Head-To-Head Survey: Benchmark Bankshares (OTCMKTS:BMBN) versus Commonwealth Business Bank (OTCMKTS:CBBI)

Dividends

Benchmark Bankshares pays an annual dividend of $1.00 per share and has a dividend yield of 2.5%. Commonwealth Business Bank pays an annual dividend of $0.50 per share and has a dividend yield of 4.0%. Benchmark Bankshares pays out 22.4% of its earnings in the form of a dividend. Commonwealth Business Bank pays out 27.9% 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.

Insider & Institutional Ownership

3.2% of Benchmark Bankshares shares are owned by institutional investors. 14.0% of Benchmark Bankshares shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company will outperform the market over the long term.

Earnings and Valuation

This table compares Benchmark Bankshares and Commonwealth Business Bank”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Benchmark Bankshares	$83.37 million	2.14	$19.84 million	$4.46	8.97
Commonwealth Business Bank	$120.93 million	1.09	$22.43 million	$1.79	6.98

Commonwealth Business Bank has higher revenue and earnings than Benchmark Bankshares. Commonwealth Business Bank is trading at a lower price-to-earnings ratio than Benchmark Bankshares, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Benchmark Bankshares and Commonwealth Business Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Benchmark Bankshares	23.80%	N/A	N/A
Commonwealth Business Bank	15.52%	N/A	N/A

Volatility and Risk

Benchmark Bankshares has a beta of 0.13, suggesting that its share price is 87% less volatile than the S&P 500. Comparatively, Commonwealth Business Bank has a beta of 0.16, suggesting that its share price is 84% less volatile than the S&P 500.

Summary

Benchmark Bankshares beats Commonwealth Business Bank on 7 of the 11 factors compared between the two stocks.

About Benchmark Bankshares

Benchmark Bankshares, Inc. operates as the holding company for Benchmark Community Bank that provides various banking products and services in the United States. The company accepts various deposits, such as checking, saving, commercial services, and youth accounts. Its loan products include personal, mortgage, other real estate, business, auto, and student loans. The company also offers credit and debit cards; wealth management services comprising financial solutions, financial and retirement planning, and portfolio management, as well as estate, charitable giving, and trust services; and reorder checks, safe deposit boxes, wire transfers, bill pay, and internet and mobile banking services. The company was founded in 1971 and is based in Kenbridge, Virginia.

About Commonwealth Business Bank

CBB Bancorp, Inc. operates as the holding company for Commonwealth Business Bank that provides various commercial banking products and services to individuals and businesses in the United States. It offers checking, savings, money market, and certification of deposit accounts; SBA lending; business lines of credit; business term loans; business and commercial property loans; construction loans; and credit cards. The company also provides treasury management, and mobile and online banking services, as well as title and escrow services. In addition, it engages in investing activities; and offers trade finance services, including commercial letters of credit, standby letters of credit, and documentary collection services. The company offers its services through full-service and limited-service branches in Southern California, Dallas, Texas and Honolulu, and Hawaii; and loan production offices in the states of Colorado, Georgia, Texas, and Washington. CBB Bancorp, Inc. was founded in 2005 and is headquartered in Los Angeles, California.