First Community (NASDAQ:FCCO) versus First NBC Bank (OTCMKTS:FNBCQ) Critical Survey

First Community (NASDAQ:FCCO) and First NBC Bank (OTCMKTS:FNBCQ) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, institutional ownership, profitability, risk and dividends.

Analyst Ratings

This is a breakdown of recent ratings and price targets for First Community and First NBC Bank, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Community	0	0	1	0	3.00
First NBC Bank	0	0	0	0	0.00

First Community presently has a consensus target price of $21.00, indicating a potential downside of 6.25%. Given First Community’s stronger consensus rating and higher possible upside, research analysts plainly believe First Community is more favorable than First NBC Bank.

Earnings & Valuation

This table compares First Community and First NBC Bank”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Community	$83.12 million	2.06	$11.84 million	$1.69	13.25
First NBC Bank	N/A	N/A	N/A	N/A	N/A

First Community has higher revenue and earnings than First NBC Bank.

Profitability

This table compares First Community and First NBC Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Community	12.99%	9.57%	0.69%
First NBC Bank	N/A	N/A	N/A

Institutional & Insider Ownership

61.3% of First Community shares are owned by institutional investors. 3.0% of First Community shares are owned by company insiders. Comparatively, 8.4% of First NBC Bank shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Summary

First Community beats First NBC Bank on 8 of the 9 factors compared between the two stocks.

About First Community

First Community Corporation operates as the bank holding company for First Community Bank that provides various commercial and retail banking products and services to small-to-medium sized businesses, professionals, and individuals. The company operates through Commercial and Retail Banking, Mortgage Banking, and Investment Advisory and Non-Deposit segments. Its deposit products include checking, NOW, savings, and individual retirement accounts; and demand deposits, as well as other time deposits, such as daily money market accounts and longer-term certificates of deposit. The company's loan portfolio comprises commercial loans that include secured and unsecured loans for working capital, business expansion, and the purchase of equipment and machinery; consumer loans, including secured and unsecured loans for financing automobiles, home improvements, education, and personal investments; real estate construction and acquisition loans; and fixed and variable rate mortgage loans. It also provides online banking, internet banking, cash management, safe deposit boxes, direct deposit of payroll and social security checks, and automatic drafts for various accounts. In addition, the company offers non-deposit investment products and other investment brokerage services; VISA and MasterCard credit card services; investment advisory services; and insurance services. The company was incorporated in 1994 and is headquartered in Lexington, South Carolina.

About First NBC Bank

First NBC Bank Holding Company operates as the bank holding company for First NBC Bank that provides a range of financial services for businesses, institutions, and individuals. The company's deposit products include savings deposits, money market accounts, negotiable order of withdrawal accounts, and certificates of deposit. Its loan portfolio comprises construction, commercial and consumer real estate, commercial and industrial, and consumer loans. The company also offers trust services, credit cards, and wire transfers. As of August 15, 2016, it operated 39 full service banking offices in New Orleans metropolitan area, Mississippi Gulf Coast, and the Florida panhandle. First NBC Bank Holding Company was founded in 2006 and is headquartered in New Orleans, Louisiana. On May 11, 2017, First NBC Bank Holding Company filed a voluntary petition for reorganization under Chapter 11 in the US Bankruptcy Court for the Eastern District of Louisiana. First NBC Bank Holding Company operates as a subsidiary of First NMTC 2, LLC.