First Business Financial Services (FBIZ) Competitors

First Business Financial Services (NASDAQ:FBIZ) and Unity Bancorp (NASDAQ:UNTY) are both small-cap finance companies, but which is the better investment? We will compare the two businesses based on the strength of their media sentiment, dividends, risk, analyst recommendations, community ranking, profitability, institutional ownership, valuation and earnings.

Does the MarketBeat Community believe in FBIZ or UNTY?

First Business Financial Services received 87 more outperform votes than Unity Bancorp when rated by MarketBeat users. However, 64.49% of users gave Unity Bancorp an outperform vote while only 59.47% of users gave First Business Financial Services an outperform vote.

Company	Underperform	Outperform
First Business Financial Services	Outperform Votes 245 59.47%	Underperform Votes 167 40.53%
Unity Bancorp	Outperform Votes 158 64.49%	Underperform Votes 87 35.51%

Do institutionals and insiders believe in FBIZ or UNTY?

60.1% of First Business Financial Services shares are held by institutional investors. Comparatively, 42.3% of Unity Bancorp shares are held by institutional investors. 6.2% of First Business Financial Services shares are held by insiders. Comparatively, 28.9% of Unity Bancorp shares are held by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a company is poised for long-term growth.

Is FBIZ or UNTY a better dividend stock?

First Business Financial Services pays an annual dividend of $1.00 per share and has a dividend yield of 2.9%. Unity Bancorp pays an annual dividend of $0.52 per share and has a dividend yield of 2.0%. First Business Financial Services pays out 23.0% of its earnings in the form of a dividend. Unity Bancorp pays out 13.6% 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.

Does the media prefer FBIZ or UNTY?

In the previous week, Unity Bancorp had 2 more articles in the media than First Business Financial Services. MarketBeat recorded 4 mentions for Unity Bancorp and 2 mentions for First Business Financial Services. First Business Financial Services' average media sentiment score of 1.44 beat Unity Bancorp's score of 1.28 indicating that First Business Financial Services is being referred to more favorably in the media.

Company	Overall Sentiment
First Business Financial Services	Positive
Unity Bancorp	Positive

Do analysts recommend FBIZ or UNTY?

First Business Financial Services currently has a consensus price target of $45.00, indicating a potential upside of 31.08%. Given First Business Financial Services' higher probable upside, analysts clearly believe First Business Financial Services is more favorable than Unity Bancorp.

Company	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Business Financial Services	0 Sell rating(s)	0 Hold rating(s)	2 Buy rating(s)	0 Strong Buy rating(s)	3.00
Unity Bancorp	0 Sell rating(s)	0 Hold rating(s)	0 Buy rating(s)	0 Strong Buy rating(s)	N/A

Which has more risk & volatility, FBIZ or UNTY?

First Business Financial Services has a beta of 0.81, indicating that its stock price is 19% less volatile than the S&P 500. Comparatively, Unity Bancorp has a beta of 1.04, indicating that its stock price is 4% more volatile than the S&P 500.

Which has stronger valuation & earnings, FBIZ or UNTY?

Unity Bancorp has lower revenue, but higher earnings than First Business Financial Services. Unity Bancorp is trading at a lower price-to-earnings ratio than First Business Financial Services, indicating that it is currently the more affordable of the two stocks.

Company	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Business Financial Services	$226.24M	1.26	$37.03M	$4.34	7.91
Unity Bancorp	$151.64M	1.74	$39.71M	$3.81	6.90

Is FBIZ or UNTY more profitable?

Unity Bancorp has a net margin of 24.92% compared to First Business Financial Services' net margin of 15.48%. Unity Bancorp's return on equity of 15.23% beat First Business Financial Services' return on equity.

Company	Net Margins	Return on Equity	Return on Assets
First Business Financial Services	15.48%	13.51%	1.08%
Unity Bancorp	24.92%	15.23%	1.52%

Summary

Unity Bancorp beats First Business Financial Services on 10 of the 19 factors compared between the two stocks.