Carver Bancorp (NASDAQ:CARV) & Northeast Bancorp (NASDAQ:NBN) Head to Head Comparison

Carver Bancorp (NASDAQ:CARV) and Northeast Bancorp (NASDAQ:NBN) are both small-cap finance companies, but which is the better business? We will compare the two companies based on the strength of their institutional ownership, analyst recommendations, profitability, risk, valuation, dividends and earnings.

Valuation & Earnings

This table compares Carver Bancorp and Northeast Bancorp”s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Carver Bancorp	$40.74 million	0.20	-$2.98 million	($1.92)	-0.84
Northeast Bancorp	$263.77 million	2.72	$58.23 million	$8.99	9.73

Northeast Bancorp has higher revenue and earnings than Carver Bancorp. Carver Bancorp is trading at a lower price-to-earnings ratio than Northeast Bancorp, indicating that it is currently the more affordable of the two stocks.

Risk & Volatility

Carver Bancorp has a beta of 1.31, suggesting that its share price is 31% more volatile than the S&P 500. Comparatively, Northeast Bancorp has a beta of 0.59, suggesting that its share price is 41% less volatile than the S&P 500.

Analyst Ratings

This is a breakdown of recent ratings for Carver Bancorp and Northeast Bancorp, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Carver Bancorp	0	0	0	0	0.00
Northeast Bancorp	0	1	1	0	2.50

Northeast Bancorp has a consensus price target of $97.50, indicating a potential upside of 11.51%. Given Northeast Bancorp’s stronger consensus rating and higher probable upside, analysts plainly believe Northeast Bancorp is more favorable than Carver Bancorp.

Institutional & Insider Ownership

18.2% of Carver Bancorp shares are owned by institutional investors. 1.3% of Carver Bancorp shares are owned by company insiders. Comparatively, 14.2% of Northeast Bancorp shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Profitability

This table compares Carver Bancorp and Northeast Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Carver Bancorp	-24.99%	-59.15%	-1.34%
Northeast Bancorp	22.84%	17.46%	1.91%

Summary

Northeast Bancorp beats Carver Bancorp on 12 of the 14 factors compared between the two stocks.

About Carver Bancorp

Carver Bancorp, Inc. operates as the holding company for Carver Federal Savings Bank that provides consumer and commercial banking services for consumers, businesses, non-profit organizations, and governmental and quasi-governmental agencies primarily in New York. It accepts various deposit products, including demand, savings, and time deposits; passbook and statement accounts, and certificates of deposit; and individual retirement accounts. The company provides lending products, such as one-to-four family residential, multifamily real estate, and commercial real estate lending; and construction, business and small business administration, and consumer and other loans. In addition, it offers other consumer and commercial banking products and services, including debit cards, online account opening and banking, online bill pay, and telephone banking, as well as check cashing, wire transfer, bill payment, reloadable prepaid card, and money order services. Carver Bancorp, Inc. was founded in 1948 and is headquartered in New York, New York.

About Northeast Bancorp

Northeast Bank provides banking services to individual and corporate customers in Maine. The company's deposit products include demand deposit, NOW, money market, savings, certificate of deposit, and individual retirement accounts, as well as checking accounts. Its loan portfolio comprises residential mortgage loans; multi-family and other commercial real estate loans; commercial and industrial loans, such as term loans, lines of credit and equipment, and receivables financing; consumer loans comprising mobile home and overdraft, and deposit-secured loans; and small business administration loans. In addition, the company offers telephone banking, online banking and bill payment, mobile banking, cash management, and remote deposit capture services, as well as debit and credit card, ATM, electronic transfer, and check services. Further, it provides various services, such as money market, merchant, and payroll and HR. Northeast Bank was founded in 1872 and is headquartered in Portland, Maine.