Head to Head Analysis: NASB Financial (OTCMKTS:NASB) versus Northeast Indiana Bancorp (OTCMKTS:NIDB)

Northeast Indiana Bancorp (OTCMKTS:NIDB) and NASB Financial (OTCMKTS:NASB) are both small-cap finance companies, but which is the superior stock? We will compare the two businesses based on the strength of their institutional ownership, analyst recommendations, dividends, profitability, valuation, risk and earnings.

Risk & Volatility

Northeast Indiana Bancorp has a beta of 0.39, meaning that its share price is 61% less volatile than the S&P 500. Comparatively, NASB Financial has a beta of 0.18, meaning that its share price is 82% less volatile than the S&P 500.

Dividends

Northeast Indiana Bancorp pays an annual dividend of $0.68 per share and has a dividend yield of 4.5%. NASB Financial pays an annual dividend of $1.00 per share and has a dividend yield of 3.1%. Northeast Indiana Bancorp pays out 33.2% of its earnings in the form of a dividend. NASB Financial pays out 30.0% 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.

Earnings & Valuation

This table compares Northeast Indiana Bancorp and NASB Financial’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Northeast Indiana Bancorp	$27.36 million	1.33	$4.26 million	$2.05	7.29
NASB Financial	$149.35 million	1.60	$21.65 million	$3.33	9.70

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

Analyst Ratings

This is a summary of current ratings and target prices for Northeast Indiana Bancorp and NASB Financial, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Northeast Indiana Bancorp	0	0	0	0	N/A
NASB Financial	0	0	0	0	N/A

Profitability

This table compares Northeast Indiana Bancorp and NASB Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Northeast Indiana Bancorp	13.31%	N/A	N/A
NASB Financial	15.81%	6.38%	0.90%

Summary

NASB Financial beats Northeast Indiana Bancorp on 9 of the 11 factors compared between the two stocks.

About Northeast Indiana Bancorp

Northeast Indiana Bancorp, Inc. operates as the bank holding company for First Federal Savings Bank that provides various banking and financial advisory services. The company offers checking accounts, savings accounts, retirement accounts, health savings accounts, and direct deposits, as well as certificates of deposit. It also provides mortgage, refinance, new construction, and home equity loans; auto, recreational vehicle, and unsecured loans; and revolving lines of credit, term loans, real estate loans, letter of credit, and small business administration loans, as well as debit and credit cards. In addition, the company offers merchant, online banking, and cash management services. It operates through full-service locations in Huntington, Warsaw, and Fort Wayne, Indiana. The company was founded in 1912 and is headquartered in Huntington, Indiana.

About NASB Financial

NASB Financial, Inc. operates as a unitary thrift holding company for North American Savings Bank, F.S.B. that provides various banking products and services in the United States. The company offers checking, savings, money market, and certificate of deposit accounts. It also mortgages and refinancing products, including conventional, veterans administration, federal housing administration, jumbo, and IRA residential real-estate loans. In addition, the company provides commercial real estate development and commercial loans, such as multifamily, retail, single-tenant, multi-tenant, office, industrial, and other loans; investment property loans; and construction and development loans. The company was founded in 1927 and is based in Grandview, Missouri.