ORRF vs FUNC

For growth investors, Orrstown Financial Services, Inc.

(ORRF) is the stronger pick with 24. 6% revenue growth year-over-year, versus 16. 9% for First United Corporation (FUNC). Orrstown Financial Services, Inc. (ORRF) offers the better valuation at 8. 5x trailing P/E (8. 8x forward), making it the more compelling value choice. Analysts rate First United Corporation (FUNC) 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, Orrstown Financial Services, Inc.

(ORRF) is the cheapest at 8. 5x versus First United Corporation at 11. 9x. On forward P/E, First United Corporation is actually cheaper at 8. 5x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Orrstown Financial Services, Inc. wins at 0. 69x versus First United Corporation's 0. 76x — a PEG below 1. 0 traditionally signals the market is underpricing earnings growth.

Over the past 5 years, First United Corporation (FUNC) delivered a total return of +129.

8%, compared to +72. 2% for Orrstown Financial Services, Inc. (ORRF). Over 10 years, the gap is even starker: FUNC returned +283. 2% versus ORRF's +139. 4%. 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 United Corporation (FUNC) is the lower-risk stock at 0.

72β versus Orrstown Financial Services, Inc. 's 0. 85β — meaning ORRF is approximately 19% more volatile than FUNC relative to the S&P 500. On balance sheet safety, Orrstown Financial Services, Inc. (ORRF) carries a lower debt/equity ratio of 57% versus 105% for First United Corporation — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Orrstown Financial Services, Inc.

(ORRF) is pulling ahead at 24. 6% versus 16. 9% for First United Corporation (FUNC). On earnings-per-share growth, the picture is similar: Orrstown Financial Services, Inc. grew EPS 193. 9% year-over-year, compared to 40. 0% for First United 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.

Orrstown Financial Services, Inc.

(ORRF) is the more profitable company, earning 22. 8% net margin versus 18. 4% for First United Corporation — meaning it keeps 22. 8% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: ORRF leads at 29. 0% versus 24. 4% for FUNC. At the gross margin level — before operating expenses — ORRF leads at 70. 6%, 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, Orrstown Financial Services, Inc. (ORRF) is the more undervalued stock at a PEG of 0. 69x versus First United Corporation's 0. 76x. A PEG below 1. 0 is traditionally considered the threshold for growth-adjusted undervaluation. On forward earnings alone, First United Corporation (FUNC) trades at 8. 5x forward P/E versus 8. 8x for Orrstown Financial Services, Inc. — 0. 2x cheaper on a one-year earnings basis.

All stocks in this comparison pay dividends.

Orrstown Financial Services, Inc. (ORRF) offers the highest yield at 3. 3%, versus 2. 2% for First United Corporation (FUNC).

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

72), 2. 2% yield, +283. 2% 10Y return). Both have compounded well over 10 years (FUNC: +283. 2%, ORRF: +139. 4%), 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.