Head-To-Head Contrast: First Business Financial Services (NASDAQ:FBIZ) versus Central Plains Bancshares (NASDAQ:CPBI)

Central Plains Bancshares (NASDAQ:CPBI) and First Business Financial Services (NASDAQ:FBIZ) are both small-cap finance companies, but which is the superior stock? We will compare the two companies based on the strength of their dividends, analyst recommendations, risk, profitability, institutional ownership, valuation and earnings.

Profitability

This table compares Central Plains Bancshares and First Business Financial Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Central Plains Bancshares	12.78%	4.39%	0.72%
First Business Financial Services	18.02%	15.05%	1.26%

Analyst Ratings

This is a summary of recent ratings for Central Plains Bancshares and First Business Financial Services, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Central Plains Bancshares	0	1	0	0	2.00
First Business Financial Services	0	0	4	0	3.00

First Business Financial Services has a consensus target price of $60.67, indicating a potential upside of 5.84%. Given First Business Financial Services’ stronger consensus rating and higher probable upside, analysts plainly believe First Business Financial Services is more favorable than Central Plains Bancshares.

Insider & Institutional Ownership

24.3% of Central Plains Bancshares shares are held by institutional investors. Comparatively, 60.1% of First Business Financial Services shares are held by institutional investors. 8.6% of Central Plains Bancshares shares are held by company insiders. Comparatively, 5.1% of First Business Financial Services shares are held by company insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Central Plains Bancshares and First Business Financial Services”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Central Plains Bancshares	$27.31 million	2.70	$3.65 million	$0.97	18.05
First Business Financial Services	$279.25 million	1.71	$50.32 million	$6.08	9.43

First Business Financial Services has higher revenue and earnings than Central Plains Bancshares. First Business Financial Services is trading at a lower price-to-earnings ratio than Central Plains Bancshares, indicating that it is currently the more affordable of the two stocks.

Risk and Volatility

Central Plains Bancshares has a beta of 0.13, meaning that its stock price is 87% less volatile than the S&P 500. Comparatively, First Business Financial Services has a beta of 0.76, meaning that its stock price is 24% less volatile than the S&P 500.

Summary

First Business Financial Services beats Central Plains Bancshares on 11 of the 14 factors compared between the two stocks.

About Central Plains Bancshares

Central Plains Bancshares, Inc. focuses on providing various banking products and services to retail customers, and small and medium-sized commercial customers in Nebraska, the United States. It offers checking accounts, savings accounts, and certificate of deposit accounts. The company also provides one- to four-family residential mortgage loans secured by properties, as well as commercial real estate loans, commercial and industrial loans, multi-family residential real estate loans, construction and land development loans, agricultural real estate and non-real estate loans, and consumer loans. In addition, it offers electronic banking services, including mobile banking, on-line banking and bill pay, and electronic funds transfer. The company was incorporated in 2023 and is based in Grand Island, Nebraska.

About First Business Financial Services

First Business Financial Services, Inc. operates as the bank holding company for First Business Bank that provides commercial banking products and services for small and medium-sized businesses, business owners, executives, professionals, and high net worth individuals in Wisconsin, Kansas, and Missouri. The company offers real estate lending, commercial and industrial lending, asset-based lending, accounts receivable financing, equipment financing loans and leases, floorplan financing, vendor financing, small business administration lending and servicing, treasury management solutions, and company retirement services. It also provides private wealth management for individuals, including creating and executing asset allocation strategies, trust and estate administration, financial planning, investment management, and access to brokerage and custody-only services. In addition, the company offers bank consulting consisting of investment portfolio administrative and asset liability management services, and commercial deposit accounts. The company was founded in 1909 and is headquartered in Madison, Wisconsin.