First Financial Bancorp. (NASDAQ:FFBC) versus Ponce Financial Group (NASDAQ:PDLB) Head-To-Head Analysis

First Financial Bancorp. (NASDAQ:FFBC) and Ponce Financial Group (NASDAQ:PDLB) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their valuation, risk, dividends, earnings, analyst recommendations, institutional ownership and profitability.

Institutional and Insider Ownership

77.2% of First Financial Bancorp. shares are held by institutional investors. Comparatively, 64.3% of Ponce Financial Group shares are held by institutional investors. 1.1% of First Financial Bancorp. shares are held by insiders. Comparatively, 7.2% of Ponce Financial Group shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

Risk & Volatility

First Financial Bancorp. has a beta of 0.93, suggesting that its share price is 7% less volatile than the S&P 500. Comparatively, Ponce Financial Group has a beta of 0.72, suggesting that its share price is 28% less volatile than the S&P 500.

Profitability

This table compares First Financial Bancorp. and Ponce Financial Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Financial Bancorp.	20.77%	11.13%	1.49%
Ponce Financial Group	16.51%	10.52%	1.02%

Valuation & Earnings

This table compares First Financial Bancorp. and Ponce Financial Group”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Financial Bancorp.	$996.38 million	3.44	$255.60 million	$2.83	11.53
Ponce Financial Group	$194.94 million	2.56	$28.70 million	$1.40	14.73

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

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for First Financial Bancorp. and Ponce Financial Group, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Financial Bancorp.	0	2	5	0	2.71
Ponce Financial Group	0	1	0	1	3.00

First Financial Bancorp. presently has a consensus price target of $34.00, suggesting a potential upside of 4.17%. Ponce Financial Group has a consensus price target of $24.00, suggesting a potential upside of 16.39%. Given Ponce Financial Group’s stronger consensus rating and higher probable upside, analysts clearly believe Ponce Financial Group is more favorable than First Financial Bancorp..

Summary

First Financial Bancorp. beats Ponce Financial Group on 10 of the 15 factors compared between the two stocks.

About First Financial Bancorp.

First Financial Bancorp. operates as the bank holding company for First Financial Bank that provides commercial banking and related services to individuals and businesses in Ohio, Indiana, Kentucky, and Illinois. The company offers checking, savings, and money-market accounts; and accepts various deposit products, such as interest-bearing and non-interest-bearing accounts, time deposits, and cash management services for commercial customers. It also provides real estate loans secured by residential property, such as one to four family residential housing units or commercial property comprising owner-occupied and/or investor income producing real estate consisting of apartments, shopping centers, and office buildings; commercial and industrial loans for various purposes, including inventory, receivables, and equipment, as well as equipment and leasehold improvement financing for franchisees; consumer loans comprising new and used vehicle loans, second mortgages on residential real estate, and unsecured loans; and home equity lines of credit. In addition, the company offers commercial financing to the insurance industry, registered investment advisors, certified public accountants, indirect auto finance companies, and restaurant franchisees. Further, it provides a range of trust and wealth management services; lease and equipment financing services; and currency payments, foreign exchange hedging, and other advisory products. First Financial Bancorp. was founded in 1863 and is headquartered in Cincinnati, Ohio.

About Ponce Financial Group

Ponce Financial Group, Inc. operates as the bank holding company for Ponce Bank that provides various banking products and services. It offers various deposit products, including demand accounts, NOW/IOLA, money market, reciprocal deposits, savings accounts, and certificates of deposit to individuals, business entities, and non-profit organizations, as well as individual retirement accounts. The company also provides real estate-secured loans, which includes one-to-four family investor-owned and owner-occupied residential; multifamily residential; nonresidential property; construction and land; commercial and industrial; and business and consumer loans, as well as lines of credit. In addition, it invests in securities, which consist of U.S. Government and federal agency securities and securities issued by government-sponsored or owned enterprises, as well as corporate securities, mortgage-backed securities, and Federal Home Loan Bank stock. Ponce Financial Group, Inc. was founded in 1960 and is headquartered in Bronx, New York.