BancFirst (NASDAQ:BANF) vs. OptimumBank (NASDAQ:OPHC) Head-To-Head Comparison

BancFirst (NASDAQ:BANF) and OptimumBank (NASDAQ:OPHC) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their earnings, dividends, profitability, institutional ownership, risk, analyst recommendations and valuation.

Valuation and Earnings

This table compares BancFirst and OptimumBank”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BancFirst	$809.34 million	4.35	$212.46 million	$5.99	17.79
OptimumBank	$33.95 million	1.29	$6.28 million	$1.02	4.44

BancFirst has higher revenue and earnings than OptimumBank. OptimumBank is trading at a lower price-to-earnings ratio than BancFirst, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

BancFirst has a beta of 1.03, meaning that its share price is 3% more volatile than the S&P 500. Comparatively, OptimumBank has a beta of 0.36, meaning that its share price is 64% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of recent ratings and target prices for BancFirst and OptimumBank, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BancFirst	1	1	0	0	1.50
OptimumBank	0	1	0	0	2.00

BancFirst presently has a consensus target price of $93.50, suggesting a potential downside of 12.28%. OptimumBank has a consensus target price of $5.25, suggesting a potential upside of 15.89%. Given OptimumBank’s stronger consensus rating and higher probable upside, analysts plainly believe OptimumBank is more favorable than BancFirst.

Institutional & Insider Ownership

51.7% of BancFirst shares are held by institutional investors. Comparatively, 7.4% of OptimumBank shares are held by institutional investors. 33.9% of BancFirst shares are held by company insiders. Comparatively, 13.9% of OptimumBank shares are held by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company is poised for long-term growth.

Profitability

This table compares BancFirst and OptimumBank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BancFirst	23.46%	13.89%	1.61%
OptimumBank	18.24%	12.66%	1.16%

Summary

BancFirst beats OptimumBank on 11 of the 13 factors compared between the two stocks.

About BancFirst

BancFirst Corporation operates as the bank holding company for BancFirst that provides a range of commercial banking services to retail customers, and small to medium-sized businesses. The company operates through BancFirst Metropolitan Banks, BancFirst Community Banks, Pegasus, Worthington, and Other Financial Services segments. It offers checking accounts, negotiable order of withdrawal accounts, savings accounts, money market accounts, sweep accounts, club accounts, individual retirement accounts, and certificates of deposit, as well as overdraft protection and auto draft services. The company also provides commercial and agricultural non-real estate loans for working capital, facilities acquisition or expansion, purchase of equipment, and other needs; lending services that include private banking, energy, commercial and residential real estate, and commercial and industrial loans; and loans to finance purchases of consumer goods, such as automobiles, boats, household goods, vacations, and education. In addition, it engages in the investment management and administration of trusts for individuals, corporations, and employee benefit plans, as well as bond trustee and paying agent business for various Oklahoma municipalities and governmental entities; and provision of item processing, research, and other correspondent banking services to financial institutions and governmental units. Further, the company provides insurance agency services; depository and funds transfer, collection, safe deposit box, cash management, and other services. It serves customers in non-metropolitan trade centers and cities in the metropolitan statistical areas of Oklahoma. The company was formerly known as United Community Corporation and changed its name to BancFirst Corporation in November 1988. BancFirst Corporation was incorporated in 1984 and is headquartered in Oklahoma City, Oklahoma.

About OptimumBank

OptimumBank Holdings, Inc. operates as the bank holding company for OptimumBank that provides various consumer and commercial banking services to individuals and businesses. It accepts demand interest-bearing and noninterest-bearing, savings, money market, and NOW accounts, as well as time deposits, wire transfers, ACH services, and certificates of deposit. The company also offers residential and commercial real estate, multi-family real estate, land and construction loans; commercial loans are generally used for working capital purposes or for acquiring equipment, inventory, and furniture; and consumer loans for various purposes, including purchases of automobiles, recreational vehicles, boats, home improvements, lines of credit, personal, and deposit account collateralized loans. In addition, it provides Visa debit and ATM cards; cash management, notary, and night depository services; and direct deposits, money orders, cashier's checks, domestic collections, and banking by mail, as well as internet banking services. The company was founded in 2000 and is based in Fort Lauderdale, Florida.