Arrow Financial Corporation (AROW) vs Third Coast Bancshares, Inc. (TCBX)

Arrow Financial Corporation and Third Coast Bancshares, Inc. are both Banks Regional companies. Arrow Financial Corporation and Third Coast Bancshares, Inc. are of similar size ($713.0M and $691.5M). Third Coast Bancshares, Inc. trades at the lower P/E: 9.2× against 12.1×. Third Coast Bancshares, Inc. grew revenue faster over the last twelve months: 16.9% against 8.43%. Arrow Financial Corporation has the higher net margin (20.6% vs 17.1%) and the lower return on invested capital (14.2% vs 21.9%). Across the 19 metrics below, Third Coast Bancshares, Inc. leads on 12 and Arrow Financial Corporation on 7.

Valuation

Metric AROW TCBX Banks Regional median
P/E 12.15 9.18 12.15
P/S 2.48 1.76 2.37
P/B 1.39 1.07 1.21
Price to free cash flow 12.96 45.46 10.80
EV/EBITDA n/m n/m —
EV/Sales 1.83 1.09 2.27
Earnings yield 8.23% 10.89% 8.11%
Free cash flow yield 7.71% 2.20% 8.98%

Profitability

Metric AROW TCBX Banks Regional median
Gross margin 70.23% 58.05% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 20.56% 17.07% 18.66%
Free cash flow margin 19.12% 3.87% 21.18%
Return on equity 12.00% 11.92% 10.64%
Return on assets 1.15% 1.19% 1.13%
Return on invested capital 14.20% 21.87% 8.33%

Growth

Metric AROW TCBX Banks Regional median
Revenue growth (TTM) 8.43% 16.85% 6.61%
EPS growth (last fiscal year) 49.72% 36.33% —
Revenue growth, 5-year CAGR 10.91% 34.06% 12.30%
Net income growth, 5-year CAGR 1.49% 38.41% 9.71%

Health

Metric AROW TCBX Banks Regional median
Debt to equity 0.06 0.00 0.22
Current ratio 0.92 0.97 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric AROW TCBX Banks Regional median
Dividend yield 4.47% — 3.75%
Payout ratio 0.46 0.00 0.27

Size

Metric AROW TCBX Banks Regional median
Market cap 691.49m 713.00m 921.07m

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