Home BancShares (NASDAQ: HOMB) is one of 205 publicly-traded companies in the “Commercial Banks” industry, but how does it compare to its peers? We will compare Home BancShares to related businesses based on the strength of its risk, valuation, profitability, institutional ownership, earnings, dividends and analyst recommendations.

Volatility & Risk

Home BancShares has a beta of 1.17, suggesting that its share price is 17% more volatile than the S&P 500. Comparatively, Home BancShares’ peers have a beta of 0.75, suggesting that their average share price is 25% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and recommmendations for Home BancShares and its peers, as provided by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Home BancShares 0 5 2 0 2.29
Home BancShares Competitors 355 2833 2303 66 2.37

As a group, “Commercial Banks” companies have a potential upside of 1.84%. Given Home BancShares’ higher possible upside, analysts clearly believe Home BancShares is more favorable than its peers.

Earnings & Valuation

This table compares Home BancShares and its peers top-line revenue, earnings per share and valuation.

Gross Revenue NetIncome Price/Earnings Ratio
Home BancShares $523.59 million $177.14 million 19.75
Home BancShares Competitors $343.33 million $72.29 million 20.68

Home BancShares has higher revenue and earnings than its peers. Home BancShares is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Dividends

Home BancShares pays an annual dividend of $0.44 per share and has a dividend yield of 2.0%. Home BancShares pays out 38.9% of its earnings in the form of a dividend. As a group, “Commercial Banks” companies pay a dividend yield of 1.8% and pay out 34.2% of their earnings in the form of a dividend.

Profitability

This table compares Home BancShares and its peers’ net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Home BancShares 28.19% 12.00% 1.70%
Home BancShares Competitors 20.57% 8.78% 0.93%

Insider and Institutional Ownership

49.9% of Home BancShares shares are held by institutional investors. Comparatively, 46.5% of shares of all “Commercial Banks” companies are held by institutional investors. 11.3% of Home BancShares shares are held by company insiders. Comparatively, 11.7% of shares of all “Commercial Banks” companies are held by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Summary

Home BancShares beats its peers on 9 of the 15 factors compared.

About Home BancShares

Home BancShares, Inc. is a bank holding company. The Company is engaged in providing a range of commercial and retail banking, and related financial services to businesses, real estate developers and investors, individuals and municipalities through its community bank subsidiary, Centennial Bank (the Bank). It operates through community banking segment. It offers a range of products and services, including Internet banking, mobile banking and voice response information, cash management, overdraft protection, direct deposit, safe deposit boxes, the United States savings bonds and automatic account transfers. The Bank has locations in Arkansas, Florida, South Alabama and New York City. As of September 26, 2017, the Company conducted business principally through 76 branches in Arkansas, 89 branches in Florida, six branches in Alabama and one branch in New York City. It originates loans secured by single and multi-family real estate, residential construction and commercial buildings.

Receive News & Ratings for Home BancShares Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Home BancShares Inc. and related companies with MarketBeat.com's FREE daily email newsletter.