Critical Comparison: FB Financial (NYSE:FBK) versus U.S.A Bank (OTCMKTS:USBK)

FB Financial (NYSE:FBK) and U.S.A Bank (OTCMKTS:USBK) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, profitability, risk, institutional ownership, earnings, dividends and analyst recommendations.

Earnings & Valuation

This table compares FB Financial and U.S.A Bank”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FB Financial	$764.61 million	3.04	$116.04 million	$2.47	20.14
U.S.A Bank	N/A	N/A	N/A	N/A	N/A

FB Financial has higher revenue and earnings than U.S.A Bank.

Profitability

This table compares FB Financial and U.S.A Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FB Financial	15.18%	10.43%	1.25%
U.S.A Bank	N/A	N/A	N/A

Insider and Institutional Ownership

65.4% of FB Financial shares are owned by institutional investors. 1.7% of FB Financial shares are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Analyst Recommendations

This is a summary of current ratings and target prices for FB Financial and U.S.A Bank, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FB Financial	1	3	1	0	2.00
U.S.A Bank	0	0	0	0	0.00

FB Financial presently has a consensus target price of $50.20, suggesting a potential upside of 0.90%. Given FB Financial’s stronger consensus rating and higher probable upside, equities analysts clearly believe FB Financial is more favorable than U.S.A Bank.

Volatility & Risk

FB Financial has a beta of 1.15, meaning that its share price is 15% more volatile than the S&P 500. Comparatively, U.S.A Bank has a beta of -24.99, meaning that its share price is 2,599% less volatile than the S&P 500.

Summary

FB Financial beats U.S.A Bank on 10 of the 10 factors compared between the two stocks.

About FB Financial

FB Financial Corporation operates as a bank holding company for FirstBank that provides a suite of commercial and consumer banking services to businesses, professionals, and individuals. The company operates in segments, such as Banking and Mortgage. It offers checking, demand, money market, and savings accounts; deposit and lending products and services to corporate, commercial, and consumer customers; and time deposits and certificates of deposits, as well as residential mortgage loans. The company also provides owner-occupied and non-owner-occupied real estate commercial, residential real estate 1-4 family mortgage, multi-family residential, commercial and industrial, construction, land acquisition, residential lines of credit, and land development loans; and consumer and other loans, such as car, boat, and other recreational vehicle loans, as well as manufactured homes without real estate and personal lines of credit. In addition, the company offers mortgage banking services through its bank branch network and mortgage banking offices in the southeastern United States; direct-to-consumer internet delivery channel; and trust, insurance, and investment services, as well as online and mobile banking services. The company operates full-service bank branches and limited-service branches locations throughout Tennessee, Nashville, Chattanooga, Knoxville, Memphis, Jackson, Birmingham, Florence, Huntsville, Alabama, Bowling Green, and Kentucky; and mortgage offices throughout the southeastern United States. The company was formerly known as First South Bancorp, Inc. and changed its name to FB Financial Corporation in 2016. FB Financial Corporation was founded in 1906 and is headquartered in Nashville, Tennessee.

About U.S.A Bank

As of July 10, 2010, U.S.A Bank was acquired by Customers Bank (Phoenixville, Pennsylvania). U.S.A Bank operates as a community bank in New York. It offers deposit products, Internet banking, ATM cards, consumer loans, and residential and commercial loans. U.S.A Bank was founded in 2005 and is based in Port Chester, New York.