Head to Head Analysis: Third Coast Bancshares (NASDAQ:TCBX) and Thomasville Bancshares (OTCMKTS:THVB)

Thomasville Bancshares (OTCMKTS:THVB) and Third Coast Bancshares (NASDAQ:TCBX) are both small-cap finance companies, but which is the better business? We will contrast the two businesses based on the strength of their valuation, dividends, profitability, earnings, institutional ownership, risk and analyst recommendations.

Analyst Ratings

This is a summary of current ratings and target prices for Thomasville Bancshares and Third Coast Bancshares, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Thomasville Bancshares	0	0	0	0	0.00
Third Coast Bancshares	0	2	2	1	2.80

Third Coast Bancshares has a consensus price target of $45.50, indicating a potential upside of 12.09%. Given Third Coast Bancshares’ stronger consensus rating and higher probable upside, analysts plainly believe Third Coast Bancshares is more favorable than Thomasville Bancshares.

Institutional & Insider Ownership

36.9% of Third Coast Bancshares shares are held by institutional investors. 10.3% of Third Coast Bancshares shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Thomasville Bancshares and Third Coast Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Thomasville Bancshares	N/A	N/A	N/A
Third Coast Bancshares	16.30%	12.05%	1.17%

Risk and Volatility

Thomasville Bancshares has a beta of 0.19, meaning that its share price is 81% less volatile than the S&P 500. Comparatively, Third Coast Bancshares has a beta of 0.37, meaning that its share price is 63% less volatile than the S&P 500.

Dividends

Thomasville Bancshares pays an annual dividend of $2.90 per share and has a dividend yield of 2.9%. Third Coast Bancshares pays an annual dividend of $16.87 per share and has a dividend yield of 41.6%. Thomasville Bancshares pays out 42.3% of its earnings in the form of a dividend. Third Coast Bancshares pays out 445.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future.

Earnings & Valuation

This table compares Thomasville Bancshares and Third Coast Bancshares”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Thomasville Bancshares	$137.59 million	4.55	$39.27 million	$6.85	14.42
Third Coast Bancshares	$207.74 million	2.71	$47.67 million	$3.79	10.71

Third Coast Bancshares has higher revenue and earnings than Thomasville Bancshares. Third Coast Bancshares is trading at a lower price-to-earnings ratio than Thomasville Bancshares, indicating that it is currently the more affordable of the two stocks.

Summary

Third Coast Bancshares beats Thomasville Bancshares on 13 of the 17 factors compared between the two stocks.

About Thomasville Bancshares

Thomasville Bancshares, Inc. operates as the bank holding company for Thomasville National Bank that provides a range of banking services to individual and corporate customers primarily in Thomas and Glynn counties, Georgia, Leon County, Florida, and the surrounding counties. The company offers checking and savings accounts; money market accounts; and certificates of deposits. It also provides commercial real estate mortgage loans, such as non-farm and non-residential commercial real estate loans, construction loans for commercial businesses, multifamily loans secured by income producing properties, and farmland; and 1-4 family residential loans, including first mortgage liens, junior liens, and home equity lines. In addition, the company offers commercial, financial, and agricultural loans; consumer loans comprising direct consumer instalment loans, overdrafts, and other revolving credit loans and educational loans; and loans to municipalities and development authorities. Further, it provides trust and money management services. The company was incorporated in 1995 and is based in Thomasville, Georgia.

About Third Coast Bancshares

Third Coast Bancshares, Inc. operates as a bank holding company for Third Coast Bank, SSB that provides various commercial banking solutions to small and medium-sized businesses, and professionals. The company's deposit products include checking, savings, individual retirement, and money market accounts, as well as certificates of deposit. It also offers commercial and industrial loans, equipment loans, working capital lines of credit, guaranteed loans, auto finance, letters of credit, commercial and residential real estate, and construction, development, and other loans. In addition, the company provides retail and commercial online banking platforms, mobile banking apps, mortgage, treasury management solutions, merchant card services, and customer digital solutions, as well as debit and credit cards. Third Coast Bancshares, Inc. was founded in 2008 and is headquartered in Humble, Texas.