolio includes commercial, construction, mortgage, and personal loans; lease-financing, lines of credit, revolving lines of credit, and term loans, as well as other specialized loans, including asset-based financing; residential and commercial real estate loans; and consumer loans. The company also provides cash management, renting safe deposit boxes, and funds transfer services; issues letters of credit; and acts as a trustee of personal trusts, executor of estates, trustee for employee benefit trusts, and paying agent for bond and stock issues, as well as an investment agent and depositor for securities. In addition, it offers securities brokerage services; debit cards; annuity and life insurance products; and repurchase agreements, as well as mobile, internet banking, and e-statement services. The company was founded in 1903 and is headquartered in Pikeville, Kentucky.