Republic Bancorp (NASDAQ:RBCAA) vs. USCB Financial (NASDAQ:USCB) Head-To-Head Analysis

Republic Bancorp (NASDAQ:RBCAA) and USCB Financial (NASDAQ:USCB) are both small-cap finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their profitability, institutional ownership, valuation, analyst recommendations, dividends, earnings and risk.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Republic Bancorp and USCB Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Republic Bancorp	0	0	1	0	3.00
USCB Financial	0	2	2	0	2.50

USCB Financial has a consensus price target of $13.33, indicating a potential upside of 14.06%. Given USCB Financial’s higher probable upside, analysts clearly believe USCB Financial is more favorable than Republic Bancorp.

Earnings and Valuation

This table compares Republic Bancorp and USCB Financial’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Republic Bancorp	$427.52 million	2.36	$90.37 million	$4.76	10.91
USCB Financial	$108.42 million	2.12	$16.55 million	$0.77	15.18

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

Dividends

Republic Bancorp pays an annual dividend of $1.63 per share and has a dividend yield of 3.1%. USCB Financial pays an annual dividend of $0.20 per share and has a dividend yield of 1.7%. Republic Bancorp pays out 34.2% of its earnings in the form of a dividend. USCB Financial pays out 26.0% 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. Republic Bancorp has increased its dividend for 26 consecutive years. Republic Bancorp is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Risk & Volatility

Republic Bancorp has a beta of 0.56, indicating that its stock price is 44% less volatile than the S&P 500. Comparatively, USCB Financial has a beta of 0.35, indicating that its stock price is 65% less volatile than the S&P 500.

Insider & Institutional Ownership

24.4% of Republic Bancorp shares are held by institutional investors. Comparatively, 61.3% of USCB Financial shares are held by institutional investors. 55.5% of Republic Bancorp shares are held by company insiders. Comparatively, 48.5% of USCB Financial shares are held 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.

Profitability

This table compares Republic Bancorp and USCB Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Republic Bancorp	20.27%	10.10%	1.40%
USCB Financial	13.08%	8.50%	0.69%

Summary

Republic Bancorp beats USCB Financial on 12 of the 17 factors compared between the two stocks.

About Republic Bancorp

Republic Bancorp, Inc. operates as a bank holding company for Republic Bank & Trust Company that provides various banking products and services in the United States. It operates in six segments: Traditional Banking, Warehouse, Mortgage Banking, Tax Refund Solutions, Republic Payment Solutions, and Republic Credit Solutions. The company offers demand, money market accounts, savings, individual retirement accounts, time, brokered, and other certificates of deposit; and retail and commercial mortgage, construction and land development, consumer, aircraft, and marine loans. It also provides credit cards; title insurance and other financial products and services; and private banking, lockbox processing, remote deposit capture, business online banking, account reconciliation, automated clearing house processing, and internet and mobile banking services. In addition, it offers short-term and revolving credit facilities to mortgage bankers through mortgage warehouse lines of credit; mortgage banking; tax refund solutions, which facilitate the receipt and payment of federal and state tax refund products through third-party tax preparers and tax-preparation software providers; payments-related products and services to consumers through third party service providers; and consumer credit products. The company offers its services through full-services banking centers in Kentucky, Indiana, Florida, Ohio, and Tennessee. Republic Bancorp, Inc. was incorporated in 1974 and is headquartered in Louisville, Kentucky.

About USCB Financial

USCB Financial Holdings, Inc. operates as the bank holding company for U.S. Century Bank that engages in the provision of various personal and business banking products and services in the United States. It accepts various deposit products, including commercial and consumer checking, money market deposit, savings, and time deposit accounts, as well as certificates of deposit. It also offers loan products, such as small business administration loans, yacht financing, residential and commercial real estate loans; commercial and industrial loans; foreign bank loans; and secured and unsecured consumer loans comprising personal loans, overdrafts, and deposit account collateralized loans. The company also offers lockbox, treasury, commercial payments, cash management, and online banking services, as well as provides title insurance policies for real estate transactions. USCB Financial Holdings, Inc. was founded in 2002 and is headquartered in Miami, Florida.