Head to Head Contrast: Community Heritage Financial (OTCMKTS:CMHF) & Northpointe Bancshares (NYSE:NPB)
by Sarita Garza · The Markets DailyNorthpointe Bancshares (NYSE:NPB – Get Free Report) and Community Heritage Financial (OTCMKTS:CMHF – Get Free Report) are both small-cap finance companies, but which is the better business? We will contrast the two businesses based on the strength of their profitability, risk, dividends, earnings, institutional ownership, analyst recommendations and valuation.
Dividends
Northpointe Bancshares pays an annual dividend of $0.10 per share and has a dividend yield of 0.7%. Community Heritage Financial pays an annual dividend of $0.32 per share and has a dividend yield of 1.3%. Community Heritage Financial pays out 13.2% of its earnings in the form of a dividend.
Analyst Ratings
This is a summary of current recommendations and price targets for Northpointe Bancshares and Community Heritage Financial, as reported by MarketBeat.com.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Northpointe Bancshares | 0 | 0 | 2 | 0 | 3.00 |
| Community Heritage Financial | 0 | 0 | 0 | 0 | 0.00 |
Northpointe Bancshares currently has a consensus target price of $17.25, suggesting a potential upside of 24.10%. Given Northpointe Bancshares’ stronger consensus rating and higher possible upside, research analysts plainly believe Northpointe Bancshares is more favorable than Community Heritage Financial.
Profitability
This table compares Northpointe Bancshares and Community Heritage Financial’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Northpointe Bancshares | N/A | N/A | N/A |
| Community Heritage Financial | N/A | N/A | N/A |
Insider and Institutional Ownership
12.2% of Community Heritage Financial shares are owned by institutional investors. 18.4% of Northpointe Bancshares shares are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a company is poised for long-term growth.
Valuation and Earnings
This table compares Northpointe Bancshares and Community Heritage Financial”s gross revenue, earnings per share (EPS) and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Northpointe Bancshares | $187.14 million | 2.25 | N/A | N/A | N/A |
| Community Heritage Financial | $57.30 million | 1.25 | $7.09 million | $2.42 | 10.08 |
Community Heritage Financial has lower revenue, but higher earnings than Northpointe Bancshares.
Summary
Northpointe Bancshares beats Community Heritage Financial on 7 of the 9 factors compared between the two stocks.
About Northpointe Bancshares
Northpointe Bancshares, Inc. operates as a bank holding company. It offers a nationwide mortgage purchase program, residential mortgage loans, digital deposit banking to retail customers and custodial deposit services. The company was founded by Charles A. Williams in 1998 and is headquartered in Grand Rapids, MI.
About Community Heritage Financial
Community Heritage Financial, Inc. operates as the bank holding company for Middletown Valley Bank that provides retail and commercial banking services to individuals and businesses in Frederick and Washington counties in Maryland and Franklin County, Pennsylvania. Its primary deposit products include demand, savings, and time deposits, as well as lending products comprise real estate mortgages, commercial business loans, and instalment loans. The company also offers mortgage financing, new home purchases, refinancing, and construction lending in Middletown, Crofton, and Oakland, Maryland. The company was founded in 1908 and is based in Middletown, Maryland.