Head to Head Comparison: Amalgamated Financial (NASDAQ:AMAL) vs. Glen Burnie Bancorp (NASDAQ:GLBZ)

Amalgamated Financial (NASDAQ:AMAL) and Glen Burnie Bancorp (NASDAQ:GLBZ) are both small-cap finance companies, but which is the superior business? We will compare the two businesses based on the strength of their analyst recommendations, dividends, risk, institutional ownership, profitability, valuation and earnings.

Analyst Recommendations

This is a breakdown of current recommendations and price targets for Amalgamated Financial and Glen Burnie Bancorp, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Amalgamated Financial	0	1	2	0	2.67
Glen Burnie Bancorp	0	0	0	0	N/A

Amalgamated Financial currently has a consensus price target of $24.83, indicating a potential upside of 43.71%. Given Amalgamated Financial’s higher possible upside, research analysts clearly believe Amalgamated Financial is more favorable than Glen Burnie Bancorp.

Volatility and Risk

Amalgamated Financial has a beta of 0.82, meaning that its share price is 18% less volatile than the S&P 500. Comparatively, Glen Burnie Bancorp has a beta of 0.64, meaning that its share price is 36% less volatile than the S&P 500.

Dividends

Amalgamated Financial pays an annual dividend of $0.40 per share and has a dividend yield of 2.3%. Glen Burnie Bancorp pays an annual dividend of $0.40 per share and has a dividend yield of 5.6%. Amalgamated Financial pays out 13.7% of its earnings in the form of a dividend. Glen Burnie Bancorp pays out 59.7% 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. Amalgamated Financial has increased its dividend for 1 consecutive years.

Profitability

This table compares Amalgamated Financial and Glen Burnie Bancorp’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Amalgamated Financial	26.47%	18.54%	1.21%
Glen Burnie Bancorp	13.09%	11.63%	0.50%

Institutional and Insider Ownership

52.1% of Amalgamated Financial shares are owned by institutional investors. Comparatively, 4.6% of Glen Burnie Bancorp shares are owned by institutional investors. 1.4% of Amalgamated Financial shares are owned by company insiders. Comparatively, 15.2% of Glen Burnie Bancorp shares are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Amalgamated Financial and Glen Burnie Bancorp’s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Amalgamated Financial	$289.47 million	1.81	$81.48 million	$2.93	5.88
Glen Burnie Bancorp	$14.07 million	1.46	$1.75 million	$0.67	10.67

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

Summary

Amalgamated Financial beats Glen Burnie Bancorp on 13 of the 16 factors compared between the two stocks.

About Amalgamated Financial

Amalgamated Financial Corp. operates as the bank holding company for Amalgamated Bank that provides commercial and retail banking, investment management, and trust and custody services for commercial and retail customers in the United States. The company accepts various deposit products, including non-interest bearing accounts, interest-bearing demand products, savings accounts, money market accounts, NOW accounts, and certificates of deposit. It also provides various commercial loans comprising commercial and industrial, multifamily mortgage, and commercial real estate loans; and retail loans, such as residential real estate, and consumer and other loans. In addition, the company offers online banking, bill payment, online cash management, and safe deposit box rental services; debit and ATM cards; and trust, custody, and investment management services comprising asset safekeeping, corporate actions, income collections, proxy, account transition, asset transfers, and conversion management services. Further, it provides investment products, such as funds spanning equity, fixed-income, real estate, and alternative investment products; and brokerage, asset management, and insurance products. The company was founded in 1923 and is headquartered in New York, New York.

About Glen Burnie Bancorp

Glen Burnie Bancorp operates as the bank holding company for The Bank of Glen Burnie that provides commercial and retail banking services to individuals, associations, partnerships, and corporations. The company offers savings accounts, money market deposit accounts, demand deposit accounts, NOW checking accounts, IRA and SEP accounts, and certificates of deposit. It also provides residential and commercial real estate, construction, land acquisition and development, and secured and unsecured commercial loans, as well as consumer instalment lending, such as indirect automobile lending services; and residential first and second mortgage loans, home equity lines of credit, and commercial mortgage loans. In addition, the company offers safe deposit boxes, money orders, night depositories, automated clearinghouse transactions, wire transfers, and automated teller machine (ATM) services, as well as electronic banking services, such as telephone and online banking, bill pay, card management and control, mobile app, merchant source capture, mobile deposit capture, Zelle, etc. Further, it provides treasury services, including wire transfer and ACH services, and debit cards. Additionally, the company engages in the acquisition and disposition of other real estate properties. It serves customers in northern Anne Arundel county and surrounding areas from its main office and branch in Glen Burnie, Maryland; and branch offices in Odenton, Riviera Beach, Crownsville, Severn, Linthicum, and Severna Park, Maryland. The company also operates a remote ATM located in Pasadena, Maryland. Glen Burnie Bancorp was founded in 1949 and is based in Glen Burnie, Maryland.