FirstSun Capital Bancorp (NASDAQ:FSUN) & 1st Source (NASDAQ:SRCE) Head to Head Survey

FirstSun Capital Bancorp (NASDAQ:FSUN) and 1st Source (NASDAQ:SRCE) are both small-cap finance companies, but which is the better business? We will compare the two businesses based on the strength of their profitability, risk, dividends, institutional ownership, analyst recommendations, earnings and valuation.

Earnings & Valuation

This table compares FirstSun Capital Bancorp and 1st Source”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
FirstSun Capital Bancorp	$549.33 million	1.95	$75.63 million	$3.16	12.14
1st Source	$574.21 million	2.72	$132.62 million	$6.01	10.64

1st Source has higher revenue and earnings than FirstSun Capital Bancorp. 1st Source is trading at a lower price-to-earnings ratio than FirstSun Capital Bancorp, indicating that it is currently the more affordable of the two stocks.

Volatility & Risk

FirstSun Capital Bancorp has a beta of 0.95, indicating that its share price is 5% less volatile than the S&P 500. Comparatively, 1st Source has a beta of 0.66, indicating that its share price is 34% less volatile than the S&P 500.

Profitability

This table compares FirstSun Capital Bancorp and 1st Source’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FirstSun Capital Bancorp	15.94%	9.00%	1.17%
1st Source	24.97%	12.25%	1.68%

Analyst Recommendations

This is a breakdown of current ratings and target prices for FirstSun Capital Bancorp and 1st Source, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FirstSun Capital Bancorp	0	1	3	0	2.75
1st Source	0	3	2	0	2.40

FirstSun Capital Bancorp currently has a consensus target price of $43.33, indicating a potential upside of 12.96%. 1st Source has a consensus target price of $72.67, indicating a potential upside of 13.59%. Given 1st Source’s higher possible upside, analysts clearly believe 1st Source is more favorable than FirstSun Capital Bancorp.

Insider and Institutional Ownership

74.5% of 1st Source shares are owned by institutional investors. 12.5% of FirstSun Capital Bancorp shares are owned by insiders. Comparatively, 19.6% of 1st Source shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Summary

1st Source beats FirstSun Capital Bancorp on 10 of the 14 factors compared between the two stocks.

About FirstSun Capital Bancorp

FirstSun Capital Bancorp engages in the provision of commercial banking services. It operates through the following segments: Banking, Mortgage Operations, and Corporate. The Banking segment consists of loans and provides deposits and fee-based services to consumer, business, and mortgage lending customers. The Mortgage Operations segment originates, sells, services, and manages market risk from changes in interest rates on one-to-four family residential mortgage loans to sell and hold. The company is founded on November 9, 1981 headquartered in Denver, CO.

About 1st Source

1st Source Corporation operates as the bank holding company for 1st Source Bank that provides commercial and consumer banking services, trust and wealth advisory services, and insurance products to individual and business clients. Its consumer banking services include checking and savings accounts; certificates of deposit; individual retirement accounts; online and mobile banking products; consumer loans, real estate mortgage loans, and home equity lines of credit; and financial planning, financial literacy, and other consultative services, as well as debit and credit cards. The company also offers commercial, small business, agricultural, and real estate loans for general corporate purposes, including financing for industrial and commercial properties, equipment, inventories, accounts receivables, and renewable energy and acquisition financing; and commercial leasing, treasury management, and retirement planning services. In addition, it provides trust, investment, agency, and custodial services comprising administration of estates and personal trusts, as well as management of investment accounts for individuals, employee benefit plans, and charitable foundations. Further, the company offers equipment loan and lease products for construction equipment, new and pre-owned aircraft, auto and light trucks, and medium and heavy duty trucks; and finances construction equipment, aircrafts, medium and heavy duty trucks, step vans, vocational work trucks, motor coaches, shuttle buses, funeral cars, automobiles, and other equipment. Additionally, it provides corporate and personal property, casualty, and individual and group health and life insurance products and services. 1st Source Corporation was founded in 1863 and is headquartered in South Bend, Indiana.