Comparing Codorus Valley Bancorp (NASDAQ:CVLY) & FFW (OTCMKTS:FFWC)

Codorus Valley Bancorp (NASDAQ:CVLY) and FFW (OTCMKTS:FFWC) are both small-cap finance companies, but which is the better stock? We will compare the two businesses based on the strength of their analyst recommendations, risk, earnings, institutional ownership, dividends, valuation and profitability.

Earnings and Valuation

This table compares Codorus Valley Bancorp and FFW’s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Codorus Valley Bancorp	$129.76 million	1.69	$24.97 million	$2.60	8.75
FFW	$25.63 million	1.50	$5.70 million	$4.08	8.33

Codorus Valley Bancorp has higher revenue and earnings than FFW. FFW is trading at a lower price-to-earnings ratio than Codorus Valley Bancorp, indicating that it is currently the more affordable of the two stocks.

Dividends

Codorus Valley Bancorp pays an annual dividend of $0.68 per share and has a dividend yield of 3.0%. FFW pays an annual dividend of $1.16 per share and has a dividend yield of 3.4%. Codorus Valley Bancorp pays out 26.2% of its earnings in the form of a dividend. FFW pays out 28.4% 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. Codorus Valley Bancorp has increased its dividend for 1 consecutive years.

Profitability

This table compares Codorus Valley Bancorp and FFW’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Codorus Valley Bancorp	19.25%	13.65%	1.17%
FFW	16.75%	N/A	N/A

Insider and Institutional Ownership

52.1% of Codorus Valley Bancorp shares are held by institutional investors. 4.0% of Codorus Valley Bancorp shares are held by insiders. Comparatively, 17.0% of FFW shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Codorus Valley Bancorp and FFW, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Codorus Valley Bancorp	0	0	1	0	3.00
FFW	0	0	0	0	N/A

Codorus Valley Bancorp currently has a consensus target price of $22.00, suggesting a potential downside of 3.55%. Given Codorus Valley Bancorp’s higher probable upside, equities research analysts plainly believe Codorus Valley Bancorp is more favorable than FFW.

Risk & Volatility

Codorus Valley Bancorp has a beta of 0.55, indicating that its share price is 45% less volatile than the S&P 500. Comparatively, FFW has a beta of 0.04, indicating that its share price is 96% less volatile than the S&P 500.

Summary

Codorus Valley Bancorp beats FFW on 13 of the 16 factors compared between the two stocks.

About Codorus Valley Bancorp

Codorus Valley Bancorp, Inc. operates as the bank holding company for the PeoplesBank that provides community banking services in South Central Pennsylvania and Central Maryland. The company accepts demand, money market, time, and savings deposits, as well as certificates of deposit and checking account. It also offers commercial loans, such as builder and developer, commercial and residential real estate investor, hotel/motel, wholesale and retail, agriculture, manufacturing, and other loans; business loans; and consumer loans, including residential mortgage, home equity, and others. In addition, the company provides mortgage and wealth management services; credit cards; mobile banking and deposit; online bill pay and statement; treasury management; merchant services; and sells non-deposit investment products. The company was founded in 1864 and is headquartered in York, Pennsylvania.

About FFW

FFW Corporation operates as the bank holding company for Crossroads Bank that provides various banking products and services. The company offers checking and savings accounts, overdraft protection, consumer credit cards, and reorder checks. Its loan products include home equity, auto, RV, boat, motorcycle, and personal loans; mortgage loans; agricultural loans; commercial real estate equipment financing; revolving lines of credit and standby letters of credit; and equipment leasing, as well as commercial lending services. The company offers insurance products, such as auto, home and property, business, life and health, and specialty insurance; investment products and securities; and digital banking services. FFW Corporation was founded in 1920 and is based in Wabash, Indiana.