SB Financial Group (NASDAQ:SBFG) versus University Bancorp (OTCMKTS:UNIB) Head to Head Contrast

University Bancorp (OTCMKTS:UNIB) and SB Financial Group (NASDAQ:SBFG) are both small-cap finance companies, but which is the superior business? We will contrast the two companies based on the strength of their dividends, profitability, risk, valuation, institutional ownership, analyst recommendations and earnings.

Insider & Institutional Ownership

66.7% of SB Financial Group shares are held by institutional investors. 63.7% of University Bancorp shares are held by company insiders. Comparatively, 6.0% of SB Financial Group shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares University Bancorp and SB Financial Group”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
University Bancorp	$125.26 million	0.85	$10.47 million	N/A	N/A
SB Financial Group	$91.03 million	1.38	$13.97 million	$2.20	9.08

SB Financial Group has lower revenue, but higher earnings than University Bancorp.

Risk & Volatility

University Bancorp has a beta of 0.21, suggesting that its stock price is 79% less volatile than the S&P 500. Comparatively, SB Financial Group has a beta of 0.23, suggesting that its stock price is 77% less volatile than the S&P 500.

Analyst Ratings

This is a summary of current recommendations and price targets for University Bancorp and SB Financial Group, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
University Bancorp	0	0	0	0	0.00
SB Financial Group	0	1	1	0	2.50

Dividends

University Bancorp pays an annual dividend of $0.30 per share and has a dividend yield of 1.5%. SB Financial Group pays an annual dividend of $0.62 per share and has a dividend yield of 3.1%. SB Financial Group pays out 28.2% of its earnings in the form of a dividend. SB Financial Group has increased its dividend for 12 consecutive years. SB Financial Group is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares University Bancorp and SB Financial Group’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
University Bancorp	N/A	N/A	N/A
SB Financial Group	15.35%	10.88%	0.98%

Summary

SB Financial Group beats University Bancorp on 11 of the 14 factors compared between the two stocks.

About University Bancorp

University Bancorp, Inc. operates as the bank holding company for University Bank that provides various personal, business, and community banking services in the United States. It offers checking, NOW, savings, money market, time deposit, and certificates of deposit accounts. The company's consumer loans include home equity, short term, automobile, personal, and recreational vehicle loans, as well as home equity lines of credits; SBA, commercial real estate, equipment, home improvement, and other instalment loans; and non-profit loans, as well as working capital lines of credit. In addition, the company provides foreign currency exchange; reverse mortgage; online banking and bill pay; online reorder checks; wire transfer; and courier services, as well as credit card and ATM services. Further, it offers life, health, property, and casualty insurance products, as well as investment products, including annuities. University Bancorp, Inc. was founded in 1890 and is based in Ann Arbor, Michigan.

About SB Financial Group

SB Financial Group, Inc. operates as the financial holding company for the State Bank and Trust Company that provides a range of commercial banking and wealth management services to individual and corporate customers primarily in Ohio, Indiana, and Michigan. It offers checking, savings, money market accounts, as well as time certificates of deposit; and commercial, consumer, agricultural, and residential mortgage loans. The company also provides automatic teller machine, personal and corporate trust, commercial leasing, bank credit card, safe deposit box rental, internet banking, private client group, and other personalized banking products and services; and various trust and financial services comprising asset management services for individuals and corporate employee benefit plans, as well as brokerage services. In addition, it sells insurance products to retail and commercial customers. The company was formerly known as Rurban Financial Corp. and changed its name to SB Financial Group, Inc. in April 2013. SB Financial Group, Inc. was founded in 1902 and is based in Defiance, Ohio.