NWFL vs FXNC

For growth investors, Norwood Financial Corp.

(NWFL) is the stronger pick with 34. 2% revenue growth year-over-year, versus 27. 1% for First National Corporation (FXNC). Norwood Financial Corp. (NWFL) offers the better valuation at 10. 0x trailing P/E (8. 7x forward), making it the more compelling value choice. Analysts rate First National Corporation (FXNC) a "Buy" — based on 1 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.

On trailing P/E, Norwood Financial Corp.

(NWFL) is the cheapest at 10. 0x versus First National Corporation at 14. 0x. On forward P/E, Norwood Financial Corp. is actually cheaper at 8. 7x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Norwood Financial Corp. wins at 1. 13x versus First National Corporation's 7. 74x — a reasonable growth-adjusted valuation.

Over the past 5 years, First National Corporation (FXNC) delivered a total return of +66.

3%, compared to +44. 2% for Norwood Financial Corp. (NWFL). Over 10 years, the gap is even starker: FXNC returned +239. 8% versus NWFL's +116. 3%. 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), First National Corporation (FXNC) is the lower-risk stock at 0.

70β versus Norwood Financial Corp. 's 0. 72β — meaning NWFL is approximately 2% more volatile than FXNC relative to the S&P 500. On balance sheet safety, First National Corporation (FXNC) carries a lower debt/equity ratio of 23% versus 31% for Norwood Financial Corp. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Norwood Financial Corp.

(NWFL) is pulling ahead at 34. 2% versus 27. 1% for First National Corporation (FXNC). On earnings-per-share growth, the picture is similar: Norwood Financial Corp. grew EPS 152. 5% year-over-year, compared to 96. 0% for First National Corporation. 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.

Norwood Financial Corp.

(NWFL) is the more profitable company, earning 20. 4% net margin versus 15. 8% for First National Corporation — meaning it keeps 20. 4% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: NWFL leads at 26. 1% versus 19. 6% for FXNC. At the gross margin level — before operating expenses — FXNC leads at 74. 0%, 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.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, Norwood Financial Corp. (NWFL) is the more undervalued stock at a PEG of 1. 13x versus First National Corporation's 7. 74x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Norwood Financial Corp. (NWFL) trades at 8. 7x forward P/E versus 11. 6x for First National Corporation — 2. 8x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for NWFL: 9. 4% to $33. 00.

All stocks in this comparison pay dividends.

Norwood Financial Corp. (NWFL) offers the highest yield at 4. 2%, versus 2. 2% for First National Corporation (FXNC).

For long-horizon retirement investors, First National Corporation (FXNC) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

70), 2. 2% yield, +239. 8% 10Y return). Both have compounded well over 10 years (FXNC: +239. 8%, NWFL: +116. 3%), 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.

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.