Head-To-Head Survey: Fifth District Bancorp (NASDAQ:FDSB) and Texas Community Bancshares (NASDAQ:TCBS)

Texas Community Bancshares (NASDAQ:TCBS) and Fifth District Bancorp (NASDAQ:FDSB) are both small-cap finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their valuation, institutional ownership, analyst recommendations, dividends, profitability, risk and earnings.

Earnings and Valuation

This table compares Texas Community Bancshares and Fifth District Bancorp”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Texas Community Bancshares	$20.55 million	2.34	-$1.30 million	$0.85	19.47
Fifth District Bancorp	$19.29 million	4.26	-$1.08 million	$0.73	20.38

Fifth District Bancorp has lower revenue, but higher earnings than Texas Community Bancshares. Texas Community Bancshares is trading at a lower price-to-earnings ratio than Fifth District Bancorp, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Texas Community Bancshares and Fifth District Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Texas Community Bancshares	9.98%	4.77%	0.57%
Fifth District Bancorp	14.27%	2.88%	0.69%

Volatility and Risk

Texas Community Bancshares has a beta of 0.04, indicating that its share price is 96% less volatile than the S&P 500. Comparatively, Fifth District Bancorp has a beta of 0.47, indicating that its share price is 53% less volatile than the S&P 500.

Analyst Recommendations

This is a summary of current recommendations for Texas Community Bancshares and Fifth District Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Texas Community Bancshares	0	1	0	0	2.00
Fifth District Bancorp	1	0	0	0	1.00

Insider & Institutional Ownership

15.8% of Texas Community Bancshares shares are held by institutional investors. 19.5% of Texas Community Bancshares shares are held by insiders. Comparatively, 4.5% of Fifth District Bancorp 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.

About Texas Community Bancshares

Texas Community Bancshares, Inc. operates as the bank holding company for Mineola Community Bank, S.S.B. that provides loans and banking services to consumers and commercial customers in Mineola, Texas and the surrounding area, and the Dallas Fort Worth Metroplex. It generates a selection of deposit accounts, including savings accounts, checking accounts, certificates of deposit, and individual retirement accounts. The company also originates primarily one- to four-family residential mortgage loans, commercial real estate loans, and construction and land loans; and car, boat, share, unsecured loans, etc., as well as agricultural loans, commercial loans, and consumer and other loans. In addition, it invests in securities; and offers sweep account, safe deposit boxes, e-statement, cards, online banking, and mobile banking services. Texas Community Bancshares, Inc. was founded in 1934 and is headquartered in Mineola, Texas.

About Fifth District Bancorp

Fifth District Bancorp, Inc. is the holding company for Fifth District Savings Bank which provide all banking services. Fifth District Bancorp, Inc. is based in NEW ORLEANS.