Emclaire Financial (NASDAQ:EMCF) and Regions Financial (NYSE:RF) are both finance companies, but which is the superior business? We will compare the two companies based on the strength of their risk, analyst recommendations, valuation, profitability, dividends, earnings and institutional ownership.

Insider & Institutional Ownership

7.1% of Emclaire Financial shares are held by institutional investors. Comparatively, 72.6% of Regions Financial shares are held by institutional investors. 16.6% of Emclaire Financial shares are held by insiders. Comparatively, 0.5% of Regions Financial shares are held by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock is poised for long-term growth.

Volatility and Risk

Emclaire Financial has a beta of 0.48, meaning that its stock price is 52% less volatile than the S&P 500. Comparatively, Regions Financial has a beta of 1.5, meaning that its stock price is 50% more volatile than the S&P 500.

Analyst Ratings

This is a summary of recent recommendations and price targets for Emclaire Financial and Regions Financial, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
Emclaire Financial 0 0 0 0 N/A
Regions Financial 1 7 6 1 2.47

Regions Financial has a consensus target price of $16.92, suggesting a potential upside of 93.78%. Given Regions Financial’s higher probable upside, analysts plainly believe Regions Financial is more favorable than Emclaire Financial.

Dividends

Emclaire Financial pays an annual dividend of $1.20 per share and has a dividend yield of 5.2%. Regions Financial pays an annual dividend of $0.62 per share and has a dividend yield of 7.1%. Regions Financial pays out 40.0% of its earnings in the form of a dividend. Emclaire Financial has increased its dividend for 4 consecutive years and Regions Financial has increased its dividend for 7 consecutive years. Regions Financial is clearly the better dividend stock, given its higher yield and longer track record of dividend growth.

Profitability

This table compares Emclaire Financial and Regions Financial’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
Emclaire Financial 19.62% 9.90% 0.87%
Regions Financial 23.42% 10.77% 1.27%

Earnings and Valuation

This table compares Emclaire Financial and Regions Financial’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
Emclaire Financial $40.54 million 1.53 $7.95 million N/A N/A
Regions Financial $6.76 billion 1.24 $1.58 billion $1.55 5.63

Regions Financial has higher revenue and earnings than Emclaire Financial.

Summary

Regions Financial beats Emclaire Financial on 12 of the 16 factors compared between the two stocks.

About Emclaire Financial

Emclaire Financial Corp operates as the bank holding company for The Farmers National Bank of Emlenton that provides retail and commercial financial products and services to individuals and businesses in western Pennsylvania. The company's deposit products include checking, savings, and term certificate accounts; time deposits; noninterest bearing and interest bearing demand deposit accounts; and money market accounts. Its loan portfolio comprises one-to-four family mortgage loans, residential and commercial mortgages loans, home equity loans, and commercial business and commercial real estate loans; and consumer loans, such as loans for automobile purchases, home improvements not secured by real estate, capital, and other personal expenditures, as well as unsecured revolving personal lines of credit and overdraft protection. The company, through its subsidiary, Emclaire Settlement Services, LLC, also provides real estate settlement services. As of February 20, 2019, it operated 20 full service offices in Venango, Allegheny, Butler, Clarion, Clearfield, Crawford, Elk, Jefferson, and Mercer counties in Pennsylvania, as well as in Hancock County, West Virginia. The company was founded in 1900 and is headquartered in Emlenton, Pennsylvania.

About Regions Financial

Regions Financial Corporation, a financial holding company, provides banking and bank-related services to individual and corporate customers in the United States. It operates through three segments: Corporate Bank, Consumer Bank, and Wealth Management. The Corporate Bank segment offers commercial banking services, such as commercial and industrial, commercial real estate, and investor real estate lending; equipment lease financing services; corresponding deposit products; and securities underwriting and placement, loan syndication and placement, foreign exchange, derivatives, merger and acquisition, and other advisory services. It serves corporate, middle market, and commercial real estate developers and investors. The Consumer Bank segment provides consumer banking products and services related to residential first mortgages, home equity lines and loans, branch small business and indirect loans, consumer credit cards, and other consumer loans, as well as the corresponding deposit relationships. The Wealth Management segment offers credit related products, and retirement and savings solutions; and trust and investment management, asset management, and estate planning services to individuals, businesses, governmental institutions, and non-profit entities. The company also provides investment and insurance products; low income housing tax credit corporate fund syndication services; and other specialty financing services. As of February 21, 2019, it operated 1,500 banking offices and 2,000 automated teller machines across the South, Midwest, and Texas. Regions Financial Corporation was founded in 1852 and is headquartered in Birmingham, Alabama.

Receive News & Ratings for Emclaire Financial Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Emclaire Financial and related companies with MarketBeat.com's FREE daily email newsletter.