Flagstar Bank, National Association (NYSE:FLG) & Fidelity D&D Bancorp (NASDAQ:FDBC) Head to Head Review

Flagstar Bank, National Association (NYSE:FLG) and Fidelity D&D Bancorp (NASDAQ:FDBC) are both finance companies, but which is the superior investment? We will contrast the two businesses based on the strength of their institutional ownership, dividends, analyst recommendations, risk, profitability, valuation and earnings.

Risk & Volatility

Flagstar Bank, National Association has a beta of 1.02, suggesting that its share price is 2% more volatile than the S&P 500. Comparatively, Fidelity D&D Bancorp has a beta of 0.85, suggesting that its share price is 15% less volatile than the S&P 500.

Earnings and Valuation

This table compares Flagstar Bank, National Association and Fidelity D&D Bancorp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Flagstar Bank, National Association	$4.81 billion	1.30	-$177.00 million	($0.22)	-67.93
Fidelity D&D Bancorp	$140.40 million	2.07	$28.20 million	$5.12	9.76

Fidelity D&D Bancorp has lower revenue, but higher earnings than Flagstar Bank, National Association. Flagstar Bank, National Association is trading at a lower price-to-earnings ratio than Fidelity D&D Bancorp, indicating that it is currently the more affordable of the two stocks.

Dividends

Flagstar Bank, National Association pays an annual dividend of $0.04 per share and has a dividend yield of 0.3%. Fidelity D&D Bancorp pays an annual dividend of $1.72 per share and has a dividend yield of 3.4%. Flagstar Bank, National Association pays out -18.2% of its earnings in the form of a dividend. Fidelity D&D Bancorp pays out 33.6% 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. Fidelity D&D Bancorp has increased its dividend for 10 consecutive years. Fidelity D&D Bancorp is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Flagstar Bank, National Association and Fidelity D&D Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Flagstar Bank, National Association	-1.22%	-0.11%	-0.01%
Fidelity D&D Bancorp	20.78%	12.75%	1.07%

Insider & Institutional Ownership

67.9% of Flagstar Bank, National Association shares are held by institutional investors. Comparatively, 20.1% of Fidelity D&D Bancorp shares are held by institutional investors. 21.4% of Flagstar Bank, National Association shares are held by company insiders. Comparatively, 20.7% of Fidelity D&D Bancorp shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent recommendations and price targets for Flagstar Bank, National Association and Fidelity D&D Bancorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Flagstar Bank, National Association	1	5	7	0	2.46
Fidelity D&D Bancorp	0	1	0	0	2.00

Flagstar Bank, National Association presently has a consensus target price of $15.67, suggesting a potential upside of 4.83%. Given Flagstar Bank, National Association’s stronger consensus rating and higher probable upside, equities analysts clearly believe Flagstar Bank, National Association is more favorable than Fidelity D&D Bancorp.

Summary

Fidelity D&D Bancorp beats Flagstar Bank, National Association on 9 of the 17 factors compared between the two stocks.

About Flagstar Bank, National Association

Flagstar Financial, Inc. operates as the bank holding company for Flagstar Bank, N.A. that provides banking products and services in the United States. The company’s deposit products include interest-bearing checking and money market, savings, non-interest-bearing, and retirement accounts, as well as certificates of deposit. Its loan products comprise multi-family loans; commercial real estate loans; acquisition, development, and construction loans; commercial and industrial loans; one-to-four family loans; specialty finance loans and leases; warehouse loans; and other loans, such as home equity lines of credit, boat and recreational vehicle indirect lending, point of sale consumer loans, and other consumer loans, including overdraft loans. The company offers cash management products; non-deposit investment and insurance products; and online banking, mobile banking, and bank-by-phone services. It primarily serves individuals, small and mid-size businesses, and professional associations. The company was formerly known as New York Community Bancorp, Inc. and changed its name to Flagstar Financial, Inc. in October 2024. Flagstar Financial, Inc. was founded in 1859 and is headquartered in Hicksville, New York.

About Fidelity D&D Bancorp

Fidelity D&D Bancorp, Inc. is a holding company, which engages in the provision of commercial banking services. It operates through the following segments: Commercial and Industrial, Commercial Real Estate, Consumer, and Residential Real Estate. The Commercial and Industrial segment refers to identified historic and/or the projected cash flows of the borrower and secondarily to the underlying collateral provided by the borrower. The Commercial Real Estate segment offers finances purchase of real estate, refinance existing obligations, and/or to provide capital. The Consumer segment includes home equity installment loans and lines of credit. The Residential Real Estate segment operates as a secured first lien position of the borrower’s residential real estate. The company was founded in 1902 and is headquartered in Dunmore, PA.