Contrasting Columbia Banking System (NASDAQ:COLB) and First National of Nebraska (OTCMKTS:FINN)

Columbia Banking System (NASDAQ:COLB) and First National of Nebraska (OTCMKTS:FINN) are both mid-cap finance companies, but which is the better stock? We will compare the two companies based on the strength of their risk, dividends, institutional ownership, earnings, analyst recommendations, profitability and valuation.

Institutional and Insider Ownership

92.5% of Columbia Banking System shares are owned by institutional investors. Comparatively, 0.7% of First National of Nebraska shares are owned by institutional investors. 0.6% of Columbia Banking System shares are owned by insiders. Comparatively, 41.7% of First National of Nebraska shares are owned by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of current ratings for Columbia Banking System and First National of Nebraska, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Columbia Banking System	0	9	4	1	2.43
First National of Nebraska	0	0	0	0	0.00

Columbia Banking System currently has a consensus price target of $32.13, indicating a potential upside of 10.78%. Given Columbia Banking System’s stronger consensus rating and higher probable upside, research analysts plainly believe Columbia Banking System is more favorable than First National of Nebraska.

Risk and Volatility

Columbia Banking System has a beta of 0.63, suggesting that its share price is 37% less volatile than the S&P 500. Comparatively, First National of Nebraska has a beta of 0.18, suggesting that its share price is 82% less volatile than the S&P 500.

Earnings & Valuation

This table compares Columbia Banking System and First National of Nebraska”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Columbia Banking System	$3.21 billion	2.61	$550.00 million	$2.51	11.55
First National of Nebraska	$3.35 billion	1.43	$532.96 million	N/A	N/A

Columbia Banking System has higher earnings, but lower revenue than First National of Nebraska.

Profitability

This table compares Columbia Banking System and First National of Nebraska’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Columbia Banking System	19.28%	11.41%	1.30%
First National of Nebraska	N/A	N/A	N/A

Dividends

Columbia Banking System pays an annual dividend of $1.48 per share and has a dividend yield of 5.1%. First National of Nebraska pays an annual dividend of $160.00 per share and has a dividend yield of 0.9%. Columbia Banking System pays out 59.0% of its earnings in the form of a dividend. Columbia Banking System has increased its dividend for 4 consecutive years. Columbia Banking System is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Summary

Columbia Banking System beats First National of Nebraska on 13 of the 16 factors compared between the two stocks.

About Columbia Banking System

Columbia Banking System, Inc. operates as the holding company of Umpqua Bank that provides banking, private banking, mortgage, and other financial services in the United States. The company offers deposit products, including business, non-interest bearing checking, interest-bearing checking and savings, money market, and certificate of deposit accounts; and insured cash sweep and other investment sweep solutions. It also provides commercial lending products, such as commercial lines of credit and term loans, accounts receivable and inventory financing, international trade finance, commercial property loans, multifamily loans, equipment loans, commercial equipment leases, real estate construction loans and permanent financing, and small business administration program financing, as well as capital markets. In addition, the company offers wealth management comprising financial planning, investment, trust, and insurance; treasury management, which includes digital and mobile banking solutions, ACH, wires, positive pay, remote deposit capture, integrated payments, integrated receivables, lockbox, cash vault, real-time payments, commercial card, and foreign exchange and international banking related products, as well as merchant services; and brokerage services, residential real estate loans and consumer loans. It serves its products to corporate, institutional, small business, and individual customers. The company was founded in 1953 and is headquartered in Tacoma, Washington.

About First National of Nebraska

First National of Nebraska, Inc. operates as the bank holding company for First National Bank of Omaha that provides various banking products and services. The company offers checking, savings, and individual retirement accounts; certificates of deposit; and credit cards. It also provides personal loans and lines of credit; auto loans; mortgage loans; home equity lines of credit and loans; small business loans and lines of credit; small business administration loans; and commercial lending solutions. In addition, the company offers treasury management, debt consolidation, financial planning, retirement planning, wealth management, merchant, and payroll services; and personal, commercial, and farm insurance products. Further, it provides solutions for agribusiness, commercial real estate, healthcare, transportation, and correspondent banking; investment services, such as capital market and institutional asset management; and digital banking services. First National of Nebraska, Inc. was founded in 1857 and is headquartered in Omaha, Nebraska.