Carter Bankshares, Inc. (CARE) vs First Business Financial Services, Inc. (FBIZ)

Carter Bankshares, Inc. and First Business Financial Services, Inc. are both Banks Regional companies. Carter Bankshares, Inc. and First Business Financial Services, Inc. are of similar size ($629.2M and $623.6M). Carter Bankshares, Inc. trades at the lower P/E: 4.8× against 11.0×. Carter Bankshares, Inc. grew revenue faster over the last twelve months: 39.7% against 4.43%. First Business Financial Services, Inc. has the higher net margin (19.3% vs 0.00%) and the lower return on invested capital (8.54% vs 23.1%). Both pay a dividend; First Business Financial Services, Inc. yields more (1.74% vs 0.70%). Across the 19 metrics below, First Business Financial Services, Inc. leads on 10 and Carter Bankshares, Inc. on 9.

Valuation

Metric CARE FBIZ Banks Regional median
P/E 4.81 11.03 12.02
P/S 1.76 2.14 2.36
P/B 1.18 1.58 1.23
Price to free cash flow 12.80 9.12 10.60
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 20.81% 9.07% 8.21%
Free cash flow yield 7.82% 10.97% 9.23%

Profitability

Metric CARE FBIZ Banks Regional median
Gross margin 74.33% 62.45% 69.81%
Operating margin 0.00% 0.00% 0.00%
Net margin 0.00% 19.30% 18.82%
Free cash flow margin 13.77% 23.46% 17.97%
Return on equity 0.00% 15.12% 10.28%
Return on assets 0.00% 1.32% 1.13%
Return on invested capital 23.13% 8.54% 8.45%

Growth

Metric CARE FBIZ Banks Regional median
Revenue growth (TTM) 39.69% 4.43% 6.37%
EPS growth (last fiscal year) 30.19% 14.23% 18.85%
Revenue growth, 5-year CAGR 8.73% 18.18% 12.65%
Net income growth, 5-year CAGR 0.00% 23.98% 9.81%

Health

Metric CARE FBIZ Banks Regional median
Debt to equity 0.04 0.46 0.17
Current ratio 0.93 1.02 0.93
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric CARE FBIZ Banks Regional median
Dividend yield 0.70% 1.74% 2.49%
Payout ratio 0.03 0.19 0.29

Size

Metric CARE FBIZ Banks Regional median
Market cap 629.16m 623.57m 934.85m

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