Head to Head Contrast: IF Bancorp (NASDAQ:IROQ) & TrustCo Bank Corp NY (NASDAQ:TRST)

TrustCo Bank Corp NY (NASDAQ:TRST) and IF Bancorp (NASDAQ:IROQ) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their valuation, analyst recommendations, risk, dividends, earnings, institutional ownership and profitability.

Institutional and Insider Ownership

68.6% of TrustCo Bank Corp NY shares are owned by institutional investors. Comparatively, 44.1% of IF Bancorp shares are owned by institutional investors. 2.9% of TrustCo Bank Corp NY shares are owned by insiders. Comparatively, 12.6% of IF Bancorp shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Profitability

This table compares TrustCo Bank Corp NY and IF Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TrustCo Bank Corp NY	21.96%	8.86%	0.96%
IF Bancorp	10.80%	6.22%	0.60%

Earnings & Valuation

This table compares TrustCo Bank Corp NY and IF Bancorp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TrustCo Bank Corp NY	$278.36 million	2.74	$61.14 million	$3.25	13.25
IF Bancorp	$27.81 million	3.20	$4.30 million	$1.60	16.59

TrustCo Bank Corp NY has higher revenue and earnings than IF Bancorp. TrustCo Bank Corp NY is trading at a lower price-to-earnings ratio than IF Bancorp, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

TrustCo Bank Corp NY has a beta of 0.61, indicating that its stock price is 39% less volatile than the S&P 500. Comparatively, IF Bancorp has a beta of 0.17, indicating that its stock price is 83% less volatile than the S&P 500.

Dividends

TrustCo Bank Corp NY pays an annual dividend of $1.52 per share and has a dividend yield of 3.5%. IF Bancorp pays an annual dividend of $0.40 per share and has a dividend yield of 1.5%. TrustCo Bank Corp NY pays out 46.8% of its earnings in the form of a dividend. IF Bancorp pays out 25.0% 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.

Analyst Recommendations

This is a breakdown of current recommendations for TrustCo Bank Corp NY and IF Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TrustCo Bank Corp NY	0	0	1	0	3.00
IF Bancorp	0	0	1	0	3.00

Summary

TrustCo Bank Corp NY beats IF Bancorp on 9 of the 13 factors compared between the two stocks.

About TrustCo Bank Corp NY

TrustCo Bank Corp NY operates as the holding company for Trustco Bank, a federal savings bank that provides personal and business banking services to individuals and businesses. The company accepts deposits; and offers loans and investments. It also operates as a real estate investment trust that acquires, holds, and manages real estate mortgage assets, including residential mortgage loans and mortgage-backed securities. In addition, the company serves as the executor of estates and trustee of personal trusts; provides asset and wealth management, estate planning and related advice, and custodial services; and acts as trustee for various types of employee benefit plans, and corporate pension and profit-sharing trusts. It operates through banking offices in Albany, Columbia, Dutchess, Greene, Montgomery, Orange, Putnam, Rensselaer, Rockland, Saratoga, Schenectady, Schoharie, Ulster, Warren, Washington, and Westchester counties of New York; Brevard, Charlotte, Flagler, Hillsborough, Indian River, Lake, Manatee, Martin, Orange, Osceola, Palm Beach, Polk, Sarasota, Seminole, and Volusia counties in Florida; Bennington County in Vermont; Berkshire County in Massachusetts; and Bergen County in New Jersey, as well as automatic teller machines. The company was founded in 1902 and is headquartered in Glenville, New York.

About IF Bancorp

IF Bancorp, Inc. operates as the savings and loan holding company for Iroquois Federal Savings and Loan Association that provides a range of banking and financial services to individual and corporate clients. The company offers various deposit accounts, including savings accounts, certificates of deposit, money market accounts, commercial and personal checking accounts, individual retirement accounts, and health savings accounts. It provides loans comprising one- to four-family residential mortgage loans; multi-family mortgage loans; commercial real estate loans, such as farm loans; home equity lines of credit; commercial business loans; and consumer loans primarily comprising automobile loans, as well as construction loans and land development loans. In addition, the company sells property and casualty insurance, as well as offers annuities; mutual funds; individual and group retirement plans; life, disability, and health insurance; individual securities; managed accounts; and other financial services. IF Bancorp, Inc. invests in securities; and provides ATM, online banking and bill pay, mobile banking, ACH origination, remote deposit capture, and telephone banking services. The company was founded in 1883 and is headquartered in Watseka, Illinois.