Financial Review: Bogota Financial (NASDAQ:BSBK) and Esquire Financial (NASDAQ:ESQ)

Bogota Financial (NASDAQ:BSBK) and Esquire Financial (NASDAQ:ESQ) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, risk, profitability, dividends, valuation, institutional ownership and earnings.

Risk & Volatility

Bogota Financial has a beta of 0.14, meaning that its share price is 86% less volatile than the S&P 500. Comparatively, Esquire Financial has a beta of 0.4, meaning that its share price is 60% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Bogota Financial and Esquire Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bogota Financial	0	1	0	0	2.00
Esquire Financial	0	1	2	1	3.00

Esquire Financial has a consensus price target of $120.33, suggesting a potential upside of 3.34%. Given Esquire Financial’s stronger consensus rating and higher probable upside, analysts clearly believe Esquire Financial is more favorable than Bogota Financial.

Institutional & Insider Ownership

11.6% of Bogota Financial shares are held by institutional investors. Comparatively, 54.7% of Esquire Financial shares are held by institutional investors. 3.7% of Bogota Financial shares are held by company insiders. Comparatively, 13.9% of Esquire Financial 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.

Earnings & Valuation

This table compares Bogota Financial and Esquire Financial”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bogota Financial	$17.98 million	6.42	$2.09 million	$0.21	43.05
Esquire Financial	$159.56 million	8.83	$50.82 million	$6.06	19.21

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

Profitability

This table compares Bogota Financial and Esquire Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bogota Financial	6.00%	1.83%	0.29%
Esquire Financial	29.30%	18.22%	2.27%

Summary

Esquire Financial beats Bogota Financial on 14 of the 15 factors compared between the two stocks.

About Bogota Financial

Bogota Financial Corp. operates as the bank holding company for Bogota Savings Bank that provides banking products and services in the United States. It offers deposit accounts, including demand accounts, savings accounts, money market accounts, and certificate of deposit accounts. The company also provides one-to four-family residential real estate loans, and commercial real estate and multi-family loans; consumer loans, such as home equity loans and lines of credit; commercial and industrial loans; and construction loans; and buys, sells, and holds investment securities. It operates through various offices located in Bogota, Hasbrouck Heights, Newark, Oak Ridge, Parsippany, and Teaneck, as well as through a loan production office in Spring Lake, New Jersey. The company was founded in 1893 and is based in Teaneck, New Jersey. Bogota Financial Corp. operates as a subsidiary of Bogota Financial, MHC.

About Esquire Financial

Esquire Financial Holdings, Inc. operates as the bank holding company for Esquire Bank, National Association that provides commercial banking products and services to legal industry and small businesses, and commercial and retail customers in the United States. The company offers checking, savings, money market, and time deposits, as well as certificates of deposit. It also provides commercial loans, such as short-term financing for inventory, receivables, the purchase of supplies, or other operating needs arising during the normal course of business, as well as loans to its qualified ISO customers; commercial lines of credit; consumer loans consisting of post-settlement consumer and structured settlement loans to plaintiffs and claimants, as well as loans to individuals for debt consolidation, medical expenses, living expenses, payment of outstanding bills, or other consumer needs; and real estate loans, such as multifamily, 1-4 family residential, commercial real estate, and construction loans, as well as merchant services. In addition, it offers cash management, cash sweep, online and mobile banking, individual retirement accounts, and working capital lines of credit. Esquire Financial Holdings, Inc. was founded in 2006 and is headquartered in Jericho, New York.