Comparing TC Bancshares (NASDAQ:TCBC) & First Capital (NASDAQ:FCAP)

First Capital (NASDAQ:FCAP) and TC Bancshares (NASDAQ:TCBC) are both small-cap finance companies, but which is the superior business? We will contrast the two companies based on the strength of their valuation, analyst recommendations, earnings, risk, institutional ownership, profitability and dividends.

Valuation & Earnings

This table compares First Capital and TC Bancshares’ gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Capital	$42.04 million	2.57	$12.79 million	$3.57	9.03
TC Bancshares	$14.76 million	4.70	$270,000.00	N/A	N/A

First Capital has higher revenue and earnings than TC Bancshares.

Volatility and Risk

First Capital has a beta of 0.63, indicating that its stock price is 37% less volatile than the S&P 500. Comparatively, TC Bancshares has a beta of 0.05, indicating that its stock price is 95% less volatile than the S&P 500.

Dividends

First Capital pays an annual dividend of $1.08 per share and has a dividend yield of 3.3%. TC Bancshares pays an annual dividend of $0.10 per share and has a dividend yield of 0.6%. First Capital pays out 30.3% of its earnings in the form of a dividend. First Capital has increased its dividend for 1 consecutive years. First Capital is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Insider & Institutional Ownership

11.6% of First Capital shares are owned by institutional investors. Comparatively, 23.6% of TC Bancshares shares are owned by institutional investors. 4.4% of First Capital shares are owned by company insiders. Comparatively, 9.6% of TC Bancshares shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and recommmendations for First Capital and TC Bancshares, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Capital	0	0	0	0	N/A
TC Bancshares	0	0	0	0	N/A

Profitability

This table compares First Capital and TC Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Capital	22.04%	12.01%	1.04%
TC Bancshares	-0.19%	-0.05%	-0.01%

Summary

First Capital beats TC Bancshares on 8 of the 12 factors compared between the two stocks.

About First Capital

First Capital, Inc. operates as the bank holding company for First Harrison Bank that provides various banking services to individuals and business customers. The company offers various deposit instruments, including non-interest-bearing checking accounts, negotiable order of withdrawal accounts, money market accounts, regular savings accounts, certificates of deposit, and retirement savings plans. It also provides residential mortgage loans, construction loans for residential and commercial properties, and commercial real estate loans, as well as commercial business loans. In addition, the company originates mortgage loans for sale in the secondary market and sells non-deposit investment products; and offers various secured or guaranteed consumer loans comprising automobile and truck loans, home equity loans, home improvement loans, boat loans, mobile home loans, credit cards and other personal loans, and loans secured by savings deposits, as well as unsecured consumer loans. First Capital, Inc. was founded in 1891 and is based in Corydon, Indiana.

About TC Bancshares

TC Bancshares, Inc. operates as the holding company for TC Federal Bank that provides various banking services for individual and commercial customers in the United States. It accepts various deposit products, including personal checking accounts, business checking accounts, savings accounts, money market accounts, and certificates of deposit. The company also offers lending products comprising single-family residential loans, home equity lines of credit, closed-end home equity loans, consumer loans, commercial and multi-family residential real estate loans, commercial and industrial loans, construction loans, land development loans, and SBA/USDA guaranteed loans. It operates branches in Thomasville, Georgia and Tallahassee, Florida, as well as loan production offices in Savannah, Georgia, and Jacksonville, Florida. The company was founded in 1934 and is based in Thomasville, Georgia.