Reviewing Virginia National Bankshares (NASDAQ:VABK) & Catalyst Bancorp (NASDAQ:CLST)

Catalyst Bancorp (NASDAQ:CLST) and Virginia National Bankshares (NASDAQ:VABK) are both small-cap finance companies, but which is the better stock? We will contrast the two companies based on the strength of their profitability, institutional ownership, dividends, risk, earnings, analyst recommendations and valuation.

Valuation and Earnings

This table compares Catalyst Bancorp and Virginia National Bankshares”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Catalyst Bancorp	$23.69 million	3.01	$2.05 million	$0.55	32.21
Virginia National Bankshares	$83.34 million	3.15	$19.26 million	$4.56	10.60

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

Volatility and Risk

Catalyst Bancorp has a beta of 0.11, meaning that its share price is 89% less volatile than the S&P 500. Comparatively, Virginia National Bankshares has a beta of 0.45, meaning that its share price is 55% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of current ratings for Catalyst Bancorp and Virginia National Bankshares, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Catalyst Bancorp	0	1	0	0	2.00
Virginia National Bankshares	0	1	0	0	2.00

Institutional and Insider Ownership

33.1% of Catalyst Bancorp shares are owned by institutional investors. Comparatively, 37.4% of Virginia National Bankshares shares are owned by institutional investors. 10.1% of Catalyst Bancorp shares are owned by insiders. Comparatively, 14.4% of Virginia National Bankshares shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Catalyst Bancorp and Virginia National Bankshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Catalyst Bancorp	12.99%	2.47%	0.71%
Virginia National Bankshares	28.18%	13.36%	1.52%

Summary

Virginia National Bankshares beats Catalyst Bancorp on 10 of the 11 factors compared between the two stocks.

About Catalyst Bancorp

Catalyst Bancorp, Inc. operates as a holding company for Catalyst Bank that provides various banking services to individuals and businesses in Louisiana. The company accepts various deposit products, including savings accounts, demand and NOW accounts, money market accounts, and certificates of deposit. It also offers single family residential first mortgage loans, commercial real estate mortgage loans, multi-family residential mortgage loans, commercial and industrial loans, construction and land loans, consumer loans, and other loans. In addition, the company invests in various types of securities comprising mortgage-backed securities, the U.S. treasury obligations, securities of various federal agencies and of state and municipal governments, certificates of deposit at federally insured banks and savings institutions, and federal funds. Catalyst Bancorp, Inc. was founded in 1922 and is headquartered in Opelousas, Louisiana.

About Virginia National Bankshares

Virginia National Bankshares Corporation operates as the holding company for Virginia National Bank that provides a range of commercial and retail banking services. The company operates through Bank, Sturman Wealth Advisors, VNB Trust and Estate Services, and Masonry Capital segments. It provides checking accounts, demand deposits, NOW accounts, money market deposit accounts, time deposits, certificates of deposit, individual retirement accounts, and other depository services. In addition, the company offers commercial and industrial loans, real estate construction and land loans, commercial real estate loans, and 1-4 family residential mortgages, as well as consumer loans comprising student loans, revolving credit, and other fixed payment loans. Further, it provides automated teller machines, internet banking, treasury, and cash management services; merchant and debit card services; and wealth and investment advisory, and brokerage services. Additionally, the company offers investment management, corporate trustee, trust and estate administration, IRA administration, house investment management, and custody services. It serves individuals, businesses, and charitable organizations in the Charlottesville/Albemarle County, Fauquier County, Manassas, Prince William County, Richmond, and Winchester market areas in Virginia. Virginia National Bankshares Corporation was founded in 1998 and is headquartered in Charlottesville, Virginia.