Financial Analysis: Avidia Bancorp (AVBC) and Its Competitors

Avidia Bancorp (NYSE:AVBC) is one of 925 public companies in the “Banks” industry, but how does it compare to its competitors? We will compare Avidia Bancorp to similar businesses based on the strength of its earnings, valuation, profitability, risk, analyst recommendations, institutional ownership and dividends.

Dividends

Avidia Bancorp pays an annual dividend of $0.24 per share and has a dividend yield of 1.1%. Avidia Bancorp pays out 25.3% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 8.9% and pay out 29.0% of their earnings in the form of a dividend.

Profitability

This table compares Avidia Bancorp and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Avidia Bancorp	11.51%	4.62%	0.63%
Avidia Bancorp Competitors	14.93%	9.47%	0.92%

Insider and Institutional Ownership

47.5% of shares of all “Banks” companies are owned by institutional investors. 3.4% of Avidia Bancorp shares are owned by insiders. Comparatively, 9.8% of shares of all “Banks” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Avidia Bancorp and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Avidia Bancorp	$147.61 million	-$3.29 million	22.97
Avidia Bancorp Competitors	$50.29 billion	$2.39 billion	22.48

Avidia Bancorp’s competitors have higher revenue and earnings than Avidia Bancorp. Avidia Bancorp is trading at a higher price-to-earnings ratio than its competitors, indicating that it is currently more expensive than other companies in its industry.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Avidia Bancorp and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Avidia Bancorp	1	0	0	1	2.50
Avidia Bancorp Competitors	7358	29666	27075	1355	2.34

As a group, “Banks” companies have a potential upside of 11.23%. Given Avidia Bancorp’s competitors higher possible upside, analysts plainly believe Avidia Bancorp has less favorable growth aspects than its competitors.

Summary

Avidia Bancorp competitors beat Avidia Bancorp on 10 of the 14 factors compared.

About Avidia Bancorp

Avidia Bancorp Inc. is a chartered stock savings bank. It operates full-service banking offices principally in western Middlesex County and eastern Worcester County, in Massachusetts. Avidia Bancorp Inc. is based in HUDSON, Mass.