Head-To-Head Comparison: Burke & Herbert Financial Services (BHRB) versus Its Rivals

Burke & Herbert Financial Services (NASDAQ:BHRB) is one of 181 publicly-traded companies in the “National commercial banks” industry, but how does it contrast to its peers? We will compare Burke & Herbert Financial Services to related companies based on the strength of its profitability, analyst recommendations, institutional ownership, dividends, valuation, earnings and risk.

Dividends

Burke & Herbert Financial Services pays an annual dividend of $2.12 per share and has a dividend yield of 3.4%. Burke & Herbert Financial Services pays out 26.0% of its earnings in the form of a dividend. As a group, “National commercial banks” companies pay a dividend yield of 2.7% and pay out 31.6% of their earnings in the form of a dividend. Burke & Herbert Financial Services is clearly a better dividend stock than its peers, given its higher yield and lower payout ratio.

Earnings & Valuation

This table compares Burke & Herbert Financial Services and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Burke & Herbert Financial Services	$148.44 million	$22.69 million	7.73
Burke & Herbert Financial Services Competitors	$167.05 billion	$1.93 billion	11.72

Burke & Herbert Financial Services’ peers have higher revenue and earnings than Burke & Herbert Financial Services. Burke & Herbert Financial Services is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Insider and Institutional Ownership

54.5% of shares of all “National commercial banks” companies are owned by institutional investors. 9.7% of Burke & Herbert Financial Services shares are owned by company insiders. Comparatively, 8.7% of shares of all “National commercial banks” companies are owned 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.

Analyst Ratings

This is a summary of recent recommendations and price targets for Burke & Herbert Financial Services and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Burke & Herbert Financial Services	0	1	0	0	2.00
Burke & Herbert Financial Services Competitors	1480	8298	7033	289	2.36

Burke & Herbert Financial Services currently has a consensus price target of $73.00, indicating a potential upside of 15.93%. As a group, “National commercial banks” companies have a potential upside of 39.71%. Given Burke & Herbert Financial Services’ peers stronger consensus rating and higher probable upside, analysts clearly believe Burke & Herbert Financial Services has less favorable growth aspects than its peers.

Profitability

This table compares Burke & Herbert Financial Services and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Burke & Herbert Financial Services	-1.10%	9.96%	0.85%
Burke & Herbert Financial Services Competitors	14.87%	9.84%	0.95%

Summary

Burke & Herbert Financial Services peers beat Burke & Herbert Financial Services on 10 of the 14 factors compared.

Burke & Herbert Financial Services Company Profile

Burke & Herbert Financial Services Corp. operates as the bank holding company for Burke & Herbert Bank & Trust Company that provides various community banking products and services in Virginia and Maryland. It offers consumer and commercial deposit products, such as digital banking, demand, negotiable order of withdrawal, money market, and savings accounts, as well as certificates of deposit. The company also provides loans, such as commercial real estate, single family residential, owner-occupied commercial real estate, residential mortgage, acquisition, construction and development, commercial and industrial, and consumer non-real estate and other loans. In addition, it offers treasury and cash management services; and online and mobile banking, and wealth and trust services. The company was founded in 1852 and is headquartered in Alexandria, Virginia.