First Mid-Illinois Bancshares (NASDAQ:FMBH) and Preferred Bank (NASDAQ:PFBC) are both small-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their valuation, risk, profitability, institutional ownership, earnings, dividends and analyst recommendations.
First Mid-Illinois Bancshares pays an annual dividend of $0.80 per share and has a dividend yield of 2.3%. Preferred Bank pays an annual dividend of $1.20 per share and has a dividend yield of 2.2%. First Mid-Illinois Bancshares pays out 29.3% of its earnings in the form of a dividend. Preferred Bank pays out 26.4% of its earnings in the form of a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings for the next several years.
Risk and Volatility
First Mid-Illinois Bancshares has a beta of 0.5, indicating that its share price is 50% less volatile than the S&P 500. Comparatively, Preferred Bank has a beta of 1.17, indicating that its share price is 17% more volatile than the S&P 500.
This is a breakdown of recent ratings and recommmendations for First Mid-Illinois Bancshares and Preferred Bank, as provided by MarketBeat.com.
|Sell Ratings||Hold Ratings||Buy Ratings||Strong Buy Ratings||Rating Score|
|First Mid-Illinois Bancshares||0||1||2||0||2.67|
First Mid-Illinois Bancshares currently has a…