Head to Head Comparison: Camden National (NASDAQ:CAC) vs. TFS Financial (NASDAQ:TFSL)

TFS Financial (NASDAQ:TFSL) and Camden National (NASDAQ:CAC) are both finance companies, but which is the better business? We will contrast the two businesses based on the strength of their earnings, profitability, risk, valuation, analyst recommendations, institutional ownership and dividends.

Valuation & Earnings

This table compares TFS Financial and Camden National”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
TFS Financial	$351.78 million	13.10	$100.72 million	$0.36	45.64
Camden National	$261.73 million	3.75	$65.16 million	$5.31	10.93

TFS Financial has higher revenue and earnings than Camden National. Camden National is trading at a lower price-to-earnings ratio than TFS Financial, indicating that it is currently the more affordable of the two stocks.

Analyst Ratings

This is a summary of current recommendations for TFS Financial and Camden National, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
TFS Financial	0	3	1	0	2.25
Camden National	1	3	2	0	2.17

TFS Financial presently has a consensus price target of $18.00, suggesting a potential upside of 9.56%. Camden National has a consensus price target of $56.00, suggesting a potential downside of 3.48%. Given TFS Financial’s stronger consensus rating and higher possible upside, analysts clearly believe TFS Financial is more favorable than Camden National.

Dividends

TFS Financial pays an annual dividend of $1.27 per share and has a dividend yield of 7.7%. Camden National pays an annual dividend of $1.68 per share and has a dividend yield of 2.9%. TFS Financial pays out 352.8% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Camden National pays out 31.6% of its earnings in the form of a dividend.

Profitability

This table compares TFS Financial and Camden National’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
TFS Financial	12.00%	5.23%	0.57%
Camden National	24.16%	12.71%	1.30%

Volatility and Risk

TFS Financial has a beta of 0.71, meaning that its stock price is 29% less volatile than the S&P 500. Comparatively, Camden National has a beta of 0.58, meaning that its stock price is 42% less volatile than the S&P 500.

Institutional and Insider Ownership

9.8% of TFS Financial shares are owned by institutional investors. Comparatively, 77.4% of Camden National shares are owned by institutional investors. 0.7% of TFS Financial shares are owned by insiders. Comparatively, 2.1% of Camden National shares are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a company will outperform the market over the long term.

About TFS Financial

TFS Financial Corporation, through its subsidiaries, provides retail consumer banking services in the United States. Its deposit products include savings, money market, checking, individual retirement, and other qualified plan accounts, as well as certificates of deposit. The company also provides residential real estate mortgage loans, residential construction loans, and home equity loans and lines of credit, as well as purchase mortgages and first mortgage refinance loans. In addition, it offers escrow and settlement services. The company provides its products and services through its main office in Cleveland, Ohio; and multiple full-service branches and loan production offices located throughout the states of Ohio and Florida. TFS Financial Corporation was founded in 1938 and is headquartered in Cleveland, Ohio. TFS Financial Corporation is a subsidiary of Third Federal Savings and Loan Association of Cleveland, MHC.

About Camden National

Camden National Corporation operates as the bank holding company for Camden National Bank that provides various commercial and consumer banking products and services for consumer, institutional, municipal, non-profit, and commercial customers in Maine, New Hampshire, and Massachusetts. The company accepts checking, savings, time, and brokered deposits, as well as deposits with the certificate of deposit account registry system. Its loan products include non-owner-occupied commercial estate loans, owner-occupied commercial real estate loans, unsecured fully-guaranteed commercial loans backed by the small business administration, loans secured by one-to four-family properties, and consumer and home equity loans. The company also provides brokerage and insurance services through its financial offerings consisting of college, retirement, estate planning, mutual funds, strategic asset management accounts, and variable and fixed annuities. Further, it offers a range of fiduciary and asset management, wealth management, investment management, financial planning, and trustee services. Camden National Corporation was founded in 1875 and is headquartered in Camden, Maine.