Pathward Financial, Inc. (CASH) vs Hope Bancorp, Inc. (HOPE)

Pathward Financial, Inc. and Hope Bancorp, Inc. are both Banks Regional companies. Pathward Financial, Inc. and Hope Bancorp, Inc. are of similar size ($1.7B and $1.6B). Pathward Financial, Inc. trades at the lower P/E: 9.4× against 13.1×. Hope Bancorp, Inc. grew revenue faster over the last twelve months: 8.01% against −2.27%. Pathward Financial, Inc. has the higher net margin (21.1% vs 12.9%) and the higher return on invested capital (18.6% vs 5.13%). Both pay a dividend; Hope Bancorp, Inc. yields more (5.35% vs 0.26%). Across the 18 metrics below, Pathward Financial, Inc. leads on 13 and Hope Bancorp, Inc. on 5.

Valuation

Metric CASH HOPE Banks Regional median
P/E 9.38 13.09 12.02
P/S 1.91 1.63 2.36
P/B 1.94 0.74 1.23
Price to free cash flow 2.37 8.87 10.60
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 10.67% 7.64% 8.21%
Free cash flow yield 42.27% 11.27% 9.23%

Profitability

Metric CASH HOPE Banks Regional median
Gross margin 98.80% 57.59% 69.81%
Operating margin 0.00% 0.00% 0.00%
Net margin 21.09% 12.90% 18.82%
Free cash flow margin 0.00% 0.00% 17.97%
Return on equity 20.92% 5.87% 10.28%
Return on assets 2.43% 0.70% 1.13%
Return on invested capital 18.63% 5.13% 8.45%

Growth

Metric CASH HOPE Banks Regional median
Revenue growth (TTM) (2.27%) 8.01% 6.37%
EPS growth (last fiscal year) 3.43% (40.24%) 18.85%
Revenue growth, 5-year CAGR 8.37% 8.21% 12.65%
Net income growth, 5-year CAGR 4.77% (11.20%) 9.81%

Health

Metric CASH HOPE Banks Regional median
Debt to equity 0.04 0.22 0.17
Current ratio 0.83 0.96 0.93
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric CASH HOPE Banks Regional median
Dividend yield 0.26% 5.35% 2.49%
Payout ratio 0.02 0.68 0.29

Size

Metric CASH HOPE Banks Regional median
Market cap 1.59b 1.67b 934.85m

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