Bank OZK (NASDAQ:OZK – Get Free Report) and LINKBANCORP (NASDAQ:LNKB – Get Free Report) are both finance companies, but which is the superior business? We will contrast the two businesses based on the strength of their dividends, earnings, profitability, institutional ownership, analyst recommendations, valuation and risk.
Profitability
This table compares Bank OZK and LINKBANCORP’s net margins, return on equity and return on assets.
| Net Margins | Return on Equity | Return on Assets | |
| Bank OZK | 38.48% | 13.95% | 2.21% |
| LINKBANCORP | 5.57% | 4.31% | 0.49% |
Dividends
Bank OZK pays an annual dividend of $1.44 per share and has a dividend yield of 3.5%. LINKBANCORP pays an annual dividend of $0.30 per share and has a dividend yield of 4.8%. Bank OZK pays out 29.2% of its earnings in the form of a dividend. LINKBANCORP pays out 107.1% of its earnings in the form of a dividend, suggesting it may not have sufficient earnings to cover its dividend payment in the future. Bank OZK has raised its dividend for 27 consecutive years.
Insider & Institutional Ownership
Analyst Ratings
This is a breakdown of current recommendations and price targets for Bank OZK and LINKBANCORP, as reported by MarketBeat.
| Sell Ratings | Hold Ratings | Buy Ratings | Strong Buy Ratings | Rating Score | |
| Bank OZK | 0 | 5 | 1 | 0 | 2.17 |
| LINKBANCORP | 0 | 2 | 1 | 0 | 2.33 |
Bank OZK presently has a consensus target price of $39.83, indicating a potential downside of 4.50%. LINKBANCORP has a consensus target price of $8.67, indicating a potential upside of 37.78%. Given LINKBANCORP’s stronger consensus rating and higher possible upside, analysts clearly believe LINKBANCORP is more favorable than Bank OZK.
Earnings and Valuation
This table compares Bank OZK and LINKBANCORP’s top-line revenue, earnings per share and valuation.
| Gross Revenue | Price/Sales Ratio | Net Income | Earnings Per Share | Price/Earnings Ratio | |
| Bank OZK | $1.25 billion | 4.19 | $564.14 million | $4.93 | 8.46 |
| LINKBANCORP | $33.86 million | 3.02 | $5.60 million | $0.28 | 22.46 |
Bank OZK has higher revenue and earnings than LINKBANCORP. Bank OZK is trading at a lower price-to-earnings ratio than LINKBANCORP, indicating that it is currently the more affordable of the two stocks.
Summary
Bank OZK beats LINKBANCORP on 10 of the 15 factors compared between the two stocks.
About Bank OZK
Bank OZK provides various retail and commercial banking services. The company accepts various deposit products, including non-interest-bearing checking, interest bearing transaction, business sweep, savings, money market, individual retirement, and other accounts, as well as time deposits. It also offers real estate, consumer and business purpose, indirect recreational vehicle and marine, commercial and industrial, government guaranteed, agricultural equipment, small business, lines of credit, homebuilder, and affordable housing loans; business aviation and subscription financing services; and mortgage and other lending products. In addition, the company provides trust and wealth services, such as personal trusts, custodial accounts, investment management accounts, and retirement accounts, as well as corporate trust services, including trustee, paying agent and registered transfer agent services, and other related services. Further, it offers treasury management services comprising automated clearing house, wire transfer, transaction reporting, wholesale lockbox, remote deposit capture, automated credit line transfer, reconciliation, positive pay, merchant and commercial card, and other services, as well as zero balance and investment sweep accounts. Additionally, the company provides ATMs; telephone, online, and mobile banking services; debit and credit cards; safe deposit boxes; and other products and services, as well as processes merchant debit and credit card transactions. The company was formerly known as Bank of the Ozarks and changed its name to Bank OZK in July 2018. Bank OZK was founded in 1903 and is headquartered in Little Rock, Arkansas.
About LINKBANCORP
LINKBANCORP, Inc. operates as a bank holding company for The Gratz Bank, that provides various banking products and services to individuals, families, nonprofit, and business customers in Pennsylvania. Its deposit products include demand, saving, and money market accounts, as well as certificates of deposits. The company also offers commercial real estate, commercial business, commercial real estate construction, land development, residential real estate, home equity, consumer, agricultural, and municipal loans. It also provides online banking, mobile banking, direct and remote deposit, and cash management services. LINKBANCORP, Inc. was incorporated in 2018 and is headquartered in Camp Hill, Pennsylvania.
Receive News & Ratings for Bank OZK Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Bank OZK and related companies with MarketBeat.com's FREE daily email newsletter.
