Bankwell Financial Group, Inc. (BWFG) vs Farmers & Merchants Bancorp Inc. (FMAO)

Bankwell Financial Group, Inc. and Farmers & Merchants Bancorp Inc. are both Banks Regional companies. Bankwell Financial Group, Inc. and Farmers & Merchants Bancorp Inc. are of similar size ($519.5M and $483.7M). Bankwell Financial Group, Inc. trades at the lower P/E: 12.1× against 12.2×. Bankwell Financial Group, Inc. grew revenue faster over the last twelve months: 8.89% against 7.14%. Farmers & Merchants Bancorp Inc. has the higher net margin (20.0% vs 19.5%) and the lower return on invested capital (8.07% vs 16.6%). Both pay a dividend; Farmers & Merchants Bancorp Inc. yields more (2.62% vs 1.22%). Across the 19 metrics below, Bankwell Financial Group, Inc. leads on 12 and Farmers & Merchants Bancorp Inc. on 7.

Valuation

Metric BWFG FMAO Banks Regional median
P/E 12.11 12.21 11.98
P/S 2.38 2.45 2.34
P/B 1.59 1.26 1.19
Price to free cash flow 14.93 11.33 10.63
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 8.25% 8.19% 8.23%
Free cash flow yield 6.70% 8.83% 9.08%

Profitability

Metric BWFG FMAO Banks Regional median
Gross margin 56.27% 66.09% 69.55%
Operating margin 0.00% 0.00% 0.00%
Net margin 19.53% 20.02% 18.66%
Free cash flow margin 15.94% 21.61% 21.11%
Return on equity 13.93% 10.75% 10.65%
Return on assets 1.26% 1.15% 1.13%
Return on invested capital 16.59% 8.07% 8.35%

Growth

Metric BWFG FMAO Banks Regional median
Revenue growth (TTM) 8.89% 7.14% 6.98%
EPS growth (last fiscal year) 280.34% 27.89% 18.88%
Revenue growth, 5-year CAGR 20.91% 17.00% 12.38%
Net income growth, 5-year CAGR 43.03% 10.53% 9.71%

Health

Metric BWFG FMAO Banks Regional median
Debt to equity 0.31 0.44 0.22
Current ratio 1.03 0.96 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric BWFG FMAO Banks Regional median
Dividend yield 1.22% 2.62% 2.57%
Payout ratio 0.15 0.32 0.30

Size

Metric BWFG FMAO Banks Regional median
Market cap 519.53m 483.71m 913.33m

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