Contrasting FirstSun Capital Bancorp (NASDAQ:FSUN) & German American Bancorp (NASDAQ:GABC)

FirstSun Capital Bancorp (NASDAQ:FSUN) and German American Bancorp (NASDAQ:GABC) are both small-cap finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, profitability, risk, valuation, earnings and analyst recommendations.

Risk and Volatility

FirstSun Capital Bancorp has a beta of 0.82, meaning that its stock price is 18% less volatile than the S&P 500. Comparatively, German American Bancorp has a beta of 0.67, meaning that its stock price is 33% less volatile than the S&P 500.

Earnings & Valuation

This table compares FirstSun Capital Bancorp and German American Bancorp”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FirstSun Capital Bancorp	$549.33 million	1.97	$75.63 million	$3.16	12.27
German American Bancorp	$353.70 million	4.27	$83.81 million	$2.86	14.09

German American Bancorp has lower revenue, but higher earnings than FirstSun Capital Bancorp. FirstSun Capital Bancorp is trading at a lower price-to-earnings ratio than German American Bancorp, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares FirstSun Capital Bancorp and German American Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FirstSun Capital Bancorp	15.94%	9.00%	1.17%
German American Bancorp	22.19%	11.85%	1.49%

Insider and Institutional Ownership

46.9% of German American Bancorp shares are owned by institutional investors. 12.5% of FirstSun Capital Bancorp shares are owned by company insiders. Comparatively, 6.2% of German American Bancorp shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Analyst Recommendations

This is a summary of recent ratings for FirstSun Capital Bancorp and German American Bancorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FirstSun Capital Bancorp	0	1	3	0	2.75
German American Bancorp	0	2	1	0	2.33

FirstSun Capital Bancorp currently has a consensus price target of $43.33, indicating a potential upside of 11.74%. German American Bancorp has a consensus price target of $45.50, indicating a potential upside of 12.88%. Given German American Bancorp’s higher possible upside, analysts clearly believe German American Bancorp is more favorable than FirstSun Capital Bancorp.

Summary

German American Bancorp beats FirstSun Capital Bancorp on 8 of the 14 factors compared between the two stocks.

About FirstSun Capital Bancorp

FirstSun Capital Bancorp engages in the provision of commercial banking services. It operates through the following segments: Banking, Mortgage Operations, and Corporate. The Banking segment consists of loans and provides deposits and fee-based services to consumer, business, and mortgage lending customers. The Mortgage Operations segment originates, sells, services, and manages market risk from changes in interest rates on one-to-four family residential mortgage loans to sell and hold. The company is founded on November 9, 1981 headquartered in Denver, CO.

About German American Bancorp

German American Bancorp, Inc. operates as a financial holding company for German American Bank that provides retail and commercial banking services. The company operates through three segments: Core Banking, Wealth Management Services, and Insurance Operations. The Core Banking segment accepts deposits from the general public; and originates consumer, commercial and agricultural, commercial and agricultural real estate, and residential mortgage loans, as well as sells residential mortgage loans in the secondary market. The Wealth Management segment provides trust, investment advisory, brokerage, and retirement planning services. The Insurance Operations segment offers a range of personal and corporate property and casualty insurance products. It also offers checking, saving, and individual retirement accounts; certificates of deposit; wire transfer; credit cards; home equity, mortgages, and small business; treasury management; and online and mobile banking, bill pay, digital wallet, mobile check deposit, credit score and report, money management, and estatements, as well as wealth advisory. German American Bancorp, Inc. was founded in 1910 and is based in Jasper, Indiana.