Financial Survey: Northrim BanCorp (NASDAQ:NRIM) vs. Glacier Bancorp (NYSE:GBCI)

Northrim BanCorp (NASDAQ:NRIM) and Glacier Bancorp (NYSE:GBCI) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their profitability, dividends, institutional ownership, risk, earnings, valuation and analyst recommendations.

Volatility and Risk

Northrim BanCorp has a beta of 0.94, meaning that its stock price is 6% less volatile than the S&P 500. Comparatively, Glacier Bancorp has a beta of 0.79, meaning that its stock price is 21% less volatile than the S&P 500.

Profitability

This table compares Northrim BanCorp and Glacier Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Northrim BanCorp	25.32%	18.12%	1.64%
Glacier Bancorp	17.52%	7.11%	0.85%

Analyst Recommendations

This is a summary of recent recommendations for Northrim BanCorp and Glacier Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Northrim BanCorp	0	0	2	0	3.00
Glacier Bancorp	0	1	0	1	3.00

Northrim BanCorp presently has a consensus price target of $33.00, indicating a potential upside of 49.32%. Given Northrim BanCorp’s higher probable upside, equities research analysts plainly believe Northrim BanCorp is more favorable than Glacier Bancorp.

Dividends

Northrim BanCorp pays an annual dividend of $0.64 per share and has a dividend yield of 2.9%. Glacier Bancorp pays an annual dividend of $1.32 per share and has a dividend yield of 3.3%. Northrim BanCorp pays out 22.8% of its earnings in the form of a dividend. Glacier Bancorp pays out 64.7% 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. Northrim BanCorp has increased its dividend for 16 consecutive years.

Valuation and Earnings

This table compares Northrim BanCorp and Glacier Bancorp”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Northrim BanCorp	$190.82 million	2.56	$36.97 million	$2.81	7.86
Glacier Bancorp	$940.55 million	5.07	$190.14 million	$2.04	19.74

Glacier Bancorp has higher revenue and earnings than Northrim BanCorp. Northrim BanCorp is trading at a lower price-to-earnings ratio than Glacier Bancorp, indicating that it is currently the more affordable of the two stocks.

Insider & Institutional Ownership

66.0% of Northrim BanCorp shares are held by institutional investors. Comparatively, 80.2% of Glacier Bancorp shares are held by institutional investors. 3.9% of Northrim BanCorp shares are held by company insiders. Comparatively, 0.5% of Glacier Bancorp shares are held 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.

Summary

Northrim BanCorp beats Glacier Bancorp on 10 of the 17 factors compared between the two stocks.

About Northrim BanCorp

Northrim BanCorp, Inc. operates as the bank holding company for Northrim Bank that provides commercial banking products and services to businesses and professional individuals. It operates through two segments, Community Banking and Home Mortgage Lending. The company offers noninterest-bearing checking accounts and interest-bearing time deposits, checking and savings accounts, individual retirement and money market deposit accounts, certificates of deposit, and business sweep accounts. It also provides short and medium-term commercial loans, commercial credit lines, construction and real estate loans, and consumer loans, as well as short-term working capital. In addition, the company offers other services comprising consumer and business online banking, mobile app, and mobile deposits; and debit and credit cards. Further, it provides mobile web and app banking, consumer online account opening, personal finance, online documents, consumer debit cards, business debit cards, my rewards for consumer debit cards, retail lockbox, card control, corporate purchase cards, integrated payables, home equity advantage access cards, telebanking, and automated teller services. Additionally, the company offers personalized checks at account opening, overdraft protection from a savings account, commercial drive-up banking, automatic transfer and payment, People Pay, external transfer, Bill Pay, wire transfer, direct payroll deposit, electronic tax payment, Automated Clearing House origination and receipt, remote deposit capture, account reconciliation and positive pay, merchant, cash management, annuity, and long-term investment portfolio products and services. It also provides investment advisory, trust, wealth management, factoring, and mortgage services. The company was founded in 1990 and is headquartered in Anchorage, Alaska.

About Glacier Bancorp

Glacier Bancorp, Inc. operates as the bank holding company for Glacier Bank that provides commercial banking services to individuals, small to medium-sized businesses, community organizations, and public entities in the United States. It offers non-interest bearing deposit and interest bearing deposit accounts, such as negotiable order of withdrawal and demand deposit accounts, savings accounts, money market deposit accounts, fixed rate certificates of deposit, negotiated-rate jumbo certificates, and individual retirement accounts. The company also provides construction and permanent loans on residential real estate; consumer land or lot acquisition loans; unimproved land and land development loans; and residential builder guidance lines comprising pre-sold and spec-home construction, and lot acquisition loans. In addition, it offers commercial real estate loans to purchase, construct, and finance commercial real estate properties; consumer loans secured by real estate, automobiles, or other assets; paycheck protection program loans; home equity loans consisting of junior lien mortgages, and first and junior lien lines of credit secured by owner-occupied 1-4 family residences; and agriculture loans. Further, the company provides mortgage origination and loan servicing services. It has 224 locations, including 188 branches and 36 loan or administration offices in 75 counties within 8 states comprising Montana, Idaho, Utah, Washington, Wyoming, Colorado, Arizona, and Nevada. The company was founded in 1955 and is headquartered in Kalispell, Montana.