NEWT vs CARV

For growth investors, NewtekOne, Inc.

(NEWT) is the stronger pick with 1. 0% revenue growth year-over-year, versus -8. 3% for Carver Bancorp, Inc. (CARV). NewtekOne, Inc. (NEWT) offers the better valuation at 5. 8x trailing P/E (5. 9x forward), making it the more compelling value choice. Analysts rate NewtekOne, Inc. (NEWT) a "Hold" — based on 9 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

Over the past 5 years, NewtekOne, Inc.

(NEWT) delivered a total return of -23. 2%, compared to -79. 3% for Carver Bancorp, Inc. (CARV). Over 10 years, the gap is even starker: NEWT returned +142. 9% versus CARV's -53. 6%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Carver Bancorp, Inc.

(CARV) is the lower-risk stock at 0. 08β versus NewtekOne, Inc. 's 1. 69β — meaning NEWT is approximately 2109% more volatile than CARV relative to the S&P 500. On balance sheet safety, Carver Bancorp, Inc. (CARV) carries a lower debt/equity ratio of 98% versus 2% for NewtekOne, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), NewtekOne, Inc.

(NEWT) is pulling ahead at 1. 0% versus -8. 3% for Carver Bancorp, Inc. (CARV). On earnings-per-share growth, the picture is similar: NewtekOne, Inc. grew EPS 20. 4% year-over-year, compared to -334. 4% for Carver Bancorp, Inc.. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

NewtekOne, Inc.

(NEWT) is the more profitable company, earning 18. 8% net margin versus -36. 8% for Carver Bancorp, Inc. — meaning it keeps 18. 8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: NEWT leads at 42. 5% versus -36. 8% for CARV. At the gross margin level — before operating expenses — NEWT leads at 75. 3%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

In this comparison, NEWT (8.

0% yield) pays a dividend. CARV does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Carver Bancorp, Inc.

(CARV) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 08)). NewtekOne, Inc. (NEWT) carries a higher beta of 1. 69 — meaning larger drawdowns in market downturns, which matters significantly when you cannot wait years for a recovery. Both have compounded well over 10 years (CARV: -53. 6%, NEWT: +142. 9%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: NEWT is a small-cap deep-value stock; CARV is a small-cap quality compounder stock. NEWT pays a dividend while CARV does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.