TrustCo Bank Corp NY (NASDAQ:TRST) and Eagle Bancorp (NASDAQ:EGBN) Head to Head Contrast

Eagle Bancorp (NASDAQ:EGBN) and TrustCo Bank Corp NY (NASDAQ:TRST) are both small-cap finance companies, but which is the better investment? We will compare the two companies based on the strength of their risk, institutional ownership, profitability, earnings, valuation, analyst recommendations and dividends.

Dividends

Eagle Bancorp pays an annual dividend of $0.04 per share and has a dividend yield of 0.1%. TrustCo Bank Corp NY pays an annual dividend of $1.52 per share and has a dividend yield of 2.8%. Eagle Bancorp pays out -1.1% of its earnings in the form of a dividend. TrustCo Bank Corp NY pays out 44.6% 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.

Risk & Volatility

Eagle Bancorp has a beta of 0.96, indicating that its stock price is 4% less volatile than the S&P 500. Comparatively, TrustCo Bank Corp NY has a beta of 0.62, indicating that its stock price is 38% less volatile than the S&P 500.

Valuation & Earnings

This table compares Eagle Bancorp and TrustCo Bank Corp NY”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Eagle Bancorp	$634.26 million	1.29	-$138.05 million	($3.79)	-7.09
TrustCo Bank Corp NY	$278.36 million	3.43	$61.14 million	$3.41	16.01

TrustCo Bank Corp NY has lower revenue, but higher earnings than Eagle Bancorp. Eagle Bancorp is trading at a lower price-to-earnings ratio than TrustCo Bank Corp NY, indicating that it is currently the more affordable of the two stocks.

Institutional and Insider Ownership

78.0% of Eagle Bancorp shares are owned by institutional investors. Comparatively, 68.6% of TrustCo Bank Corp NY shares are owned by institutional investors. 3.1% of Eagle Bancorp shares are owned by insiders. Comparatively, 3.4% of TrustCo Bank Corp NY shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock is poised for long-term growth.

Profitability

This table compares Eagle Bancorp and TrustCo Bank Corp NY’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Eagle Bancorp	-18.65%	-10.03%	-1.10%
TrustCo Bank Corp NY	22.42%	9.21%	0.98%

Analyst Recommendations

This is a summary of current recommendations and price targets for Eagle Bancorp and TrustCo Bank Corp NY, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Eagle Bancorp	1	2	0	1	2.25
TrustCo Bank Corp NY	0	0	1	0	3.00

Eagle Bancorp currently has a consensus price target of $29.00, suggesting a potential upside of 7.97%. Given Eagle Bancorp’s higher possible upside, equities analysts clearly believe Eagle Bancorp is more favorable than TrustCo Bank Corp NY.

Summary

TrustCo Bank Corp NY beats Eagle Bancorp on 11 of the 17 factors compared between the two stocks.

About Eagle Bancorp

Eagle Bancorp, Inc. operates as the bank holding company for EagleBank that provides commercial and consumer banking services primarily in the United States. The company also offers various commercial and consumer lending products comprising commercial loans for working capital, equipment purchases, real estate lines of credit, and government contract financing; asset based lending and accounts receivable financing; construction and commercial real estate loans; business equipment financing; consumer home equity lines of credit, personal lines of credit, and term loans; consumer installment loans, such as auto and personal loans; personal credit cards; and residential mortgage loans. In addition, it provides online and mobile banking services; checking and saving accounts; and other deposit services, including cash management services, business sweep accounts, lock boxes, remote deposit captures, account reconciliation services, merchant card services, safety deposit boxes, and automated clearing house origination, as well as after-hours depositories and ATM services. Further, the company offers insurance products and services through a referral program; and treasury management services. The company serves sole proprietors, small and medium-sized businesses, partnerships, corporations, and non-profit organizations and associations, as well as investors. Eagle Bancorp, Inc. was incorporated in 1997 and is headquartered in Bethesda, Maryland.

About TrustCo Bank Corp NY

TrustCo Bank Corp NY operates as the holding company for Trustco Bank, a federal savings bank that provides personal and business banking services to individuals and businesses. The company accepts deposits; and offers loans and investments. It also operates as a real estate investment trust that acquires, holds, and manages real estate mortgage assets, including residential mortgage loans and mortgage-backed securities. In addition, the company serves as the executor of estates and trustee of personal trusts; provides asset and wealth management, estate planning and related advice, and custodial services; and acts as trustee for various types of employee benefit plans, and corporate pension and profit-sharing trusts. It operates through banking offices in Albany, Columbia, Dutchess, Greene, Montgomery, Orange, Putnam, Rensselaer, Rockland, Saratoga, Schenectady, Schoharie, Ulster, Warren, Washington, and Westchester counties of New York; Brevard, Charlotte, Flagler, Hillsborough, Indian River, Lake, Manatee, Martin, Orange, Osceola, Palm Beach, Polk, Sarasota, Seminole, and Volusia counties in Florida; Bennington County in Vermont; Berkshire County in Massachusetts; and Bergen County in New Jersey, as well as automatic teller machines. The company was founded in 1902 and is headquartered in Glenville, New York.