Eagle Bancorp (NASDAQ:EGBN) vs. Orange County Bancorp (NASDAQ:OBT) Head to Head Survey

Eagle Bancorp (NASDAQ:EGBN) and Orange County Bancorp (NASDAQ:OBT) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their profitability, valuation, risk, dividends, earnings, analyst recommendations and institutional ownership.

Analyst Recommendations

This is a breakdown of current recommendations for Eagle Bancorp and Orange County Bancorp, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eagle Bancorp	1	2	0	1	2.25
Orange County Bancorp	0	1	3	0	2.75

Eagle Bancorp presently has a consensus target price of $28.67, indicating a potential upside of 0.44%. Orange County Bancorp has a consensus target price of $37.00, indicating a potential upside of 0.74%. Given Orange County Bancorp’s stronger consensus rating and higher possible upside, analysts clearly believe Orange County Bancorp is more favorable than Eagle Bancorp.

Institutional and Insider Ownership

78.0% of Eagle Bancorp shares are owned by institutional investors. Comparatively, 42.6% of Orange County Bancorp shares are owned by institutional investors. 3.4% of Eagle Bancorp shares are owned by insiders. Comparatively, 8.2% of Orange County Bancorp shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Risk & Volatility

Eagle Bancorp has a beta of 0.97, meaning that its share price is 3% less volatile than the S&P 500. Comparatively, Orange County Bancorp has a beta of 0.42, meaning that its share price is 58% less volatile than the S&P 500.

Valuation and Earnings

This table compares Eagle Bancorp and Orange County Bancorp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eagle Bancorp	$634.26 million	1.37	-$138.05 million	($3.79)	-7.53
Orange County Bancorp	$158.13 million	3.11	$41.61 million	$3.40	10.80

Orange County Bancorp has lower revenue, but higher earnings than Eagle Bancorp. Eagle Bancorp is trading at a lower price-to-earnings ratio than Orange County Bancorp, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Eagle Bancorp and Orange County Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eagle Bancorp	-18.65%	-10.03%	-1.10%
Orange County Bancorp	27.54%	16.09%	1.67%

Dividends

Eagle Bancorp pays an annual dividend of $0.04 per share and has a dividend yield of 0.1%. Orange County Bancorp pays an annual dividend of $0.72 per share and has a dividend yield of 2.0%. Eagle Bancorp pays out -1.1% of its earnings in the form of a dividend. Orange County Bancorp pays out 21.2% 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.

Summary

Orange County Bancorp beats Eagle Bancorp on 12 of the 17 factors compared between the two stocks.

About Eagle Bancorp

Eagle Bancorp, Inc. operates as the bank holding company for EagleBank that provides commercial and consumer banking services primarily in the United States. The company also offers various commercial and consumer lending products comprising commercial loans for working capital, equipment purchases, real estate lines of credit, and government contract financing; asset based lending and accounts receivable financing; construction and commercial real estate loans; business equipment financing; consumer home equity lines of credit, personal lines of credit, and term loans; consumer installment loans, such as auto and personal loans; personal credit cards; and residential mortgage loans. In addition, it provides online and mobile banking services; checking and saving accounts; and other deposit services, including cash management services, business sweep accounts, lock boxes, remote deposit captures, account reconciliation services, merchant card services, safety deposit boxes, and automated clearing house origination, as well as after-hours depositories and ATM services. Further, the company offers insurance products and services through a referral program; and treasury management services. The company serves sole proprietors, small and medium-sized businesses, partnerships, corporations, and non-profit organizations and associations, as well as investors. Eagle Bancorp, Inc. was incorporated in 1997 and is headquartered in Bethesda, Maryland.

About Orange County Bancorp

Orange County Bancorp, Inc., through its subsidiaries, provides commercial and consumer banking products and services, and trust and wealth management services to small businesses, middle-market enterprises, local municipal governments, and individuals. It accepts various deposits, including interest-bearing and noninterest-bearing demand accounts, money market deposit accounts, savings accounts, and certificates of deposit. The company also offers commercial real estate loans, commercial and industrial loans, commercial real estate construction loans, residential real estate loans, home equity loans, and consumer loans. In addition, it provides traditional trust and administration, asset management, financial planning, and wealth management services. The company operates full-service branches and loan production office in Orange, Westchester, Rockland, and Bronx counties in New York. Orange County Bancorp, Inc. was founded in 1892 and is headquartered in Middletown, New York.