SouthState (NASDAQ:SSB) versus HBT Financial (NASDAQ:HBT) Head to Head Comparison

SouthState (NASDAQ:SSB) and HBT Financial (NASDAQ:HBT) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their valuation, earnings, analyst recommendations, institutional ownership, risk, profitability and dividends.

Dividends

SouthState pays an annual dividend of $2.16 per share and has a dividend yield of 2.1%. HBT Financial pays an annual dividend of $0.76 per share and has a dividend yield of 3.3%. SouthState pays out 33.3% of its earnings in the form of a dividend. HBT Financial pays out 33.6% 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. SouthState has raised its dividend for 13 consecutive years.

Analyst Recommendations

This is a summary of current recommendations and price targets for SouthState and HBT Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
SouthState	0	3	6	0	2.67
HBT Financial	1	2	2	0	2.20

SouthState presently has a consensus target price of $112.56, suggesting a potential upside of 8.97%. HBT Financial has a consensus target price of $24.80, suggesting a potential upside of 6.35%. Given SouthState’s stronger consensus rating and higher possible upside, analysts clearly believe SouthState is more favorable than HBT Financial.

Risk & Volatility

SouthState has a beta of 0.7, meaning that its stock price is 30% less volatile than the S&P 500. Comparatively, HBT Financial has a beta of 0.88, meaning that its stock price is 12% less volatile than the S&P 500.

Profitability

This table compares SouthState and HBT Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
SouthState	21.24%	9.41%	1.17%
HBT Financial	24.99%	14.57%	1.50%

Earnings and Valuation

This table compares SouthState and HBT Financial”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
SouthState	$2.23 billion	3.53	$494.31 million	$6.48	15.94
HBT Financial	$287.27 million	2.56	$65.84 million	$2.26	10.32

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

Insider and Institutional Ownership

89.8% of SouthState shares are held by institutional investors. Comparatively, 78.6% of HBT Financial shares are held by institutional investors. 1.3% of SouthState shares are held by insiders. Comparatively, 59.8% of HBT Financial shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Summary

SouthState beats HBT Financial on 11 of the 17 factors compared between the two stocks.

About SouthState

SouthState Corporation operates as the bank holding company for SouthState Bank, National Association that provides a range of banking services and products to individuals and companies. It offers checking accounts, savings deposits, interest-bearing transaction accounts, certificates of deposits, money market accounts, and other time deposits, as well as bond accounting, asset/liability consulting related activities, and other clearing and corporate checking account services. The company also offers commercial real estate loans, residential real estate loans, commercial, and industrial loans, as well as consumer loans, including auto, boat, and personal installment, as well as business, agriculture, real estate-secured (mortgage), home improvement, and manufactured housing loans. In addition, it provides debit card, mobile services, funds transfer products and services, and treasury management services comprising merchant, automated clearing house, lock-box, remote deposit capture, and other treasury services, as well as asset and wealth management, and other fiduciary and private banking services. Further, the company offers safe deposit boxes, bank money orders, wire transfer, brokerage services, and alternative investment products, including annuities, mutual funds, and trust management services; and credit cards, letters of credit, and home equity lines of credit. The company also serves its customers through online, mobile, and telephone banking platforms. The company was formerly known as First Financial Holdings, Inc. and changed its name to SouthState Corporation in July 2013. SouthState Corporation was founded in 1933 and is headquartered in Winter Haven, Florida.

About HBT Financial

HBT Financial, Inc. operates as the bank holding company for Heartland Bank and Trust Company that provides business, commercial, and retail banking products and services to individuals, businesses, and municipal entities in Central and Northeastern Illinois, and Eastern Iowa. The company's deposits accounts consist of noninterest-bearing demand deposits, interest-bearing transaction accounts, money market accounts, savings accounts, certificates of deposits, health savings accounts, and individual retirement accounts. Its loan offering comprises owner and non-owner occupied commercial real estate; construction and land development and multi-family; commercial and industrial; agricultural and farmland; and one-to-four family residential loans, as well as municipal, consumer, and other loans. The company also offers wealth management services, including financial planning to consumers, trusts, and estates; trustee and custodial; investment management; corporate retirement plan consulting and administration; and retail brokerage services. In addition, it provides farmland management, and farmland sales and services; commercial checking accounts; and treasury management services, as well as originates and sells residential mortgage loans. Further, the company offers digital banking services, such as online and mobile banking, and digital payment services, as well as personal financial management tools. The company was formerly known as Heartland Bancorp, Inc. and changed its name to HBT Financial, Inc. in September 2019. HBT Financial, Inc. was founded in 1920 and is headquartered in Bloomington, Illinois.