Peoples Bancorp (NASDAQ:PEBO) vs. Popular (NASDAQ:BPOP) Head-To-Head Review

Peoples Bancorp (NASDAQ:PEBO) and Popular (NASDAQ:BPOP) are both finance companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, earnings, risk, valuation, analyst recommendations, profitability and institutional ownership.

Profitability

This table compares Peoples Bancorp and Popular’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Peoples Bancorp	20.58%	12.76%	1.46%
Popular	12.20%	11.73%	0.83%

Earnings & Valuation

This table compares Peoples Bancorp and Popular”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Peoples Bancorp	$445.03 million	2.57	$113.36 million	$3.34	9.65
Popular	$2.71 billion	2.74	$541.34 million	$6.74	15.22

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

Dividends

Peoples Bancorp pays an annual dividend of $1.60 per share and has a dividend yield of 5.0%. Popular pays an annual dividend of $2.48 per share and has a dividend yield of 2.4%. Peoples Bancorp pays out 47.9% of its earnings in the form of a dividend. Popular pays out 36.8% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.

Volatility & Risk

Peoples Bancorp has a beta of 0.75, indicating that its stock price is 25% less volatile than the S&P 500. Comparatively, Popular has a beta of 0.78, indicating that its stock price is 22% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Peoples Bancorp and Popular, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Peoples Bancorp	0	3	1	0	2.25
Popular	0	2	6	0	2.75

Peoples Bancorp currently has a consensus target price of $34.25, indicating a potential upside of 6.30%. Popular has a consensus target price of $110.38, indicating a potential upside of 7.62%. Given Popular’s stronger consensus rating and higher possible upside, analysts plainly believe Popular is more favorable than Peoples Bancorp.

Institutional and Insider Ownership

60.7% of Peoples Bancorp shares are owned by institutional investors. Comparatively, 87.3% of Popular shares are owned by institutional investors. 3.5% of Peoples Bancorp shares are owned by insiders. Comparatively, 2.1% of Popular shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Summary

Popular beats Peoples Bancorp on 11 of the 16 factors compared between the two stocks.

About Peoples Bancorp

Peoples Bancorp Inc. operates as the holding company for Peoples Bank that provides commercial and consumer banking products and services. The company accepts various deposit products, including demand deposit accounts, savings accounts, money market accounts, certificates of deposit, and governmental deposits; and provides commercial and industrial, commercial real estate, construction, finance, residential real estate, and consumer indirect and direct loans, as well as home equity lines of credit and overdrafts. It also offers debit and automated teller machine (ATM) cards; safe deposit rental facilities; money orders and cashier’s checks; and telephone, mobile, and online banking services. In addition, the company provides various life, health, and property and casualty insurance products; third-party insurance administration; interactive teller machines; insurance premium financing; check deposit and alert notification; commercial and technology equipment leasing; fiduciary and trust; underwriting, origination, and servicing of equipment leases, and equipment financing agreements; and asset management and administration services, as well as employee benefit, retirement, and health care plan administration services. Further, it offers brokerage services through an unaffiliated registered broker-dealers; insurance premium finance lending and leasing; and credit cards to individuals and businesses, as well as provides merchant credit card transaction processing, and person-to-person payment processing services. Peoples Bancorp Inc. was founded in 1902 and is headquartered in Marietta, Ohio.

About Popular

Popular, Inc., through its subsidiaries, provides various retail, mortgage, and commercial banking products and services in Puerto Rico, the United States, and the British Virgin Islands. The company provides savings, NOW, money market, and other interest-bearing demand accounts; non-interest bearing demand deposits; and certificates of deposit. It also offers commercial and industrial, commercial multi-family, commercial real estate, and residential mortgage loans; consumer loans, including personal loans, credit cards, automobile loans, home equity lines of credit, and other loans to individual borrowers; construction loans; and lease financing comprising automobile loans/leases. In addition, the company provides investment banking, auto and equipment leasing and financing, broker-dealer, and insurance services; debit cards; and online banking services. Popular, Inc. was founded in 1893 and is headquartered in Hato Rey, Puerto Rico.