Critical Review: Thomasville Bancshares (OTCMKTS:THVB) and Virginia National Bankshares (NASDAQ:VABK)

Thomasville Bancshares (OTCMKTS:THVB) and Virginia National Bankshares (NASDAQ:VABK) are both small-cap finance companies, but which is the superior business? We will compare the two companies based on the strength of their dividends, earnings, institutional ownership, risk, profitability, valuation and analyst recommendations.

Insider & Institutional Ownership

37.4% of Virginia National Bankshares shares are held by institutional investors. 12.6% of Virginia National Bankshares shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock will outperform the market over the long term.

Earnings & Valuation

This table compares Thomasville Bancshares and Virginia National Bankshares”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Thomasville Bancshares	$109.70 million	3.82	N/A	N/A	N/A
Virginia National Bankshares	$79.09 million	2.80	$19.26 million	$3.18	12.97

Virginia National Bankshares has lower revenue, but higher earnings than Thomasville Bancshares.

Profitability

This table compares Thomasville Bancshares and Virginia National Bankshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Thomasville Bancshares	N/A	N/A	N/A
Virginia National Bankshares	19.25%	10.50%	0.98%

Analyst Ratings

This is a breakdown of current recommendations for Thomasville Bancshares and Virginia National Bankshares, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Thomasville Bancshares	0	0	0	0	N/A
Virginia National Bankshares	0	0	0	0	N/A

Dividends

Thomasville Bancshares pays an annual dividend of $2.10 per share and has a dividend yield of 3.1%. Virginia National Bankshares pays an annual dividend of $1.32 per share and has a dividend yield of 3.2%. Virginia National Bankshares pays out 41.5% of its earnings in the form of a dividend.

Risk and Volatility

Thomasville Bancshares has a beta of 0.15, meaning that its share price is 85% less volatile than the S&P 500. Comparatively, Virginia National Bankshares has a beta of 0.45, meaning that its share price is 55% less volatile than the S&P 500.

Summary

Virginia National Bankshares beats Thomasville Bancshares on 7 of the 10 factors compared between the two stocks.

About Thomasville Bancshares

Thomasville Bancshares, Inc. operates as the bank holding company for Thomasville National Bank that provides a range of banking services to individual and corporate customers primarily in Thomas and Glynn counties, Georgia, Leon County, Florida, and the surrounding counties. The company offers checking and savings accounts; money market accounts; and certificates of deposits. It also provides commercial real estate mortgage loans, such as non-farm and non-residential commercial real estate loans, construction loans for commercial businesses, multifamily loans secured by income producing properties, and farmland; and 1-4 family residential loans, including first mortgage liens, junior liens, and home equity lines. In addition, the company offers commercial, financial, and agricultural loans; consumer loans comprising direct consumer instalment loans, overdrafts, and other revolving credit loans and educational loans; and loans to municipalities and development authorities. Further, it provides trust and money management services. The company was incorporated in 1995 and is based in Thomasville, Georgia.

About Virginia National Bankshares

Virginia National Bankshares Corporation operates as the holding company for Virginia National Bank that provides a range of commercial and retail banking services. The company operates through Bank, Sturman Wealth Advisors, VNB Trust and Estate Services, and Masonry Capital segments. It provides checking accounts, demand deposits, NOW accounts, money market deposit accounts, time deposits, certificates of deposit, individual retirement accounts, and other depository services. In addition, the company offers commercial and industrial loans, real estate construction and land loans, commercial real estate loans, and 1-4 family residential mortgages, as well as consumer loans comprising student loans, revolving credit, and other fixed payment loans. Further, it provides automated teller machines, internet banking, treasury, and cash management services; merchant and debit card services; and wealth and investment advisory, and brokerage services. Additionally, the company offers investment management, corporate trustee, trust and estate administration, IRA administration, house investment management, and custody services. It serves individuals, businesses, and charitable organizations in the Charlottesville/Albemarle County, Fauquier County, Manassas, Prince William County, Richmond, and Winchester market areas in Virginia. Virginia National Bankshares Corporation was founded in 1998 and is headquartered in Charlottesville, Virginia.