First NBC Bank (OTCMKTS:FNBCQ) vs. Customers Bancorp (NYSE:CUBI) Financial Review

First NBC Bank (OTCMKTS:FNBCQ) and Customers Bancorp (NYSE:CUBI) are both finance companies, but which is the better business? We will compare the two businesses based on the strength of their earnings, institutional ownership, dividends, risk, profitability, analyst recommendations and valuation.

Analyst Ratings

This is a summary of recent ratings for First NBC Bank and Customers Bancorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First NBC Bank	0	0	0	0	0.00
Customers Bancorp	0	5	6	1	2.67

Customers Bancorp has a consensus price target of $87.50, indicating a potential upside of 16.42%. Given Customers Bancorp’s stronger consensus rating and higher possible upside, analysts clearly believe Customers Bancorp is more favorable than First NBC Bank.

Insider and Institutional Ownership

89.3% of Customers Bancorp shares are owned by institutional investors. 8.4% of First NBC Bank shares are owned by insiders. Comparatively, 10.5% of Customers Bancorp shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings and Valuation

This table compares First NBC Bank and Customers Bancorp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First NBC Bank	N/A	N/A	N/A	N/A	N/A
Customers Bancorp	$1.48 billion	1.72	$224.09 million	$7.88	9.54

Customers Bancorp has higher revenue and earnings than First NBC Bank.

Profitability

This table compares First NBC Bank and Customers Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First NBC Bank	N/A	N/A	N/A
Customers Bancorp	18.63%	14.12%	1.17%

Summary

Customers Bancorp beats First NBC Bank on 10 of the 10 factors compared between the two stocks.

About First NBC Bank

First NBC Bank Holding Company operates as the bank holding company for First NBC Bank that provides a range of financial services for businesses, institutions, and individuals. The company's deposit products include savings deposits, money market accounts, negotiable order of withdrawal accounts, and certificates of deposit. Its loan portfolio comprises construction, commercial and consumer real estate, commercial and industrial, and consumer loans. The company also offers trust services, credit cards, and wire transfers. As of August 15, 2016, it operated 39 full service banking offices in New Orleans metropolitan area, Mississippi Gulf Coast, and the Florida panhandle. First NBC Bank Holding Company was founded in 2006 and is headquartered in New Orleans, Louisiana. On May 11, 2017, First NBC Bank Holding Company filed a voluntary petition for reorganization under Chapter 11 in the US Bankruptcy Court for the Eastern District of Louisiana. First NBC Bank Holding Company operates as a subsidiary of First NMTC 2, LLC.

About Customers Bancorp

Customers Bancorp, Inc. operates as the bank holding company for Customers Bank that provides financial products and services to individual consumers, and small and middle market businesses. The company provides deposit banking products, which includes commercial and consumer checking, non-interest-bearing and interest-bearing demand, MMDA, savings, and time deposit accounts. Its lending business offers commercial and industrial, commercial real estate, and multifamily and residential mortgage loans; SBA lending and financing; specialty lending includes fund finance, real estate specialty finance, technology and venture, and healthcare and financial institutions group; commercial loans to mortgage companies, and commercial equipment financing; and fund finance, such as variable rate loans secured by collateral pools to private debt funds; and cash management services. In addition, the company provides digital banking including Banking-as-a-Service to fintech companies, payments and treasury services to businesses, and consumer loans through fintech companies and the TassatPay, a blockchain-based instant B2B payments platform which offers instant payments including over-the-counter desks, exchanges, liquidity providers, market makers, funds, and other B2B verticals. Further, it offers mobile phone and internet banking, wire transfers, electronic bill payment, lock box, remote deposit capture, courier, merchant processing, cash vault, controlled disbursements, positive pay, and cash management services, such as account reconciliation, collections, and sweep accounts. The company was incorporated in 2010 and is headquartered in West Reading, Pennsylvania.