Reviewing Oxford Bank (OTCMKTS:OXBC) & First Mid Bancshares (NASDAQ:FMBH)

Oxford Bank (OTCMKTS:OXBC) and First Mid Bancshares (NASDAQ:FMBH) are both small-cap finance companies, but which is the better stock? We will contrast the two businesses based on the strength of their analyst recommendations, valuation, dividends, risk, profitability, earnings and institutional ownership.

Risk & Volatility

Oxford Bank has a beta of 0.08, meaning that its share price is 92% less volatile than the S&P 500. Comparatively, First Mid Bancshares has a beta of 0.8, meaning that its share price is 20% less volatile than the S&P 500.

Insider & Institutional Ownership

4.5% of Oxford Bank shares are held by institutional investors. Comparatively, 47.6% of First Mid Bancshares shares are held by institutional investors. 6.0% of First Mid Bancshares shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

This is a breakdown of current ratings and recommmendations for Oxford Bank and First Mid Bancshares, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Oxford Bank	0	0	0	0	0.00
First Mid Bancshares	0	3	3	0	2.50

First Mid Bancshares has a consensus price target of $49.50, indicating a potential upside of 7.94%. Given First Mid Bancshares’ stronger consensus rating and higher probable upside, analysts plainly believe First Mid Bancshares is more favorable than Oxford Bank.

Earnings & Valuation

This table compares Oxford Bank and First Mid Bancshares”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Oxford Bank	$62.26 million	1.72	$10.96 million	$3.92	11.01
First Mid Bancshares	$466.04 million	2.62	$91.75 million	$3.97	11.55

First Mid Bancshares has higher revenue and earnings than Oxford Bank. Oxford Bank is trading at a lower price-to-earnings ratio than First Mid Bancshares, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Oxford Bank and First Mid Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Oxford Bank	15.06%	N/A	N/A
First Mid Bancshares	19.95%	10.44%	1.23%

Summary

First Mid Bancshares beats Oxford Bank on 14 of the 14 factors compared between the two stocks.

About Oxford Bank

Oxford Bank Corporation provides banking products and services to various customers in Michigan. Its deposit products include savings, checking, and individual retirement accounts, as well as certificates of deposit. The company's loan portfolio comprises home mortgage, home equity, auto, student, term, commercial real estate, and small business administration loans, as well as lines of credit. It also offers cash management, merchant card, remote deposit capture, payroll, overdraft protection, wire transfer, night depository, and notary services, as well as safe deposit box and interactive teller machine services; online, telephone, and mobile banking services; debit and credit cards; and insurance products. The company operates its branches in Clarkston, Davison, Dryden, Lake Orion, Ortonville, Oxford, and Oakland. Oxford Bank Corporation was founded in 1884 and is based in Oxford, Michigan.

About First Mid Bancshares

First Mid Bancshares, Inc., a financial holding company, provides community banking products and services to commercial, retail, and agricultural customers in the United States. It accepts various deposit products, such as demand deposits, savings accounts, money market deposits, and time deposits. The company’s loan products include commercial real estate, commercial and industrial, agricultural and agricultural real estate, residential real estate, and consumer loans, as well as construction and land development, 1-4 family residential properties, and multifamily residential properties loans; and other loans comprising loans to municipalities to support community projects, such as infrastructure improvements or equipment purchases. It also offers wealth management services, which include estate planning, investment, and farm management and brokerage services for individuals; employee benefit services for businesses; and farm management and brokerage services. In addition, the company provides property and casualty, senior insurance products, and group medical insurance for businesses; and personal lines insurance to individuals. The company was formerly known as First Mid-Illinois Bancshares, Inc. and changed its name to First Mid Bancshares, Inc. in April 2019. First Mid Bancshares, Inc. was founded in 1865 and is headquartered in Mattoon, Illinois.