MetroCity Bankshares (MCBS) versus Its Peers Head-To-Head Analysis

MetroCity Bankshares (NASDAQ:MCBS) is one of 919 publicly-traded companies in the “Banks” industry, but how does it contrast to its rivals? We will compare MetroCity Bankshares to similar businesses based on the strength of its analyst recommendations, institutional ownership, profitability, valuation, earnings, risk and dividends.

Insider & Institutional Ownership

25.3% of MetroCity Bankshares shares are owned by institutional investors. Comparatively, 47.9% of shares of all “Banks” companies are owned by institutional investors. 20.2% of MetroCity Bankshares shares are owned by insiders. Comparatively, 9.7% of shares of all “Banks” companies are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and recommmendations for MetroCity Bankshares and its rivals, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
MetroCity Bankshares	0	1	1	0	2.50
MetroCity Bankshares Competitors	7484	30232	27812	1478	2.35

MetroCity Bankshares currently has a consensus price target of $33.00, suggesting a potential downside of 9.34%. As a group, “Banks” companies have a potential upside of 14.86%. Given MetroCity Bankshares’ rivals higher possible upside, analysts plainly believe MetroCity Bankshares has less favorable growth aspects than its rivals.

Earnings & Valuation

This table compares MetroCity Bankshares and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
MetroCity Bankshares	$190.11 million	$68.53 million	11.93
MetroCity Bankshares Competitors	$256.29 billion	$2.42 billion	21.29

MetroCity Bankshares’ rivals have higher revenue and earnings than MetroCity Bankshares. MetroCity Bankshares is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares MetroCity Bankshares and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
MetroCity Bankshares	29.44%	15.68%	1.87%
MetroCity Bankshares Competitors	15.65%	9.44%	0.93%

Volatility and Risk

MetroCity Bankshares has a beta of 0.66, suggesting that its share price is 34% less volatile than the S&P 500. Comparatively, MetroCity Bankshares’ rivals have a beta of 0.61, suggesting that their average share price is 39% less volatile than the S&P 500.

Dividends

MetroCity Bankshares pays an annual dividend of $1.24 per share and has a dividend yield of 3.4%. MetroCity Bankshares pays out 40.7% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 9.0% and pay out 28.9% of their earnings in the form of a dividend. MetroCity Bankshares lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Summary

MetroCity Bankshares rivals beat MetroCity Bankshares on 8 of the 15 factors compared.

About MetroCity Bankshares

MetroCity Bankshares, Inc. operates as the bank holding company for Metro City Bank that engages in the provision of banking products and services in the United States. It offers customary banking services, such as consumer and commercial checking accounts, savings, and money market accounts, as well as certificates of deposit. The company also provides commercial and consumer loans, including single family residential loans; construction and development, and owner and non-owner occupied commercial real estate loans; letters of credit; and commercial and industrial loans, residential mortgage loans, and SBA loans. In addition, it offers online banking services, which include access to account balances, online transfers, online bill payment, and electronic delivery of customer statements; mobile banking solutions, such as remote check deposit with mobile bill pay; and automated teller machines and telephone banking services. Further, it provides debit cards for checking customers, direct deposits, and cashier's checks; treasury management services, including wire transfer, automated clearing house, and stop payments services; and cash management deposit products, such as remote deposit capture, positive pay, zero balance accounts, and sweep accounts. The company was founded in 2006 and is headquartered in Atlanta, Georgia.