Contrasting Home Bancorp (HBCP) & Its Competitors

Home Bancorp (NASDAQ:HBCP) is one of 919 public companies in the “Banks” industry, but how does it compare to its rivals? We will compare Home Bancorp to related businesses based on the strength of its earnings, dividends, profitability, risk, valuation, analyst recommendations and institutional ownership.

Dividends

Home Bancorp pays an annual dividend of $1.28 per share and has a dividend yield of 2.1%. Home Bancorp pays out 22.6% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 9.3% and pay out 28.9% of their earnings in the form of a dividend. Home Bancorp has raised its dividend for 10 consecutive years.

Profitability

This table compares Home Bancorp and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Home Bancorp	21.05%	9.96%	1.25%
Home Bancorp Competitors	15.65%	9.44%	0.93%

Insider & Institutional Ownership

49.4% of Home Bancorp shares are owned by institutional investors. Comparatively, 48.0% of shares of all “Banks” companies are owned by institutional investors. 6.2% of Home Bancorp shares are owned by company insiders. Comparatively, 9.7% of shares of all “Banks” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Analyst Ratings

This is a summary of recent ratings and recommmendations for Home Bancorp and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Home Bancorp	0	3	2	0	2.40
Home Bancorp Competitors	7483	30220	27802	1478	2.35

Home Bancorp presently has a consensus price target of $65.17, indicating a potential upside of 6.94%. As a group, “Banks” companies have a potential upside of 16.81%. Given Home Bancorp’s rivals higher possible upside, analysts clearly believe Home Bancorp has less favorable growth aspects than its rivals.

Volatility & Risk

Home Bancorp has a beta of 0.51, meaning that its stock price is 49% less volatile than the S&P 500. Comparatively, Home Bancorp’s rivals have a beta of 0.61, meaning that their average stock price is 39% less volatile than the S&P 500.

Earnings & Valuation

This table compares Home Bancorp and its rivals revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Home Bancorp	$209.23 million	$46.06 million	10.75
Home Bancorp Competitors	$37.85 billion	$2.42 billion	21.06

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

Summary

Home Bancorp rivals beat Home Bancorp on 9 of the 15 factors compared.

About Home Bancorp

Home Bancorp, Inc. operates as the bank holding company for Home Bank, National Association that provides various banking products and services in Louisiana, Mississippi, and Texas. It offers deposit products, including interest-bearing and noninterest-bearing checking, money market, savings, NOW, and certificates of deposit accounts. The company also provides various loan products comprising one-to four-family first mortgage loans, home equity loans and lines, commercial real estate loans, construction and land loans, multi-family residential loans, commercial and industrial loans, and consumer loans. In addition, it invests in securities; and offers credit cards and online banking services. Home Bancorp, Inc. was founded in 1908 and is headquartered in Lafayette, Louisiana.