Reviewing Texas Community Bancshares (TCBS) & Its Competitors

Texas Community Bancshares (NASDAQ:TCBS) is one of 41 publicly-traded companies in the “Savings institutions, except federal” industry, but how does it compare to its peers? We will compare Texas Community Bancshares to related businesses based on the strength of its dividends, valuation, risk, analyst recommendations, institutional ownership, earnings and profitability.

Dividends

Texas Community Bancshares pays an annual dividend of $0.16 per share and has a dividend yield of 1.2%. Texas Community Bancshares pays out -66.7% of its earnings in the form of a dividend. As a group, “Savings institutions, except federal” companies pay a dividend yield of 2.2% and pay out 25.1% of their earnings in the form of a dividend. Texas Community Bancshares has increased its dividend for 1 consecutive years.

Risk & Volatility

Texas Community Bancshares has a beta of -0.04, meaning that its stock price is 104% less volatile than the S&P 500. Comparatively, Texas Community Bancshares’ peers have a beta of 0.55, meaning that their average stock price is 45% less volatile than the S&P 500.

Insider & Institutional Ownership

6.7% of Texas Community Bancshares shares are owned by institutional investors. Comparatively, 38.7% of shares of all “Savings institutions, except federal” companies are owned by institutional investors. 19.0% of Texas Community Bancshares shares are owned by company insiders. Comparatively, 7.9% of shares of all “Savings institutions, except federal” companies are owned by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Earnings and Valuation

This table compares Texas Community Bancshares and its peers top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Texas Community Bancshares	$19.33 million	-$730,000.00	-56.87
Texas Community Bancshares Competitors	$332.75 million	$83.03 million	10.59

Texas Community Bancshares’ peers have higher revenue and earnings than Texas Community Bancshares. Texas Community Bancshares is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Profitability

This table compares Texas Community Bancshares and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Texas Community Bancshares	-3.79%	-1.35%	-0.17%
Texas Community Bancshares Competitors	13.28%	6.80%	0.75%

Analyst Ratings

This is a breakdown of recent ratings for Texas Community Bancshares and its peers, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Texas Community Bancshares	0	0	0	0	N/A
Texas Community Bancshares Competitors	109	521	349	5	2.25

As a group, “Savings institutions, except federal” companies have a potential upside of 16.81%. Given Texas Community Bancshares’ peers higher probable upside, analysts plainly believe Texas Community Bancshares has less favorable growth aspects than its peers.

Summary

Texas Community Bancshares peers beat Texas Community Bancshares on 10 of the 12 factors compared.

About Texas Community Bancshares

Texas Community Bancshares, Inc. operates as the bank holding company for Mineola Community Bank, S.S.B. that provides loans and banking services to consumers and commercial customers in Mineola, Texas and the surrounding area, and the Dallas Fort Worth Metroplex. It generates a selection of deposit accounts, including savings accounts, checking accounts, certificates of deposit, and individual retirement accounts. The company also originates primarily one- to four-family residential mortgage loans, commercial real estate loans, and construction and land loans; and car, boat, share, unsecured loans, etc., as well as agricultural loans, commercial loans, and consumer and other loans. In addition, it invests in securities; and offers sweep account, safe deposit boxes, e-statement, cards, online banking, and mobile banking services. Texas Community Bancshares, Inc. was founded in 1934 and is headquartered in Mineola, Texas.