Head to Head Survey: Third Coast Bancshares (TCBX) and The Competition

Third Coast Bancshares (NASDAQ:TCBX) is one of 919 public companies in the “Banks” industry, but how does it contrast to its competitors? We will compare Third Coast Bancshares to similar companies based on the strength of its analyst recommendations, valuation, profitability, risk, earnings, dividends and institutional ownership.

Earnings and Valuation

This table compares Third Coast Bancshares and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Third Coast Bancshares	$245.35 million	$47.67 million	10.20
Third Coast Bancshares Competitors	$9.95 billion	$2.42 billion	17.38

Third Coast Bancshares’ competitors have higher revenue and earnings than Third Coast Bancshares. Third Coast Bancshares is trading at a lower price-to-earnings ratio than its competitors, indicating that it is currently more affordable than other companies in its industry.

Dividends

Third Coast Bancshares pays an annual dividend of $16.87 per share and has a dividend yield of 42.3%. Third Coast Bancshares pays out 431.5% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. As a group, “Banks” companies pay a dividend yield of 9.2% and pay out 28.9% of their earnings in the form of a dividend.

Analyst Recommendations

This is a breakdown of recent recommendations for Third Coast Bancshares and its competitors, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Third Coast Bancshares	0	3	3	1	2.71
Third Coast Bancshares Competitors	7463	30186	27756	1457	2.35

Third Coast Bancshares presently has a consensus price target of $47.20, suggesting a potential upside of 18.38%. As a group, “Banks” companies have a potential upside of 15.64%. Given Third Coast Bancshares’ stronger consensus rating and higher possible upside, equities analysts plainly believe Third Coast Bancshares is more favorable than its competitors.

Institutional and Insider Ownership

36.9% of Third Coast Bancshares shares are held by institutional investors. Comparatively, 47.8% of shares of all “Banks” companies are held by institutional investors. 10.5% of Third Coast Bancshares shares are held by insiders. Comparatively, 9.8% of shares of all “Banks” companies are held by insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock is poised for long-term growth.

Profitability

This table compares Third Coast Bancshares and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Third Coast Bancshares	16.30%	12.05%	1.17%
Third Coast Bancshares Competitors	15.66%	9.44%	0.93%

Risk & Volatility

Third Coast Bancshares has a beta of 0.33, suggesting that its share price is 67% less volatile than the S&P 500. Comparatively, Third Coast Bancshares’ competitors have a beta of 0.52, suggesting that their average share price is 48% less volatile than the S&P 500.

Summary

Third Coast Bancshares beats its competitors on 9 of the 15 factors compared.

Third Coast Bancshares Company Profile

Third Coast Bancshares, Inc. operates as a bank holding company for Third Coast Bank, SSB that provides various commercial banking solutions to small and medium-sized businesses, and professionals. The company's deposit products include checking, savings, individual retirement, and money market accounts, as well as certificates of deposit. It also offers commercial and industrial loans, equipment loans, working capital lines of credit, guaranteed loans, auto finance, letters of credit, commercial and residential real estate, and construction, development, and other loans. In addition, the company provides retail and commercial online banking platforms, mobile banking apps, mortgage, treasury management solutions, merchant card services, and customer digital solutions, as well as debit and credit cards. Third Coast Bancshares, Inc. was founded in 2008 and is headquartered in Humble, Texas.