Financial Contrast: First National Bank Alaska (OTCMKTS:FBAK) vs. Ohio Valley Banc (NASDAQ:OVBC)

First National Bank Alaska (OTCMKTS:FBAK) and Ohio Valley Banc (NASDAQ:OVBC) are both finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their valuation, profitability, dividends, analyst recommendations, institutional ownership, earnings and risk.

Profitability

This table compares First National Bank Alaska and Ohio Valley Banc’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First National Bank Alaska	N/A	12.91%	1.05%
Ohio Valley Banc	16.96%	9.08%	0.97%

Valuation and Earnings

This table compares First National Bank Alaska and Ohio Valley Banc’s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First National Bank Alaska	$240.24 million	N/A	$60.01 million	$18.95	10.34
Ohio Valley Banc	$74.49 million	1.54	$12.63 million	$2.65	9.05

First National Bank Alaska has higher revenue and earnings than Ohio Valley Banc. Ohio Valley Banc is trading at a lower price-to-earnings ratio than First National Bank Alaska, indicating that it is currently the more affordable of the two stocks.

Dividends

First National Bank Alaska pays an annual dividend of $12.80 per share and has a dividend yield of 6.5%. Ohio Valley Banc pays an annual dividend of $0.88 per share and has a dividend yield of 3.7%. First National Bank Alaska pays out 67.5% of its earnings in the form of a dividend. Ohio Valley Banc pays out 33.2% 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. Ohio Valley Banc has raised its dividend for 1 consecutive years.

Analyst Recommendations

This is a breakdown of recent ratings and target prices for First National Bank Alaska and Ohio Valley Banc, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First National Bank Alaska	0	0	0	0	N/A
Ohio Valley Banc	0	0	0	0	N/A

Volatility & Risk

First National Bank Alaska has a beta of 0.28, indicating that its share price is 72% less volatile than the S&P 500. Comparatively, Ohio Valley Banc has a beta of 0.11, indicating that its share price is 89% less volatile than the S&P 500.

Insider & Institutional Ownership

22.1% of Ohio Valley Banc shares are owned by institutional investors. 5.3% of Ohio Valley Banc shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Summary

First National Bank Alaska beats Ohio Valley Banc on 8 of the 13 factors compared between the two stocks.

About First National Bank Alaska

First National Bank Alaska, a commercial bank, provides various banking products and services for business, industry, and individual customers primarily in Alaska. The company offers savings and checking accounts; money market deposits and safe deposit services; certificates of deposit; individual retirement accounts; and personal, home equity, and construction loans, as well as loans for stability and growth. It also provides investment, treasury, trust, and wealth management; bankcard; and escrow and contract collection, and bankcard services. In addition, the company offers debit and credit cards, online and mobile banking, fraud prevention, and convenience banking services. First National Bank Alaska was founded in 1922 and is headquartered in Anchorage, Alaska.

About Ohio Valley Banc

Ohio Valley Banc Corp. operates as the bank holding company for The Ohio Valley Bank Company that provides commercial and consumer banking products and services. The company operates in two segments, Banking and Consumer Finance. It accepts various deposit products, including checking, savings, time, and money market accounts, as well as individual retirement accounts, demand deposits, NOW accounts, and certificates of deposit. The company also provides various residential real estate loans, including one-to four-family residential mortgages; commercial loans for securing equipment, inventory, stock, commercial real estate, and rental property; and consumer loans secured by automobiles, mobile homes, recreational vehicles, and other personal property, as well as personal loans, unsecured credit card receivables, floor plan and student loans, and construction loans. In addition, it offers safe deposit box, wire transfer, credit card, home equity loans, and Internet banking services; and financial management online services, such as cash management and news updates related to repossession auctions, current rates, and general bank news. Further, the company provides automatic teller machines (ATMs), consumer finance, seasonal tax preparation, commercial property, and various liability insurance services, as well as trust and online-only consumer direct mortgage services. The company owns and operates ATMs, including off-site ATMs. It operates offices in Ohio and West Virginia. The company was founded in 1872 and is based in Gallipolis, Ohio.