Contrasting Bridgewater Bancshares (NASDAQ:BWB) & West Bancorporation (NASDAQ:WTBA)

Bridgewater Bancshares (NASDAQ:BWB) and West Bancorporation (NASDAQ:WTBA) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their risk, profitability, dividends, analyst recommendations, earnings, institutional ownership and valuation.

Valuation & Earnings

This table compares Bridgewater Bancshares and West Bancorporation”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bridgewater Bancshares	N/A	N/A	N/A	$1.95	10.47
West Bancorporation	N/A	N/A	N/A	$2.23	13.65

Bridgewater Bancshares is trading at a lower price-to-earnings ratio than West Bancorporation, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current ratings and target prices for Bridgewater Bancshares and West Bancorporation, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bridgewater Bancshares	0	0	4	0	3.00
West Bancorporation	0	3	1	0	2.25

Bridgewater Bancshares presently has a consensus price target of $23.67, indicating a potential upside of 15.90%. West Bancorporation has a consensus price target of $29.00, indicating a potential downside of 4.70%. Given Bridgewater Bancshares’ stronger consensus rating and higher probable upside, equities research analysts plainly believe Bridgewater Bancshares is more favorable than West Bancorporation.

Insider & Institutional Ownership

65.8% of Bridgewater Bancshares shares are held by institutional investors. Comparatively, 44.3% of West Bancorporation shares are held by institutional investors. 23.1% of Bridgewater Bancshares shares are held by insiders. Comparatively, 4.6% of West Bancorporation shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Bridgewater Bancshares and West Bancorporation’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bridgewater Bancshares	N/A	N/A	N/A
West Bancorporation	N/A	N/A	N/A

Summary

Bridgewater Bancshares beats West Bancorporation on 5 of the 6 factors compared between the two stocks.

About Bridgewater Bancshares

Bridgewater Bancshares, Inc. operates as the bank holding company for Bridgewater Bank that provides banking products and services to commercial real estate investors, entrepreneurs, business clients, and individuals in the United States. The company provides savings and money market accounts, demand deposits, time and brokered deposits, and interest and noninterest bearing transaction, as well as certificates of deposit. It offers commercial loans to sole proprietorships, partnerships, corporations, and other business enterprises to finance working capital, capital investment, or for other business related purposes; paycheck protection program loans; construction and land development loans; 1-4 family mortgage loans; multifamily lending products; owner and non-owner occupied commercial real estate loans; and consumer and other loans. In addition, the company online, mobile, and direct banking services. Bridgewater Bancshares, Inc. was incorporated in 2005 and is headquartered in Saint Louis Park, Minnesota.

About West Bancorporation

West Bancorporation, Inc. operates as the financial holding company provides community banking and trust services to individuals and small- to medium-sized businesses in the United States. It offers deposit services, including checking, savings, and money market accounts, as well as time certificates of deposit. The company also provides loan products comprising commercial real estate loans, construction and land development loans, commercial lines of credit, and commercial term loans; consumer loans, including loans extended to individuals for household, family, and other personal expenditures not secured by real estate; and 1-4 family residential mortgages and home equity loans. In addition, it offers online and mobile banking, treasury management services including cash management, client-generated automated clearing house transactions, remote deposit, and fraud protection services; merchant credit card processing and corporate credit cards; and administration of estates, conservatorships, personal trusts, and agency accounts. The company was founded in 1893 and is headquartered in West Des Moines, Iowa.