Analyzing NB Bancorp (NASDAQ:NBBK) & ECB Bancorp (NASDAQ:ECBK)

ECB Bancorp (NASDAQ:ECBK) and NB Bancorp (NASDAQ:NBBK) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their earnings, institutional ownership, analyst recommendations, risk, valuation, dividends and profitability.

Profitability

This table compares ECB Bancorp and NB Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
ECB Bancorp	7.01%	2.53%	0.33%
NB Bancorp	N/A	N/A	N/A

Insider & Institutional Ownership

30.3% of ECB Bancorp shares are owned by institutional investors. 6.0% of ECB Bancorp shares are owned by company insiders. Comparatively, 1.7% of NB Bancorp shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Valuation and Earnings

This table compares ECB Bancorp and NB Bancorp’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
ECB Bancorp	$55.83 million	2.12	$4.46 million	$0.49	26.18
NB Bancorp	$150.68 million	4.58	$9.82 million	N/A	N/A

NB Bancorp has higher revenue and earnings than ECB Bancorp.

Analyst Ratings

This is a breakdown of recent ratings for ECB Bancorp and NB Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
ECB Bancorp	0	0	0	0	N/A
NB Bancorp	0	0	1	0	3.00

NB Bancorp has a consensus price target of $17.00, suggesting a potential upside of 5.20%. Given NB Bancorp’s higher possible upside, analysts clearly believe NB Bancorp is more favorable than ECB Bancorp.

About ECB Bancorp

ECB Bancorp, Inc. operating as a holding company for Everett Co-operative Bank that provides various banking products and services. The company accepts various deposit products, including certificate of deposit accounts, IRAs, money market accounts, savings accounts, demand deposit accounts, and interest-bearing and noninterest-bearing checking accounts. It also offers one- to four-family residential real estate, commercial real estate and multifamily real estate, construction and land, commercial, and consumer loans, as well as home equity loans and lines of credit. In addition, the company invests in securities, consisting primarily of U.S. government and federal agency obligations, mortgage-backed securities, and corporate bonds. ECB Bancorp, Inc. was founded in 1890 and is based in Everett, Massachusetts.

About NB Bancorp

NB Bancorp, Inc. focuses on operating as a bank holding company for Needham Bank that provides various banking products and services in Greater Boston metropolitan area and surrounding communities in Massachusetts, eastern Connecticut, southern New Hampshire, and Rhode Island. The company offers various deposits, including certificate of deposit, individual retirement, money market, savings, NOW, demand deposit, and interest-bearing and noninterest-bearing checking accounts; and commercial real estate and multifamily, one- to four-family residential real estate, construction and land development, commercial and industrial, and consumer loans, as well as home equity loans and lines of credit. It also invests in securities consisting of U.S. treasury and federal agency securities, government-sponsored residential mortgage-backed securities, municipal bonds, and corporate bonds. The company was founded in 1892 and is based in Needham, Massachusetts.