Critical Review: Huntington Bancshares (NASDAQ:HBAN) versus BV Financial (NASDAQ:BVFL)

BV Financial (NASDAQ:BVFL) and Huntington Bancshares (NASDAQ:HBAN) are both finance companies, but which is the better investment? We will compare the two businesses based on the strength of their profitability, analyst recommendations, valuation, institutional ownership, risk, earnings and dividends.

Volatility & Risk

BV Financial has a beta of 0.3, suggesting that its share price is 70% less volatile than the S&P 500. Comparatively, Huntington Bancshares has a beta of 0.95, suggesting that its share price is 5% less volatile than the S&P 500.

Institutional & Insider Ownership

42.6% of BV Financial shares are held by institutional investors. Comparatively, 80.7% of Huntington Bancshares shares are held by institutional investors. 15.7% of BV Financial shares are held by insiders. Comparatively, 0.7% of Huntington Bancshares shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Valuation and Earnings

This table compares BV Financial and Huntington Bancshares”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BV Financial	$52.43 million	3.41	$13.49 million	$1.52	13.89
Huntington Bancshares	$12.48 billion	2.47	$2.21 billion	$1.29	11.85

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

Analyst Recommendations

This is a summary of recent ratings and recommmendations for BV Financial and Huntington Bancshares, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BV Financial	0	0	1	0	3.00
Huntington Bancshares	1	7	13	1	2.64

Huntington Bancshares has a consensus target price of $19.79, suggesting a potential upside of 29.45%. Given Huntington Bancshares’ higher probable upside, analysts clearly believe Huntington Bancshares is more favorable than BV Financial.

Profitability

This table compares BV Financial and Huntington Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BV Financial	25.01%	9.31%	1.91%
Huntington Bancshares	16.64%	11.19%	1.12%

Summary

Huntington Bancshares beats BV Financial on 8 of the 15 factors compared between the two stocks.

About BV Financial

BV Financial, Inc. operates as the holding company for BayVanguard Bank that provides various financial services to individuals and businesses in Maryland. The company offers checking and money market accounts, savings accounts, and certificates of deposits. Its loan products include real estate, home equity, construction, lot, auto, boat, and other personal loans; and commercial lending products, such as commercial equipment/installation, commercial real estate, construction, investment real estate, lines of credit, and SBA loans, as well as loans for short-term real estate purchase, renovation, and sale projects. The company offers ATM, overdraft, safe deposit, bill pay, remote deposit capture, ACH origination, merchant, and online banking services. BV Financial, Inc. was founded in 1873 and is headquartered in Baltimore, Maryland.

About Huntington Bancshares

Huntington Bancshares Incorporated operates as the bank holding company for The Huntington National Bank that provides commercial, consumer, and mortgage banking services in the United States. The company offers financial products and services to consumer and business customers, including deposits, lending, payments, mortgage banking, dealer financing, investment management, trust, brokerage, insurance, and other financial products and services. It also provides 24-hour grace, asterisk-free checking, money scout, $50 safety zone, standby cash, early pay, instant access, savings goal getter, and Huntington heads up; digitally powered consumer and business financial solutions to consumer lending, regional banking, branch banking, and wealth management customers; direct and indirect consumer loans, as well as dealer finance loans and deposits; and private banking, wealth management and legacy planning through investment and portfolio management, fiduciary administration and trust, institutional custody, and full-service retail brokerage investment services. The company offers equipment financing, asset-based lending, distribution finance, structured lending, and municipal financing solutions, as well as Huntington ChoicePay. In addition, it offers lending, liquidity, treasury management and other payment services, and capital markets; government and non-profits, healthcare, technology and telecommunications, franchises, financial sponsors, and global services; and corporate risk management, institutional sales and trading, debt and equity issuance, and additional advisory services. The company offers its products through a network of channels, including branches and ATMs, online and mobile banking, and through customer call centers to customers in middle market banking, corporate, specialty, and government banking, asset finance, commercial real estate banking, and capital markets. The company was founded in 1866 and is headquartered in Columbus, Ohio.