First Bancorp (NASDAQ:FBNC) versus Omni Financial Services (OTCMKTS:OFSI) Head-To-Head Review

First Bancorp (NASDAQ:FBNC) and Omni Financial Services (OTCMKTS:OFSI) are both finance companies, but which is the better investment? We will contrast the two businesses based on the strength of their profitability, risk, earnings, valuation, analyst recommendations, dividends and institutional ownership.

Analyst Recommendations

This is a summary of current recommendations and price targets for First Bancorp and Omni Financial Services, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Bancorp	0	3	3	1	2.71
Omni Financial Services	0	0	0	0	0.00

First Bancorp currently has a consensus target price of $62.95, suggesting a potential upside of 3.62%. Given First Bancorp’s stronger consensus rating and higher possible upside, equities analysts plainly believe First Bancorp is more favorable than Omni Financial Services.

Profitability

This table compares First Bancorp and Omni Financial Services’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Bancorp	20.59%	10.86%	1.38%
Omni Financial Services	N/A	N/A	N/A

Risk & Volatility

First Bancorp has a beta of 0.81, indicating that its stock price is 19% less volatile than the S&P 500. Comparatively, Omni Financial Services has a beta of 1.43, indicating that its stock price is 43% more volatile than the S&P 500.

Valuation & Earnings

This table compares First Bancorp and Omni Financial Services”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Bancorp	$549.30 million	4.58	$111.05 million	$2.93	20.73
Omni Financial Services	N/A	N/A	N/A	N/A	N/A

First Bancorp has higher revenue and earnings than Omni Financial Services.

Insider and Institutional Ownership

68.4% of First Bancorp shares are held by institutional investors. 2.0% of First Bancorp shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Summary

First Bancorp beats Omni Financial Services on 10 of the 11 factors compared between the two stocks.

About First Bancorp

First Bancorp operates as the bank holding company for First Bank that provides banking products and services for individuals and small to medium-sized businesses. The company accepts deposit products, such as checking, savings, and money market accounts, as well as time deposits, including certificate of deposits and individual retirement accounts. It also offers loans for a range of consumer and commercial purposes comprising loans for business, real estate, personal, home improvement, and automobiles, as well as residential mortgages and small business administration loans; and accounts receivable financing and factoring, inventory financing, and purchase order financing services. In addition, the company provides credit and debit cards, letter of credits, and safe deposit box rental services, as well as electronic funds transfer services consisting of wire transfers; and internet and mobile banking, cash management, bank-by-phone services, and remote deposit capture services. Further, it offers investment and insurance products, such as mutual funds, annuities, long-term care insurance, life insurance, and company retirement plans, as well as property and casualty insurance products; and financial planning services. The company was founded in 1934 and is headquartered in Southern Pines, North Carolina.

About Omni Financial Services

OMNI Financial Services, Inc. provides various financial products and services to individuals, professionals, and business owners. The company offers deferred annuities, fixed annuities, and immediate annuities; and group medical, key employee, survivor life, disability, fixed life, long term care, and term life insurance products. It also provides college funding, retirement, and estate planning services. The company was founded in 1976 and is headquartered in Fort Myers, Florida.