Critical Survey: Benchmark Bankshares (OTCMKTS:BMBN) & Citizens Bancshares (OTCMKTS:CZBS)

Volatility and Risk

Citizens Bancshares has a beta of 0.29, suggesting that its share price is 71% less volatile than the S&P 500. Comparatively, Benchmark Bankshares has a beta of 0.13, suggesting that its share price is 87% less volatile than the S&P 500.

Earnings and Valuation

This table compares Citizens Bancshares and Benchmark Bankshares”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Citizens Bancshares	$44.60 million	1.97	$10.59 million	N/A	N/A
Benchmark Bankshares	$83.37 million	2.06	$19.84 million	$4.46	8.61

Benchmark Bankshares has higher revenue and earnings than Citizens Bancshares.

Profitability

This table compares Citizens Bancshares and Benchmark Bankshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Citizens Bancshares	N/A	N/A	N/A
Benchmark Bankshares	23.80%	N/A	N/A

Dividends

Citizens Bancshares pays an annual dividend of $1.20 per share and has a dividend yield of 2.4%. Benchmark Bankshares pays an annual dividend of $0.96 per share and has a dividend yield of 2.5%. Benchmark Bankshares pays out 21.5% of its earnings in the form of a dividend.

Insider & Institutional Ownership

3.2% of Benchmark Bankshares shares are held by institutional investors. 10.2% of Citizens Bancshares shares are held by insiders. Comparatively, 14.0% of Benchmark Bankshares shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company will outperform the market over the long term.

Summary

Benchmark Bankshares beats Citizens Bancshares on 7 of the 9 factors compared between the two stocks.

About Citizens Bancshares

Citizens Bancshares Corporation operates as the holding company for Citizens Trust Bank that provides various commercial banking services to individual and corporate customers. The company offers checking and savings accounts; and demand and money market deposits. Its loan products include commercial, financial, and agricultural loans; loans secured by personal property, such as automobiles, marketable securities, and other titled recreational vehicles and motorcycles, as well as unsecured consumer debt; commercial real estate loans; single-family residential loans; and construction and development loans. The company also offers investment accounts and certificate of deposit account registry services. In addition, it provides merchant services, which include point of sale terminal, credit and debit card processing, electronic benefits transfer, gift card, and Internet shopping cart services; cash management services; and credit cards. Further, the company offers online and mobile banking, as well as check reorder services. Citizens Bancshares Corporation was founded in 1921 and is headquartered in Atlanta, Georgia.

About Benchmark Bankshares

Benchmark Bankshares, Inc. operates as the holding company for Benchmark Community Bank that provides various banking products and services in the United States. The company accepts various deposits, such as checking, saving, commercial services, and youth accounts. Its loan products include personal, mortgage, other real estate, business, auto, and student loans. The company also offers credit and debit cards; wealth management services comprising financial solutions, financial and retirement planning, and portfolio management, as well as estate, charitable giving, and trust services; and reorder checks, safe deposit boxes, wire transfers, bill pay, and internet and mobile banking services. The company was founded in 1971 and is based in Kenbridge, Virginia.