Comparing Unity Bancorp (NASDAQ:UNTY) & Berkshire Bancorp (OTCMKTS:BERK)

Unity Bancorp (NASDAQ:UNTY) and Berkshire Bancorp (OTCMKTS:BERK) are both finance companies, but which is the better stock? We will contrast the two companies based on the strength of their institutional ownership, risk, valuation, profitability, analyst recommendations, earnings and dividends.

Insider and Institutional Ownership

42.3% of Unity Bancorp shares are held by institutional investors. 28.9% of Unity Bancorp shares are held by insiders. Comparatively, 70.4% of Berkshire Bancorp shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock is poised for long-term growth.

Analyst Ratings

This is a breakdown of current ratings and recommmendations for Unity Bancorp and Berkshire Bancorp, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Unity Bancorp	0	0	2	0	3.00
Berkshire Bancorp	0	0	0	0	0.00

Unity Bancorp currently has a consensus target price of $54.50, indicating a potential upside of 15.61%. Given Unity Bancorp’s stronger consensus rating and higher probable upside, equities research analysts clearly believe Unity Bancorp is more favorable than Berkshire Bancorp.

Valuation & Earnings

This table compares Unity Bancorp and Berkshire Bancorp”s revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Unity Bancorp	$164.21 million	2.87	$41.45 million	$4.06	11.61
Berkshire Bancorp	N/A	N/A	N/A	N/A	N/A

Unity Bancorp has higher revenue and earnings than Berkshire Bancorp.

Profitability

This table compares Unity Bancorp and Berkshire Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Unity Bancorp	25.24%	15.08%	1.59%
Berkshire Bancorp	N/A	N/A	N/A

Summary

Unity Bancorp beats Berkshire Bancorp on 8 of the 9 factors compared between the two stocks.

About Unity Bancorp

Unity Bancorp, Inc. operates as a bank holding company for Unity Bank that provides range of commercial and retail banking services to individuals, small and medium sized businesses, and professional communities. It offers personal and business checking accounts, time deposits, money market accounts, savings accounts, and retirement accounts, as well as noninterest and interest-bearing demand deposits. The company also provides small business administration loans; commercial loans; and residential mortgage and consumer loans, including residential real estate, home equity lines and loans, and residential construction lines, as well as personal loans. In addition, it offers credit and debit cards, wire transfer, safe deposit box, automated teller, and internet and mobile banking services; and automated clearing house origination and remote deposit capture services. Unity Bancorp, Inc. was incorporated in 1991 and is headquartered in Clinton, New Jersey.

About Berkshire Bancorp

Berkshire Bancorp Inc. operates as the bank holding company for The Berkshire Bank that provides community banking services primarily to businesses, professionals, and retail customers. The company offers statement savings, NOW, money market deposit, and checking accounts, as well as certificates of deposit. It also provides commercial and industrial, commercial and residential real estate, multi-family real estate, construction, and consumer loans, as well as mortgages and finance leasing services. In addition, the company offers ATM and debit cards; safe deposit boxes; bill pay, collection, remote deposit capture, and foreign exchange services; and mobile, telephone, and online banking services. It operates through two branches located in Manhattan; four branches located in Brooklyn, New York; four branches located in Orange and Sullivan Counties in New York State; and one branch located in Teaneck, New Jersey. Berkshire Bancorp Inc. was founded in 1871 and is headquartered in New York, New York.