Chain Bridge Bancorp (NYSE:CBNA) & West Bancorporation (NASDAQ:WTBA) Financial Comparison

West Bancorporation (NASDAQ:WTBA) and Chain Bridge Bancorp (NYSE:CBNA) are both small-cap finance companies, but which is the better stock? We will compare the two businesses based on the strength of their dividends, analyst recommendations, earnings, profitability, valuation, institutional ownership and risk.

Institutional and Insider Ownership

44.3% of West Bancorporation shares are held by institutional investors. 4.6% of West Bancorporation shares are held by insiders. Comparatively, 25.4% of Chain Bridge Bancorp shares are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a company is poised for long-term growth.

Profitability

This table compares West Bancorporation and Chain Bridge Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
West Bancorporation	18.75%	15.48%	1.03%
Chain Bridge Bancorp	38.64%	15.42%	1.44%

Earnings & Valuation

This table compares West Bancorporation and Chain Bridge Bancorp”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
West Bancorporation	$202.45 million	2.48	$32.56 million	$2.23	13.19
Chain Bridge Bancorp	$59.32 million	5.46	$20.24 million	$4.06	12.16

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

Analyst Recommendations

This is a breakdown of current ratings and target prices for West Bancorporation and Chain Bridge Bancorp, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
West Bancorporation	0	3	1	0	2.25
Chain Bridge Bancorp	0	3	1	1	2.60

West Bancorporation presently has a consensus target price of $29.00, indicating a potential downside of 1.43%. Chain Bridge Bancorp has a consensus target price of $47.50, indicating a potential downside of 3.75%. Given West Bancorporation’s higher possible upside, analysts plainly believe West Bancorporation is more favorable than Chain Bridge Bancorp.

Risk and Volatility

West Bancorporation has a beta of 0.71, suggesting that its share price is 29% less volatile than the S&P 500. Comparatively, Chain Bridge Bancorp has a beta of 0.22, suggesting that its share price is 78% less volatile than the S&P 500.

About West Bancorporation

West Bancorporation, Inc. operates as the financial holding company provides community banking and trust services to individuals and small- to medium-sized businesses in the United States. It offers deposit services, including checking, savings, and money market accounts, as well as time certificates of deposit. The company also provides loan products comprising commercial real estate loans, construction and land development loans, commercial lines of credit, and commercial term loans; consumer loans, including loans extended to individuals for household, family, and other personal expenditures not secured by real estate; and 1-4 family residential mortgages and home equity loans. In addition, it offers online and mobile banking, treasury management services including cash management, client-generated automated clearing house transactions, remote deposit, and fraud protection services; merchant credit card processing and corporate credit cards; and administration of estates, conservatorships, personal trusts, and agency accounts. The company was founded in 1893 and is headquartered in West Des Moines, Iowa.

About Chain Bridge Bancorp

Chain Bridge Bancorp, Inc. operates as a Delaware-chartered bank holding company for Chain Bridge Bank, National Association that provides commercial and personal banking, and trust services in the United States. Its deposit products include non-interest-bearing and interest-bearing checking accounts, savings accounts, and money market accounts. The company’s loan portfolio comprises of residential and commercial real estate loans, commercial loans, and consumer loans. It also provides treasury management, payments, trusts and estate administration, wealth management, and asset custody services. The company was incorporated in 2006 and is headquartered in McLean, Virginia.