Analyzing California Business Bank (OTCMKTS:CABB) and SouthState (NASDAQ:SSB)

California Business Bank (OTCMKTS:CABB – Get Rating) and SouthState (NASDAQ:SSB – Get Rating) are both finance companies, but which is the superior stock? We will contrast the two businesses based on the strength of their dividends, valuation, risk, profitability, analyst recommendations, earnings and institutional ownership.

Institutional & Insider Ownership

80.3% of SouthState shares are held by institutional investors. 1.3% of SouthState shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Earnings and Valuation

This table compares California Business Bank and SouthState’s revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
California Business Bank	N/A	N/A	N/A	N/A	N/A
SouthState	$1.71 billion	2.89	$496.05 million	$7.03	9.24

SouthState has higher revenue and earnings than California Business Bank.

Volatility & Risk

California Business Bank has a beta of 0.4, suggesting that its stock price is 60% less volatile than the S&P 500. Comparatively, SouthState has a beta of 0.79, suggesting that its stock price is 21% less volatile than the S&P 500.

Profitability

This table compares California Business Bank and SouthState’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
California Business Bank	N/A	N/A	N/A
SouthState	28.57%	11.02%	1.24%

Analyst Recommendations

This is a summary of recent recommendations for California Business Bank and SouthState, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
California Business Bank	0	0	0	0	N/A
SouthState	0	1	4	0	2.80

SouthState has a consensus price target of $86.40, suggesting a potential upside of 32.94%. Given SouthState’s higher probable upside, analysts plainly believe SouthState is more favorable than California Business Bank.

Summary

SouthState beats California Business Bank on 9 of the 9 factors compared between the two stocks.

About California Business Bank

(Get Rating)

California Business Bank provides various financial products and services for small businesses and entrepreneurs. The company offers various personal and business deposit products; and business and commercial loans comprising SBA, commercial and industrial, and commercial real estate loans. It also provides online and mobile banking, mobile deposit, bill pay, and other services. The company was founded in 2005 and is headquartered in Irvine, California.

About SouthState

(Get Rating)

South State Corp. is a bank and financial holding company, which engages in the provision of banking services and products to customers through its subsidiary. Its services include demand, time, and savings deposits, lending and credit card servicing, ATM processing, mortgage banking services, correspondent banking services and wealth management, and trust services. The company was founded in 1985 and is headquartered in Winter Haven, FL.