Comparing Fifth District Bancorp (NASDAQ:FDSB) & Prime Meridian (OTCMKTS:PMHG)

Prime Meridian (OTCMKTS:PMHGGet Free Report) and Fifth District Bancorp (NASDAQ:FDSBGet Free Report) are both small-cap finance companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, earnings, profitability, analyst recommendations, risk, institutional ownership and valuation.

Insider & Institutional Ownership

11.8% of Prime Meridian shares are owned by institutional investors. 25.9% of Prime Meridian shares are owned by insiders. Comparatively, 4.5% of Fifth District Bancorp shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Risk and Volatility

Prime Meridian has a beta of 0.06, meaning that its share price is 94% less volatile than the S&P 500. Comparatively, Fifth District Bancorp has a beta of 0.44, meaning that its share price is 56% less volatile than the S&P 500.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Prime Meridian and Fifth District Bancorp, as provided by MarketBeat.com.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Prime Meridian 0 0 0 0 0.00
Fifth District Bancorp 1 0 0 0 1.00

Valuation & Earnings

This table compares Prime Meridian and Fifth District Bancorp”s gross revenue, earnings per share (EPS) and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Prime Meridian $50.36 million 3.78 $8.49 million $2.48 22.58
Fifth District Bancorp $16.87 million 4.94 -$1.08 million $0.73 20.66

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

Profitability

This table compares Prime Meridian and Fifth District Bancorp’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Prime Meridian 15.49% 9.13% 0.87%
Fifth District Bancorp 14.27% 2.88% 0.69%

Summary

Prime Meridian beats Fifth District Bancorp on 9 of the 12 factors compared between the two stocks.

About Prime Meridian

(Get Free Report)

Prime Meridian Holding Company operates as the bank holding company for Prime Meridian Bank that provides various consumer and commercial banking services to individuals and businesses. The company accepts various deposits, such as checking, money market, savings, term certificate of deposit, demand interest-bearing and noninterest-bearing, health savings, NOW, and escrow accounts, as well as retirement savings plans and time deposits. Its loan products include commercial real estate, residential real estate and home equity, small business administration, construction, equipment, and commercial loans; and consumer and other loans comprising financing of automobiles, boats, and recreational vehicles, as well as issues standby letters and business lines of credit. The company also offers debit and credit cards; mobile banking, remote and mobile deposit, Apple Pay, bank-to-bank transfer, and online banking services; and safe deposit, wire transfer, foreign exchange, direct deposits, notary, night depository, official checks, domestic collections, bank drafts, automated teller services, drive-in tellers, merchant card, and banking by mail services, as well as invests in securities. Prime Meridian Holding Company was founded in 2008 and is headquartered in Tallahassee, Florida.

About Fifth District Bancorp

(Get Free Report)

Fifth District Bancorp, Inc. is the holding company for Fifth District Savings Bank which provide all banking services. Fifth District Bancorp, Inc. is based in NEW ORLEANS.

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