Coastal Financial (NASDAQ:CCB) and TriCo Bancshares (NASDAQ:TCBK) Head-To-Head Analysis

Coastal Financial (NASDAQ:CCB) and TriCo Bancshares (NASDAQ:TCBK) are both small-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their analyst recommendations, profitability, dividends, earnings, valuation, institutional ownership and risk.

Volatility and Risk

Coastal Financial has a beta of 0.76, indicating that its stock price is 24% less volatile than the S&P 500. Comparatively, TriCo Bancshares has a beta of 0.61, indicating that its stock price is 39% less volatile than the S&P 500.

Insider & Institutional Ownership

59.2% of Coastal Financial shares are owned by institutional investors. Comparatively, 59.1% of TriCo Bancshares shares are owned by institutional investors. 13.5% of Coastal Financial shares are owned by company insiders. Comparatively, 4.9% of TriCo Bancshares shares are owned by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares Coastal Financial and TriCo Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Coastal Financial	7.35%	10.20%	1.01%
TriCo Bancshares	23.71%	9.87%	1.30%

Analyst Ratings

This is a summary of recent ratings and recommmendations for Coastal Financial and TriCo Bancshares, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Coastal Financial	1	1	4	0	2.50
TriCo Bancshares	0	2	4	1	2.86

Coastal Financial currently has a consensus price target of $122.60, indicating a potential upside of 73.75%. TriCo Bancshares has a consensus price target of $54.60, indicating a potential upside of 8.59%. Given Coastal Financial’s higher possible upside, equities analysts plainly believe Coastal Financial is more favorable than TriCo Bancshares.

Earnings & Valuation

This table compares Coastal Financial and TriCo Bancshares”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Coastal Financial	$661.22 million	1.63	$46.99 million	$3.19	22.12
TriCo Bancshares	$538.91 million	2.98	$121.56 million	$3.95	12.73

TriCo Bancshares has lower revenue, but higher earnings than Coastal Financial. TriCo Bancshares is trading at a lower price-to-earnings ratio than Coastal Financial, indicating that it is currently the more affordable of the two stocks.

About Coastal Financial

Coastal Financial Corporation operates as the bank holding company for Coastal Community Bank that provides various banking products and services to small and medium-sized businesses, professionals, and individuals in the Puget Sound region in Washington. It accepts a range of deposit products, including demand and savings accounts, time deposits, and money market accounts. The company also offers commercial and industrial loans, such as term loans, commercial lines of credit, capital call lines working capital loans, equipment financing, borrowing base loans, small business administration loans, and other loan products; owner and non-owner-occupied real estate loans, and multi-family residential loans; construction, land, and land development loans; residential real estate loans; and consumer and other loans, including automobile, boat and recreational vehicle, and secured term loans, as well as personal lines of credit, including overdraft protection. In addition, it provides remote deposit capture, online and mobile banking, and direct and reciprocal deposit services; and debit cards. Further, the company offers business accounts and cash management services, including business checking and savings accounts, and treasury services, as well as Banking as a Service (BaaS), a platform that allows broker dealers and digital financial service providers to offer their customers banking services. Coastal Financial Corporation was founded in 1997 and is headquartered in Everett, Washington.

About TriCo Bancshares

TriCo Bancshares operates as a bank holding company for Tri Counties Bank that provides commercial banking services to individual and corporate customers. The company accepts demand, savings, and time deposits. It also provides small business loans; real estate mortgage loans, such as residential and commercial loans; consumer loans; mortgage, auto, other vehicle, and personal loans; commercial loans, including agricultural loans; and real estate construction loans. In addition, the company offers treasury management services; credit and debit cards; and other customary banking services, including safe deposit boxes; and independent financial and broker-dealer services. Further, it provides checking, saving, and money market accounts, as well as individual retirement accounts; equipment financing; certificate of deposit account registry service; certificated of deposit; and IntraFi cash service. TriCo Bancshares was founded in 1975 and is headquartered in Chico, California.