BankUnited, Inc. (BKU) vs Provident Financial Services, Inc (PFS)

BankUnited, Inc. and Provident Financial Services, Inc are both Banks Regional companies. BankUnited, Inc. and Provident Financial Services, Inc are of similar size ($3.1B and $3.0B). Provident Financial Services, Inc trades at the lower P/E: 9.5× against 11.9×. Provident Financial Services, Inc grew revenue faster over the last twelve months: 3.72% against −5.24%. Provident Financial Services, Inc has the higher net margin (22.2% vs 14.5%) and the lower return on invested capital (4.85% vs 5.33%). Both pay a dividend; Provident Financial Services, Inc yields more (6.41% vs 4.33%). Across the 20 metrics below, Provident Financial Services, Inc leads on 14 and BankUnited, Inc. on 6.

Valuation

Metric BKU PFS Banks Regional median
P/E 11.89 9.52 12.15
P/S 1.68 2.11 2.37
P/B 1.04 1.02 1.21
Price to free cash flow 5.62 8.43 10.80
EV/EBITDA n/m n/m —
EV/Sales 2.36 3.98 2.27
Earnings yield 8.41% 10.51% 8.11%
Free cash flow yield 17.80% 11.86% 8.98%

Profitability

Metric BKU PFS Banks Regional median
Gross margin 60.54% 64.26% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 14.45% 22.15% 18.66%
Free cash flow margin 20.05% 25.01% 21.18%
Return on equity 8.99% 11.14% 10.64%
Return on assets 0.76% 1.25% 1.13%
Return on invested capital 5.33% 4.85% 8.33%

Growth

Metric BKU PFS Banks Regional median
Revenue growth (TTM) (5.24%) 3.72% 6.61%
EPS growth (last fiscal year) 14.61% 112.38% —
Revenue growth, 5-year CAGR 9.59% 25.98% 12.30%
Net income growth, 5-year CAGR 6.81% 24.60% 9.71%

Health

Metric BKU PFS Banks Regional median
Debt to equity 0.54 0.99 0.22
Current ratio 0.82 1.03 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric BKU PFS Banks Regional median
Dividend yield 4.33% 6.41% 3.75%
Payout ratio 0.30 0.43 0.27

Size

Metric BKU PFS Banks Regional median
Market cap 3.09b 2.96b 921.07m

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