Financial Survey: Catalyst Bancorp (NASDAQ:CLST) vs. Commonwealth Business Bank (OTCMKTS:CBBI)

Catalyst Bancorp (NASDAQ:CLST) and Commonwealth Business Bank (OTCMKTS:CBBI) are both finance companies, but which is the superior stock? We will contrast the two companies based on the strength of their analyst recommendations, profitability, valuation, risk, earnings, institutional ownership and dividends.

Insider & Institutional Ownership

33.1% of Catalyst Bancorp shares are held by institutional investors. 5.9% of Catalyst Bancorp shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.

Volatility and Risk

Catalyst Bancorp has a beta of 0.18, indicating that its stock price is 82% less volatile than the S&P 500. Comparatively, Commonwealth Business Bank has a beta of 0.19, indicating that its stock price is 81% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings and price targets for Catalyst Bancorp and Commonwealth Business Bank, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Catalyst Bancorp	0	1	0	0	2.00
Commonwealth Business Bank	0	0	0	0	0.00

Profitability

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

	Net Margins	Return on Equity	Return on Assets
Catalyst Bancorp	14.42%	2.75%	0.80%
Commonwealth Business Bank	15.89%	N/A	N/A

Valuation & Earnings

This table compares Catalyst Bancorp 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
Catalyst Bancorp	$10.02 million	6.36	-$3.09 million	$0.59	26.27
Commonwealth Business Bank	$122.69 million	N/A	$22.43 million	$1.80	6.13

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

Summary

Catalyst Bancorp beats Commonwealth Business Bank on 6 of the 11 factors compared between the two stocks.

About Catalyst Bancorp

Catalyst Bancorp, Inc. operates as a holding company for Catalyst Bank that provides various banking services to individuals and businesses in Louisiana. The company accepts various deposit products, including savings accounts, demand and NOW accounts, money market accounts, and certificates of deposit. It also offers single family residential first mortgage loans, commercial real estate mortgage loans, multi-family residential mortgage loans, commercial and industrial loans, construction and land loans, consumer loans, and other loans. In addition, the company invests in various types of securities comprising mortgage-backed securities, the U.S. treasury obligations, securities of various federal agencies and of state and municipal governments, certificates of deposit at federally insured banks and savings institutions, and federal funds. Catalyst Bancorp, Inc. was founded in 1922 and is headquartered in Opelousas, Louisiana.

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.