Capital Bancorp (NASDAQ:CBNK) and Alerus Financial (NASDAQ:ALRS) Head to Head Comparison

Capital Bancorp (NASDAQ:CBNK – Get Rating) and Alerus Financial (NASDAQ:ALRS – Get Rating) are both small cap finance companies, but which is the best investment? We’ll compare the two companies based on their dividend strength, analyst recommendations, earnings, institutional ownership, valuation, profitability and risk.

Benefits and evaluation

This table compares the revenue, earnings per share and valuation of Capital Bancorp and Alerus Financial.

Gross revenue Price/sales ratio Net revenue Earnings per share Price/earnings ratio
capital bank $173.88 million 1.95 $39.98 million $3.01 8.02
Alerus Financial $240.04 million 1.76 $52.68 million $2.55 9.58

Alerus Financial has higher revenue and profit than Capital Bancorp. Capital Bancorp trades at a lower price-to-earnings ratio than Alerus Financial, indicating that it is currently the more affordable of the two stocks.


This table compares the net margins, return on equity and return on assets of Capital Bancorp and Alerus Financial.

Net margins Return on equity return on assets
capital bank 24.18% 21.18% 1.96%
Alerus Financial 20.32% 13.29% 1.40%

Risk and Volatility

Capital Bancorp has a beta of 0.52, which means its stock price is 48% less volatile than the S&P 500. In comparison, Alerus Financial has a beta of 0.72, which means its stock price is 28% less volatile than the S&P 500.

Insider and Institutional Ownership

46.4% of Capital Bancorp shares are held by institutional investors. By comparison, 39.5% of Alerus Financial’s shares are held by institutional investors. 33.1% of Capital Bancorp shares are held by insiders. By comparison, 6.9% of Alerus Financial shares are held by insiders. Strong institutional ownership indicates that hedge funds, large fund managers, and endowments believe a company will outperform the market over the long term.


Capital Bancorp pays an annual dividend of $0.20 per share and has a dividend yield of 0.8%. Alerus Financial pays an annual dividend of $0.72 per share and has a dividend yield of 2.9%. Capital Bancorp pays 6.6% of its profits as a dividend. Alerus Financial pays 28.2% of its profits as a dividend. Both companies have healthy payout ratios and should be able to cover their dividend payments with earnings over the next few years. Capital Bancorp has increased its dividend for 1 consecutive years.

Analyst Recommendations

This is a breakdown of the current recommendations for Capital Bancorp and Alerus Financial, as provided by

Sales Ratings Hold odds Buy reviews Strong buy odds Rating
capital bank 0 0 0 0 N / A
Alerus Financial 0 0 1 0 3.00

Capital Bancorp currently has a consensus price target of $25.50, suggesting a potential upside of 5.63%. Alerus Financial has a consensus price target of $28.00, suggesting a potential upside of 14.66%. Given Alerus Financial’s possible higher upside, analysts clearly believe that Alerus Financial is more favorable than Capital Bancorp.


Capital Bancorp beats Alerus Financial on 9 out of 16 factors compared between the two stocks.

About Capital Bancorp

(Get a rating)

Capital Bancorp, Inc. operates as a bank holding company for Capital Bank, NA which provides various banking products and services to businesses, nonprofits, and entrepreneurs in the United States. It operates through Commercial Banking, Capital Bank Home Loans and OpenSky segments. The Company offers a range of deposit products and services, including checking and savings accounts, term, interest-bearing demand and money market accounts, and certificates of deposit; and credit cards. It issues residential mortgage loans and offers residential and commercial real estate loans, construction loans and commercial loans, as well as other consumer loans, such as term loans, auto loans and boat loans to small and medium enterprises, professionals, real estate investors. , and small home builders and individuals. It operates through four commercial bank branches, four mortgage offices and a loan origination office. The company was founded in 1974 and is based in Rockville, Maryland.

About Alerus Financial

(Get a rating)

Alerus Financial Corporation, through its subsidiary, Alerus Financial, National Association, provides various financial services to businesses and consumers. The Company operates through four segments: Banking, Pension and Benefits, Wealth Management and Mortgages. It offers various deposit products, including demand deposits, interest-bearing transaction accounts, money market accounts, term and savings deposits, checking accounts and certificates of deposit; and cash management products, including electronic receivables management, remote deposit capture, vault services, merchant services and other cash management services. The Company also offers commercial loans, business term loans, lines of credit and commercial real estate loans, as well as loans for construction and land development; consumer credit products, including residential first mortgages; installment loans and lines of credit; and second mortgages. In addition, it offers pension plan administration and investment advisory services, employee stock ownership plan, trust services, payroll, health savings accounts and other employee benefits services. , as well as individual retirement accounts; and financial planning, investment management, personal and business trust, estate administration and custodial services. In addition, the Company provides debit and credit cards, online banking, mobile banking/wallet services, payments, private banking, payroll accounts, flexible spending accounts, mobile banking services. administration and government health insurance program. It offers banking services through fourteen offices in North Dakota, Minnesota and Arizona; and pension and benefit plans in 50 states through offices in Michigan, Minnesota and Colorado. The company was formerly known as First National Bank North Dakota and changed its name to Alerus Financial Corporation in 2000. Alerus Financial Corporation was founded in 1879 and is headquartered in Grand Forks, North Dakota.

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