Contrasting ACNB (NASDAQ:ACNB) & BOK Financial (NASDAQ:BOKF)

BOK Financial (NASDAQ:BOKF) and ACNB (NASDAQ:ACNB) are both finance companies, but which is the better business? We will compare the two businesses based on the strength of their dividends, earnings, risk, analyst recommendations, valuation, institutional ownership and profitability.

Valuation & Earnings

This table compares BOK Financial and ACNB”s top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
BOK Financial	$3.48 billion	2.22	$523.57 million	$8.39	14.53
ACNB	$132.20 million	3.88	$31.85 million	$3.27	15.11

BOK Financial has higher revenue and earnings than ACNB. BOK Financial is trading at a lower price-to-earnings ratio than ACNB, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares BOK Financial and ACNB’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
BOK Financial	15.98%	9.24%	1.07%
ACNB	18.47%	11.58%	1.42%

Analyst Recommendations

This is a summary of recent ratings and target prices for BOK Financial and ACNB, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
BOK Financial	0	7	3	0	2.30
ACNB	0	1	2	1	3.00

BOK Financial currently has a consensus target price of $117.00, indicating a potential downside of 4.02%. ACNB has a consensus target price of $48.67, indicating a potential downside of 1.48%. Given ACNB’s stronger consensus rating and higher probable upside, analysts clearly believe ACNB is more favorable than BOK Financial.

Institutional & Insider Ownership

34.4% of BOK Financial shares are owned by institutional investors. Comparatively, 32.4% of ACNB shares are owned by institutional investors. 56.9% of BOK Financial shares are owned by insiders. Comparatively, 3.5% of ACNB shares are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Dividends

BOK Financial pays an annual dividend of $2.52 per share and has a dividend yield of 2.1%. ACNB pays an annual dividend of $1.52 per share and has a dividend yield of 3.1%. BOK Financial pays out 30.0% of its earnings in the form of a dividend. ACNB pays out 46.5% 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. BOK Financial has increased its dividend for 20 consecutive years and ACNB has increased its dividend for 8 consecutive years.

Risk & Volatility

BOK Financial has a beta of 0.88, meaning that its share price is 12% less volatile than the S&P 500. Comparatively, ACNB has a beta of 0.87, meaning that its share price is 13% less volatile than the S&P 500.

About BOK Financial

BOK Financial Corporation operates as the financial holding company for BOKF, NA that provides various financial products and services in Oklahoma, Texas, New Mexico, Northwest Arkansas, Colorado, Arizona, and Kansas/Missouri. It operates through three segments: Commercial Banking, Consumer Banking, and Wealth Management. The Commercial Banking segment offers lending, treasury, cash management, and customer commodity risk management products for small businesses, middle market, and larger commercial customers, as well as operates TransFund electronic funds transfer network. The Consumer Banking segment engages in the provision of retail lending and deposit services to small business customers through retail branch network; and mortgage loan origination and servicing activities. The Wealth Management segment offers fiduciary, private bank, insurance, and investment advisory services; and brokerage and trading services primarily related to providing liquidity to the mortgage markets through trading of U.S. government agency mortgage-backed securities and related derivative contracts, as well as underwrites state and municipal securities. The company also provides commercial loans, such as loans for working capital, facilities acquisition or expansion, purchases of equipment, and other needs of commercial customers; and service, healthcare, manufacturing, wholesale/retail, energy, and other sector loans. In addition, it offers commercial real estate loans for the construction of buildings or other improvements to real estate and property held by borrowers for investment purposes; residential mortgage and personal loans; and automated teller machine, call center, and Internet and mobile banking services. The company was founded in 1910 and is headquartered in Tulsa, Oklahoma.

About ACNB

ACNB Corporation, a financial holding company, offers banking, insurance, and financial services to individual, business, and government customers in the United States. The company provides checking, savings, and money market deposit accounts, as well as time deposits and debit cards. It also offers commercial lending products, such as commercial mortgages, real estate development and construction loans, accounts receivable and inventory financing, and agricultural and governmental loans; consumer lending products, including home equity loans and lines of credit, automobile and recreational vehicle loans, manufactured housing loans, and personal lines of credit; and mortgage lending programs include personal residential mortgages, and residential construction and investment mortgage loans. In addition, the company provides other services that are related to testamentary trusts, life insurance trusts, charitable remainder trusts, guardianships, powers of attorney, custodial accounts, and investment management and advisory accounts; and retail brokerage services. Further, it acts as a trustee to invest in, protect, manage, and distribute financial assets. Additionally, the company offers property and casualty, health, life, and disability insurance products to commercial and personal clients; and online, telephone, and mobile banking, as well as automated teller machine services. ACNB Corporation was founded in 1857 and is headquartered in Gettysburg, Pennsylvania.