HBT Financial (NASDAQ:HBT) vs. CB Financial Services (NASDAQ:CBFV) Critical Survey

HBT Financial (NASDAQ:HBT) and CB Financial Services (NASDAQ:CBFV) are both small-cap finance companies, but which is the superior business? We will contrast the two companies based on the strength of their profitability, valuation, earnings, analyst recommendations, risk, institutional ownership and dividends.

Dividends

HBT Financial pays an annual dividend of $0.84 per share and has a dividend yield of 3.3%. CB Financial Services pays an annual dividend of $1.00 per share and has a dividend yield of 3.3%. HBT Financial pays out 37.2% of its earnings in the form of a dividend. CB Financial Services pays out 41.8% 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. HBT Financial is clearly the better dividend stock, given its higher yield and lower payout ratio.

Earnings & Valuation

This table compares HBT Financial and CB Financial Services”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
HBT Financial	$222.37 million	3.57	$71.78 million	$2.26	11.13
CB Financial Services	$81.62 million	1.92	$12.59 million	$2.39	12.78

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

Profitability

This table compares HBT Financial and CB Financial Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
HBT Financial	24.99%	14.57%	1.50%
CB Financial Services	15.43%	7.45%	0.70%

Risk & Volatility

HBT Financial has a beta of 0.89, indicating that its share price is 11% less volatile than the S&P 500. Comparatively, CB Financial Services has a beta of 0.6, indicating that its share price is 40% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for HBT Financial and CB Financial Services, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
HBT Financial	1	2	2	0	2.20
CB Financial Services	0	2	0	0	2.00

HBT Financial currently has a consensus target price of $24.80, indicating a potential downside of 1.39%. CB Financial Services has a consensus target price of $26.00, indicating a potential downside of 14.89%. Given HBT Financial’s stronger consensus rating and higher probable upside, research analysts clearly believe HBT Financial is more favorable than CB Financial Services.

Institutional and Insider Ownership

78.6% of HBT Financial shares are owned by institutional investors. Comparatively, 33.1% of CB Financial Services shares are owned by institutional investors. 59.8% of HBT Financial shares are owned by company insiders. Comparatively, 9.4% of CB Financial Services shares are owned by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Summary

HBT Financial beats CB Financial Services on 14 of the 16 factors compared between the two stocks.

About HBT Financial

HBT Financial, Inc. operates as the bank holding company for Heartland Bank and Trust Company that provides business, commercial, and retail banking products and services to individuals, businesses, and municipal entities in Central and Northeastern Illinois, and Eastern Iowa. The company's deposits accounts consist of noninterest-bearing demand deposits, interest-bearing transaction accounts, money market accounts, savings accounts, certificates of deposits, health savings accounts, and individual retirement accounts. Its loan offering comprises owner and non-owner occupied commercial real estate; construction and land development and multi-family; commercial and industrial; agricultural and farmland; and one-to-four family residential loans, as well as municipal, consumer, and other loans. The company also offers wealth management services, including financial planning to consumers, trusts, and estates; trustee and custodial; investment management; corporate retirement plan consulting and administration; and retail brokerage services. In addition, it provides farmland management, and farmland sales and services; commercial checking accounts; and treasury management services, as well as originates and sells residential mortgage loans. Further, the company offers digital banking services, such as online and mobile banking, and digital payment services, as well as personal financial management tools. The company was formerly known as Heartland Bancorp, Inc. and changed its name to HBT Financial, Inc. in September 2019. HBT Financial, Inc. was founded in 1920 and is headquartered in Bloomington, Illinois.

About CB Financial Services

CB Financial Services, Inc. operates as the bank holding company for Community Bank that provides various banking products and services for individuals and businesses in southwestern Pennsylvania, West Virginia, and Ohio. The company's primary deposit products include demand deposits, NOW accounts, money market accounts, and savings accounts, as well as time deposit products. Its loan products comprise residential real estate loans, such as one- to four-family mortgage loans, home equity installment loans, and home equity lines of credit; commercial real estate loans that are secured primarily by improved properties, such as retail facilities, office buildings, and other non-residential buildings; construction loans to individuals to finance the construction of residential dwellings, as well as for the construction of commercial properties, including hotels, apartment buildings, housing developments, and owner-occupied properties used for businesses; commercial and industrial loans, and lines of credit; consumer loans consisting of indirect auto loans, secured and unsecured loans, and lines of credit; and other loans. In addition, the company conducts insurance agency activities by offering property and casualty, commercial liability, surety, and other insurance products. The company was founded in 1901 and is headquartered in Carmichaels, Pennsylvania.