Community Capital Bancshares (OTCMKTS:ALBY) versus Bank of the James Financial Group (NASDAQ:BOTJ) Head to Head Review

Bank of the James Financial Group (NASDAQ:BOTJ) and Community Capital Bancshares (OTCMKTS:ALBY) are both small-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their dividends, earnings, risk, analyst recommendations, valuation, institutional ownership and profitability.

Profitability

This table compares Bank of the James Financial Group and Community Capital Bancshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Bank of the James Financial Group	17.17%	14.13%	1.06%
Community Capital Bancshares	N/A	N/A	N/A

Earnings and Valuation

This table compares Bank of the James Financial Group and Community Capital Bancshares”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Bank of the James Financial Group	$62.51 million	1.86	$9.02 million	$2.42	10.59
Community Capital Bancshares	$15.03 million	2.80	$4.90 million	$3.85	8.40

Bank of the James Financial Group has higher revenue and earnings than Community Capital Bancshares. Community Capital Bancshares is trading at a lower price-to-earnings ratio than Bank of the James Financial Group, indicating that it is currently the more affordable of the two stocks.

Institutional & Insider Ownership

18.5% of Bank of the James Financial Group shares are owned by institutional investors. 11.9% of Bank of the James Financial Group shares are owned by insiders. Comparatively, 42.4% of Community Capital Bancshares shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Dividends

Bank of the James Financial Group pays an annual dividend of $0.40 per share and has a dividend yield of 1.6%. Community Capital Bancshares pays an annual dividend of $2.05 per share and has a dividend yield of 6.3%. Bank of the James Financial Group pays out 16.5% of its earnings in the form of a dividend. Community Capital Bancshares pays out 53.2% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years. Bank of the James Financial Group has increased its dividend for 5 consecutive years.

Analyst Recommendations

This is a summary of recent ratings and target prices for Bank of the James Financial Group and Community Capital Bancshares, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Bank of the James Financial Group	0	1	0	0	2.00
Community Capital Bancshares	0	0	0	0	0.00

Risk & Volatility

Bank of the James Financial Group has a beta of 0.17, meaning that its share price is 83% less volatile than the S&P 500. Comparatively, Community Capital Bancshares has a beta of 0.48, meaning that its share price is 52% less volatile than the S&P 500.

Summary

Bank of the James Financial Group beats Community Capital Bancshares on 10 of the 15 factors compared between the two stocks.

About Bank of the James Financial Group

Bank of the James Financial Group, Inc. operates as the bank holding company for Bank of the James that provides general retail and commercial banking services to individuals, businesses, associations and organizations, and governmental authorities in Virginia, the United States. It offers checking, savings, individual retirement, and health care saving accounts, as well as other time deposits, including money market accounts and certificates of deposit. The company also provides loans to small- and medium-sized businesses for the purchases of equipment, facilities upgrades, inventory acquisition, and various working capital purposes; commercial and residential construction and development loans; commercial real estate mortgage loans; residential mortgage loans; and secured and unsecured consumer loans, such as lines of credit and overdraft lines of credit, as well as personal, automobile, installment, demand, and home equity loans for personal, family, or household purposes. In addition, it offers other banking services, including safe deposit boxes, traveler's checks, direct deposit of payroll and social security checks, automatic drafts for various accounts, treasury management, and credit card merchant services. Further, the company provides mortgage banking; investment advisory services; securities brokerage and investment services; and telephone and internet banking services comprising online bill pay, as well as acts as an agent for insurance and annuity products. The company was founded in 1999 and is headquartered in Lynchburg, Virginia.

About Community Capital Bancshares

Community Capital Bancshares, Inc. operates as the holding company for AB&T that provides various banking products and services to individual and corporate customers. The company accepts various deposit products, such as checking, savings, money market, and individual retirement accounts, as well as certificates of deposits. Its loan products include commercial and residential real estate, commercial, financial, agricultural, consumer installment, overdrafts and other revolving credit, and educational loans. The company also offers money transfer, bill pay, remote deposit capture, ACH origination, and merchant services, as well as online, mobile, and text message banking services. The company was incorporated in 1998 and is based in Albany, Georgia.