Critical Survey: Truxton (OTCMKTS:TRUX) versus Glacier Bancorp (NASDAQ:GBCI)

Glacier Bancorp (NASDAQ:GBCI) and Truxton (OTCMKTS:TRUX) are both finance companies, but which is the superior business? We will compare the two businesses based on the strength of their earnings, analyst recommendations, risk, institutional ownership, valuation, dividends and profitability.

Risk & Volatility

Glacier Bancorp has a beta of 0.8, suggesting that its stock price is 20% less volatile than the S&P 500. Comparatively, Truxton has a beta of 0.56, suggesting that its stock price is 44% less volatile than the S&P 500.

Earnings & Valuation

This table compares Glacier Bancorp and Truxton”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Glacier Bancorp	$810.03 million	5.39	$190.14 million	$1.67	23.04
Truxton	$78.37 million	2.66	$18.41 million	$6.34	11.40

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

Analyst Ratings

This is a breakdown of recent recommendations for Glacier Bancorp and Truxton, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Glacier Bancorp	0	3	2	1	2.67
Truxton	0	0	0	0	0.00

Glacier Bancorp currently has a consensus target price of $51.50, indicating a potential upside of 33.86%. Given Glacier Bancorp’s stronger consensus rating and higher probable upside, equities analysts clearly believe Glacier Bancorp is more favorable than Truxton.

Dividends

Glacier Bancorp pays an annual dividend of $1.32 per share and has a dividend yield of 3.4%. Truxton pays an annual dividend of $2.00 per share and has a dividend yield of 2.8%. Glacier Bancorp pays out 79.0% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Truxton pays out 31.5% of its earnings in the form of a dividend.

Institutional & Insider Ownership

80.2% of Glacier Bancorp shares are owned by institutional investors. Comparatively, 0.4% of Truxton shares are owned by institutional investors. 0.5% of Glacier Bancorp shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Profitability

This table compares Glacier Bancorp and Truxton’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Glacier Bancorp	14.99%	5.98%	0.68%
Truxton	23.49%	N/A	N/A

Summary

Glacier Bancorp beats Truxton on 14 of the 17 factors compared between the two stocks.

About Glacier Bancorp

Glacier Bancorp, Inc. operates as the bank holding company for Glacier Bank that provides commercial banking services to individuals, small to medium-sized businesses, community organizations, and public entities in the United States. The company offers retail banking, business banking, and mortgage origination and loan servicing services. It also provides non-interest bearing deposit and interest bearing deposit accounts, such as negotiable order of withdrawal and demand deposit accounts, savings, money market deposits, fixed rate certificates of deposit, negotiated-rate jumbo certificates, and individual retirement accounts. In addition, the company offers construction and permanent loans on residential real estate; consumer land or lot loans; unimproved land and land development loans; and residential builder guidance lines comprising pre-sold and spec-home construction, and lot acquisition loans. Further, it provides commercial real estate loans to purchase, construct, and finance commercial real estate properties; consumer loans secured by real estate, automobiles, or other assets; home equity loans consisting of junior lien mortgages, and first and junior lien lines of credit secured by owner-occupied 1-4 family residences; and agriculture loans. Glacier Bancorp, Inc. was founded in 1955 and is headquartered in Kalispell, Montana.

About Truxton

Truxton Corporation, through its subsidiaries, provides various banking, investment management, and trust administration services to individuals, businesses, and charitable institutions in the United States. The company offers deposit products, including demand, money market accounts, and certificates of deposit. It also provides lending products, such as residential and commercial real estate mortgages, commercial loans, construction and land development loans, commercial and industrial loans, operating lines of credit, and loans to individual. In addition, the company offers strategic and capital advisory services, business banking, and treasury management services; and insurance products. The company was formerly known as NBT Holdings Inc. and changed its name to Truxton Corporation in May 2013. Truxton Corporation was founded in 2004 and is based in Nashville, Tennessee.