Texas Community Bancshares (NASDAQ:TCBS) and FB Bancorp (NASDAQ:FBLA) Financial Review

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

Insider and Institutional Ownership

15.8% of Texas Community Bancshares shares are held by institutional investors. 2.2% of FB Bancorp shares are held by insiders. Comparatively, 19.5% of Texas Community Bancshares shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Recommendations

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

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

Profitability

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

	Net Margins	Return on Equity	Return on Assets
FB Bancorp	1.48%	0.97%	0.26%
Texas Community Bancshares	11.11%	5.34%	0.65%

Volatility & Risk

FB Bancorp has a beta of 0.09, suggesting that its stock price is 91% less volatile than the S&P 500. Comparatively, Texas Community Bancshares has a beta of 0.04, suggesting that its stock price is 96% less volatile than the S&P 500.

Valuation & Earnings

This table compares FB Bancorp and Texas Community Bancshares”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FB Bancorp	$69.94 million	3.37	$1.25 million	$0.07	196.43
Texas Community Bancshares	$25.57 million	1.98	$2.84 million	$1.00	17.52

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

Summary

Texas Community Bancshares beats FB Bancorp on 8 of the 12 factors compared between the two stocks.

About FB Bancorp

FB Bancorp Inc. operates as a bank holding company for Fidelity Bank. The Company, through its subsidiaries, provides deposit accounts, mortgages, home equity and consumer loans, credit and debit cards, online and mobile banking, investments and other financial services. FB Bancorp Inc. is based in New Orleans.

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.