Reviewing Virginia National Bankshares (NASDAQ:VABK) and Mvb Financial (NASDAQ:MVBF)

Virginia National Bankshares (NASDAQ:VABK) and Mvb Financial (NASDAQ:MVBF) are both small-cap finance companies, but which is the better business? We will contrast the two companies based on the strength of their institutional ownership, dividends, valuation, earnings, risk, analyst recommendations and profitability.

Dividends

Virginia National Bankshares pays an annual dividend of $1.44 per share and has a dividend yield of 3.4%. Mvb Financial pays an annual dividend of $0.68 per share and has a dividend yield of 2.5%. Virginia National Bankshares pays out 43.6% of its earnings in the form of a dividend. Mvb Financial pays out 27.6% 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.

Profitability

This table compares Virginia National Bankshares and Mvb Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Virginia National Bankshares	21.37%	10.58%	1.10%
Mvb Financial	15.34%	3.81%	0.38%

Analyst Ratings

This is a breakdown of recent recommendations and price targets for Virginia National Bankshares and Mvb Financial, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Virginia National Bankshares	0	1	0	0	2.00
Mvb Financial	1	0	6	0	2.71

Mvb Financial has a consensus price target of $31.50, suggesting a potential upside of 15.17%. Given Mvb Financial’s stronger consensus rating and higher probable upside, analysts plainly believe Mvb Financial is more favorable than Virginia National Bankshares.

Institutional and Insider Ownership

37.4% of Virginia National Bankshares shares are owned by institutional investors. Comparatively, 52.7% of Mvb Financial shares are owned by institutional investors. 14.0% of Virginia National Bankshares shares are owned by insiders. Comparatively, 11.7% of Mvb Financial shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Volatility & Risk

Virginia National Bankshares has a beta of 0.41, meaning that its share price is 59% less volatile than the S&P 500. Comparatively, Mvb Financial has a beta of 0.95, meaning that its share price is 5% less volatile than the S&P 500.

Valuation and Earnings

This table compares Virginia National Bankshares and Mvb Financial”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Virginia National Bankshares	$83.52 million	2.74	$16.97 million	$3.30	12.85
Mvb Financial	$228.76 million	1.50	$20.09 million	$2.46	11.12

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

About Virginia National Bankshares

Virginia National Bankshares Corporation operates as the holding company for Virginia National Bank that provides a range of commercial and retail banking services. The company operates through Bank, Sturman Wealth Advisors, VNB Trust and Estate Services, and Masonry Capital segments. It provides checking accounts, demand deposits, NOW accounts, money market deposit accounts, time deposits, certificates of deposit, individual retirement accounts, and other depository services. In addition, the company offers commercial and industrial loans, real estate construction and land loans, commercial real estate loans, and 1-4 family residential mortgages, as well as consumer loans comprising student loans, revolving credit, and other fixed payment loans. Further, it provides automated teller machines, internet banking, treasury, and cash management services; merchant and debit card services; and wealth and investment advisory, and brokerage services. Additionally, the company offers investment management, corporate trustee, trust and estate administration, IRA administration, house investment management, and custody services. It serves individuals, businesses, and charitable organizations in the Charlottesville/Albemarle County, Fauquier County, Manassas, Prince William County, Richmond, and Winchester market areas in Virginia. Virginia National Bankshares Corporation was founded in 1998 and is headquartered in Charlottesville, Virginia.

About Mvb Financial

MVB Financial Corp. operates as bank holding company for MVB Bank, Inc that provides financial services to individuals and corporate clients. The company operates through three segments: CoRe Banking, Mortgage Banking, and The Financial Holding Company. It offers various demand deposit accounts, savings accounts, money market accounts, and certificates of deposit; and commercial, consumer, and real estate mortgage loans, as well as lines of credit. The company also provides debit cards; cashier's checks; safe deposit rental facilities; and non-deposit investment services, as well as financial technology (Fintech) banking services. In addition, it offers fintech solutions for the gaming, payments, banking-as-a-service, and digital asset sectors; fraud prevention services for merchants, credit agencies, Fintech companies, and other vendors; and digital products and web and mobile applications for forward-thinking community banks, credit unions, digital banks, and Fintech companies. It operates full-service branches in West Virginia and Virginia. MVB Financial Corp. was founded in 1997 and is based in Fairmont, West Virginia.