Head to Head Survey: AmeriServ Financial (NASDAQ:ASRV) versus CVB Financial (NASDAQ:CVBF)

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

Dividends

CVB Financial pays an annual dividend of $0.80 per share and has a dividend yield of 3.5%. AmeriServ Financial pays an annual dividend of $0.12 per share and has a dividend yield of 2.5%. CVB Financial pays out 55.2% of its earnings in the form of a dividend. AmeriServ Financial pays out 23.5% 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.

Volatility & Risk

CVB Financial has a beta of 0.64, indicating that its stock price is 36% less volatile than the S&P 500. Comparatively, AmeriServ Financial has a beta of 0.44, indicating that its stock price is 56% less volatile than the S&P 500.

Profitability

This table compares CVB Financial and AmeriServ Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
CVB Financial	29.02%	9.21%	1.36%
AmeriServ Financial	9.51%	7.13%	0.58%

Earnings & Valuation

This table compares CVB Financial and AmeriServ Financial”s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
CVB Financial	$648.47 million	6.17	$209.30 million	$1.45	15.69
AmeriServ Financial	$88.34 million	0.92	$5.61 million	$0.51	9.43

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

Analyst Recommendations

This is a breakdown of current recommendations for CVB Financial and AmeriServ Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
CVB Financial	0	1	4	0	2.80
AmeriServ Financial	0	0	1	0	3.00

CVB Financial currently has a consensus target price of $26.25, indicating a potential upside of 15.38%. Given CVB Financial’s higher possible upside, analysts plainly believe CVB Financial is more favorable than AmeriServ Financial.

Insider & Institutional Ownership

74.2% of CVB Financial shares are held by institutional investors. Comparatively, 31.5% of AmeriServ Financial shares are held by institutional investors. 6.4% of CVB Financial shares are held by company insiders. Comparatively, 7.9% of AmeriServ Financial shares are held by company 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.

Summary

CVB Financial beats AmeriServ Financial on 13 of the 16 factors compared between the two stocks.

About CVB Financial

CVB Financial Corp. operates as a bank holding company for Citizens Business Bank, a state-chartered bank that provides banking and financial services to small to mid-sized businesses and individuals. It offers checking, savings, money market, and time certificates of deposit products for business and personal accounts; and serves as a federal tax depository for business customers. The company also provides commercial lending products comprising lines of credit and other working capital financing, accounts receivable lending, and letters of credit; agriculture loans to finance the operating needs of wholesale dairy farm operations, cattle feeders, livestock raisers, and farmers; lease financing services for municipal governments; commercial real estate and construction loans; and consumer financing products, including automobile leasing and financing, lines of credit, credit cards, home mortgages, and home equity loans and lines of credit. In addition, it offers various specialized services, such as treasury management systems for monitoring cash flow, merchant card processing program, armored pick-up and delivery, payroll services, remote deposit capture, electronic funds transfers, wires and automated clearinghouse, and online account access. Further, the company provides trust services, such as fiduciary services, mutual funds, annuities, 401(k) plans, and individual investment accounts. CVB Financial Corp. was founded in 1974 and is headquartered in Ontario, California.

About AmeriServ Financial

AmeriServ Financial, Inc. is a holding company, which engages in the provision of consumer, mortgage and commercial financial products and services through its subsidiary. It operates through the following segments: Community Banking, Wealth Management, and Investment or Parent. The Community Banking segment includes both retail and commercial banking activities. The Wealth Management segment involves in the operations of a Trust Company, West Chester Capital Advisors an investment advisory firm, and Financial Services. The Investment or Parent segment offers investment securities, borrowing activities, and general corporate expenses. The company was founded in January 1983 and is headquartered in Johnstown, PA.