BOK Financial (NASDAQ:BOKF) versus First Financial Bankshares (NASDAQ:FFIN) Head-To-Head Survey

First Financial Bankshares (NASDAQ:FFIN) and BOK Financial (NASDAQ:BOKF) are both mid-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their institutional ownership, valuation, profitability, risk, dividends, earnings and analyst recommendations.

Profitability

This table compares First Financial Bankshares and BOK Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Financial Bankshares	29.81%	14.16%	1.69%
BOK Financial	15.98%	9.24%	1.07%

Volatility and Risk

First Financial Bankshares has a beta of 0.84, meaning that its stock price is 16% less volatile than the S&P 500. Comparatively, BOK Financial has a beta of 0.88, meaning that its stock price is 12% less volatile than the S&P 500.

Insider and Institutional Ownership

69.8% of First Financial Bankshares shares are owned by institutional investors. Comparatively, 34.4% of BOK Financial shares are owned by institutional investors. 4.0% of First Financial Bankshares shares are owned by insiders. Comparatively, 60.1% of BOK Financial shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Dividends

First Financial Bankshares pays an annual dividend of $0.76 per share and has a dividend yield of 2.4%. BOK Financial pays an annual dividend of $2.52 per share and has a dividend yield of 2.1%. First Financial Bankshares pays out 45.0% of its earnings in the form of a dividend. BOK Financial pays out 30.0% 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. First Financial Bankshares has increased its dividend for 15 consecutive years and BOK Financial has increased its dividend for 20 consecutive years.

Analyst Ratings

This is a summary of current ratings and price targets for First Financial Bankshares and BOK Financial, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Financial Bankshares	0	3	1	0	2.25
BOK Financial	0	7	3	0	2.30

First Financial Bankshares presently has a consensus target price of $38.00, suggesting a potential upside of 19.61%. BOK Financial has a consensus target price of $117.91, suggesting a potential downside of 3.86%. Given First Financial Bankshares’ higher possible upside, equities analysts plainly believe First Financial Bankshares is more favorable than BOK Financial.

Earnings and Valuation

This table compares First Financial Bankshares and BOK Financial”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Financial Bankshares	$599.54 million	7.59	$223.51 million	$1.69	18.80
BOK Financial	$1.99 billion	3.89	$523.57 million	$8.39	14.62

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

Summary

BOK Financial beats First Financial Bankshares on 9 of the 17 factors compared between the two stocks.

About First Financial Bankshares

First Financial Bankshares, Inc., through its subsidiaries, provides commercial banking products and services in Texas. The company offers checking, savings and time deposits; automated teller machines, drive-in, and night deposit services; safe deposit facilities, remote deposit capture, internet banking, mobile banking, payroll cards, funds transfer, and performing other customary commercial banking services; securities brokerage services; and trust and wealth management services, including wealth management, estates administration, oil and gas management, testamentary trusts, revocable and irrevocable trusts, and agency accounts. It also provides commercial and industrial, municipal, agricultural, construction and development, farm, residential, and consumer auto and non-auto, as well as non-owner occupied and owner occupied commercial real estate loans. In addition, the company offers advisory and specialized services related to asset management, investing, purchasing, advertising, public relations, and technology services. First Financial Bankshares, Inc. was founded in 1890 and is headquartered in Abilene, Texas.

About BOK Financial

BOK Financial Corporation operates as the financial holding company for BOKF, NA that provides various financial products and services in Oklahoma, Texas, New Mexico, Northwest Arkansas, Colorado, Arizona, and Kansas/Missouri. It operates through three segments: Commercial Banking, Consumer Banking, and Wealth Management. The Commercial Banking segment offers lending, treasury, cash management, and customer commodity risk management products for small businesses, middle market, and larger commercial customers, as well as operates TransFund electronic funds transfer network. The Consumer Banking segment engages in the provision of retail lending and deposit services to small business customers through retail branch network; and mortgage loan origination and servicing activities. The Wealth Management segment offers fiduciary, private bank, insurance, and investment advisory services; and brokerage and trading services primarily related to providing liquidity to the mortgage markets through trading of U.S. government agency mortgage-backed securities and related derivative contracts, as well as underwrites state and municipal securities. The company also provides commercial loans, such as loans for working capital, facilities acquisition or expansion, purchases of equipment, and other needs of commercial customers; and service, healthcare, manufacturing, wholesale/retail, energy, and other sector loans. In addition, it offers commercial real estate loans for the construction of buildings or other improvements to real estate and property held by borrowers for investment purposes; residential mortgage and personal loans; and automated teller machine, call center, and Internet and mobile banking services. The company was founded in 1910 and is headquartered in Tulsa, Oklahoma.