Comparing GBank Financial (NASDAQ:GBFH) & Fidelity D&D Bancorp (NASDAQ:FDBC)

Fidelity D&D Bancorp (NASDAQ:FDBC) and GBank Financial (NASDAQ:GBFH) are both small-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their institutional ownership, earnings, risk, profitability, analyst recommendations, valuation and dividends.

Profitability

This table compares Fidelity D&D Bancorp and GBank Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Fidelity D&D Bancorp	21.12%	12.67%	1.08%
GBank Financial	15.44%	14.42%	1.75%

Volatility and Risk

Fidelity D&D Bancorp has a beta of 0.82, indicating that its stock price is 18% less volatile than the S&P 500. Comparatively, GBank Financial has a beta of 0.07, indicating that its stock price is 93% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Fidelity D&D Bancorp and GBank Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Fidelity D&D Bancorp	0	0	1	0	3.00
GBank Financial	0	2	4	0	2.67

GBank Financial has a consensus price target of $37.33, suggesting a potential upside of 119.87%. Given GBank Financial’s higher possible upside, analysts clearly believe GBank Financial is more favorable than Fidelity D&D Bancorp.

Insider & Institutional Ownership

20.1% of Fidelity D&D Bancorp shares are held by institutional investors. 20.7% of Fidelity D&D Bancorp shares are held by company insiders. Comparatively, 32.4% of GBank Financial shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Fidelity D&D Bancorp and GBank Financial”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Fidelity D&D Bancorp	$140.40 million	2.44	$28.20 million	$5.25	11.23
GBank Financial	$109.61 million	2.25	$20.93 million	$1.28	13.27

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

Summary

Fidelity D&D Bancorp beats GBank Financial on 9 of the 14 factors compared between the two stocks.

About Fidelity D&D Bancorp

Fidelity D&D Bancorp, Inc. is a holding company, which engages in the provision of commercial banking services. It operates through the following segments: Commercial and Industrial, Commercial Real Estate, Consumer, and Residential Real Estate. The Commercial and Industrial segment refers to identified historic and/or the projected cash flows of the borrower and secondarily to the underlying collateral provided by the borrower. The Commercial Real Estate segment offers finances purchase of real estate, refinance existing obligations, and/or to provide capital. The Consumer segment includes home equity installment loans and lines of credit. The Residential Real Estate segment operates as a secured first lien position of the borrower’s residential real estate. The company was founded in 1902 and is headquartered in Dunmore, PA.

About GBank Financial

GBank Financial Holdings Inc. operates as a bank holding company for GBank which provides banking services to commercial and consumer customers principally in Nevada. The company offers business and personal checking and savings accounts. GBank Financial Holdings Inc. is based in Las Vegas, Nevada.