Comparing WaFd (NASDAQ:WAFD) & Capital City Bank Group (NASDAQ:CCBG)

Capital City Bank Group (NASDAQ:CCBG) and WaFd (NASDAQ:WAFD) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their dividends, risk, earnings, valuation, analyst recommendations, institutional ownership and profitability.

Risk and Volatility

Capital City Bank Group has a beta of 0.32, indicating that its stock price is 68% less volatile than the S&P 500. Comparatively, WaFd has a beta of 0.83, indicating that its stock price is 17% less volatile than the S&P 500.

Insider & Institutional Ownership

44.6% of Capital City Bank Group shares are owned by institutional investors. Comparatively, 83.7% of WaFd shares are owned by institutional investors. 19.8% of Capital City Bank Group shares are owned by company insiders. Comparatively, 1.5% of WaFd shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares Capital City Bank Group and WaFd”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Capital City Bank Group	$286.74 million	2.88	$61.56 million	$3.60	13.42
WaFd	$1.41 billion	1.57	$226.07 million	$3.17	9.44

WaFd has higher revenue and earnings than Capital City Bank Group. WaFd is trading at a lower price-to-earnings ratio than Capital City Bank Group, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Capital City Bank Group and WaFd’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Capital City Bank Group	21.37%	11.11%	1.40%
WaFd	18.47%	8.98%	0.89%

Analyst Ratings

This is a summary of recent recommendations for Capital City Bank Group and WaFd, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Capital City Bank Group	0	3	1	0	2.25
WaFd	0	4	1	0	2.20

Capital City Bank Group presently has a consensus price target of $51.75, suggesting a potential upside of 7.08%. WaFd has a consensus price target of $36.25, suggesting a potential upside of 21.12%. Given WaFd’s higher probable upside, analysts plainly believe WaFd is more favorable than Capital City Bank Group.

Dividends

Capital City Bank Group pays an annual dividend of $1.08 per share and has a dividend yield of 2.2%. WaFd pays an annual dividend of $1.08 per share and has a dividend yield of 3.6%. Capital City Bank Group pays out 30.0% of its earnings in the form of a dividend. WaFd pays out 34.1% 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. Capital City Bank Group has increased its dividend for 11 consecutive years and WaFd has increased its dividend for 2 consecutive years.

Summary

Capital City Bank Group beats WaFd on 10 of the 16 factors compared between the two stocks.

About Capital City Bank Group

Capital City Bank Group, Inc. operates as the financial holding company for Capital City Bank that provides a range of banking- related services to individual and corporate clients. The company offers financing for commercial business properties, equipment, inventories, and accounts receivable, as well as commercial leasing and letters of credit; treasury management services; and merchant credit card transaction processing services. It also provides commercial and residential real estate lending products, as well as fixed and adjustable-rate residential mortgage loans; personal, automobile, boat/RV, and home equity loans; and credit card programs. In addition, the company offers institutional banking services, including customized checking and savings accounts, cash management systems, tax-exempt loans, lines of credit, and term loans to meet the needs of state and local governments, public schools and colleges, charities, membership, and not-for-profit associations. Further, it provides consumer banking services comprising checking accounts, savings programs, interactive/automated teller machines, debit/credit cards, night deposit services, safe deposit facilities, and online and mobile banking services. Additionally, the company provides asset management for individuals through agency, personal trust, IRA, and personal investment management accounts; and various retail securities products, such as the U.S. government bonds, tax-free municipal bonds, stocks, mutual funds, unit investment trusts, annuities, life insurance, and long-term health care, as well as business, estate, financial, insurance and business planning, tax planning, and asset protection advisory services. Capital City Bank Group, Inc. was founded in 1895 and is headquartered in Tallahassee, Florida.

About WaFd

WaFd, Inc operates as the bank holding company for Washington Federal Bank that provides lending, depository, insurance, and other banking services in the United States. The company offers deposit products, including business and personal checking accounts, and term certificates of deposit, as well as money market accounts and passbook savings accounts. It also provides single-family dwellings, construction, land acquisition and development, consumer lot, multi-family residential, commercial real estate, home equity, business, and consumer loans, as well as commercial and industrial loans. In addition, the company offers insurance brokerage services, such as individual and business insurance policies; holds and markets real estate properties; and debit and credit cards, as well as acts as the trustee. It serves consumers, mid-sized and large businesses, and owners and developers of commercial real estate. The company was formerly known as Washington Federal, Inc. and changed its name to WaFd, Inc in September 2023. WaFd, Inc was founded in 1917 and is headquartered in Seattle, Washington.