First Resource Bancorp (OTCMKTS:FRSB) and Bancorp (NASDAQ:TBBK) Critical Comparison

Bancorp (NASDAQ:TBBK) and First Resource Bancorp (OTCMKTS:FRSB) are both small-cap finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their profitability, risk, dividends, valuation, analyst recommendations, earnings and institutional ownership.

Risk & Volatility

Bancorp has a beta of 1.47, indicating that its share price is 47% more volatile than the S&P 500. Comparatively, First Resource Bancorp has a beta of 0.42, indicating that its share price is 58% less volatile than the S&P 500.

Valuation and Earnings

This table compares Bancorp and First Resource Bancorp’s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bancorp	$621.60 million	3.18	$192.30 million	$3.68	10.28
First Resource Bancorp	$30.38 million	1.35	$5.93 million	$1.94	6.83

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

Analyst Ratings

This is a summary of recent ratings and price targets for Bancorp and First Resource Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bancorp	0	0	3	0	3.00
First Resource Bancorp	0	0	0	0	N/A

Bancorp currently has a consensus target price of $50.33, indicating a potential upside of 33.09%. Given Bancorp’s higher probable upside, equities research analysts plainly believe Bancorp is more favorable than First Resource Bancorp.

Insider and Institutional Ownership

96.2% of Bancorp shares are owned by institutional investors. 5.2% of Bancorp shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Bancorp and First Resource Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bancorp	31.40%	26.32%	2.70%
First Resource Bancorp	18.40%	N/A	N/A

Summary

Bancorp beats First Resource Bancorp on 13 of the 13 factors compared between the two stocks.

About Bancorp

The Bancorp, Inc. operates as the bank holding company for The Bancorp Bank, National Association that provides banking products and services in the United States. It offers a range of deposit products and services, including checking, savings, time, money market, and commercial accounts; overdrafts; and certificates of deposit. The company also provides securities-backed lines of credit and insurance policy cash value-backed lines of credit; investor advisor financing; lease financing for commercial and government vehicle fleets, including trucks and other special purpose vehicles; commercial real estate bridge loans; and small business administration loans. In addition, it offers bill and other payment services; debit and prepaid card issuing services; card and bill payment, and automated clearing house processing services; and internet banking services. The company was incorporated in 1999 and is headquartered in Wilmington, Delaware.

About First Resource Bancorp

First Resource Bancorp, Inc. operates as the bank holding for First Resource Bank that provides personal and business banking products and services to businesses and families primarily in the southeastern area of Pennsylvania. The company's offers savings, checking, and money market accounts, as well as certificate deposit account registry services, insured cash sweeps, certificates of deposit, and IRAs. Its loan products include commercial mortgages, construction loans, working capital credit lines, small business administration loans, commercial term loans, home equity lines of credit, fixed payment home equity loans, residential construction loans, land loans, overdraft protection, vehicle loans, unsecured installment loans, certificate of deposit secured installment loans, and swing loans. The company also provides personal financial statements; credit and debit cards; digital banking services; and cash management, positive pay, ACH origination, sweep/transfer of funds, ATM, over the counter checks, bill payment, wire transfer, signature guarantee/notary, safe deposit box, drive-up banking, night depository, foreign currency exchange, cashier's check, e-statements, and stop payments, as well as telephone, messaging and text, online, and mobile banking services. First Resource Bancorp, Inc. was founded in 2005 and is based in Exton, Pennsylvania.