Capital Bancorp, Inc. (CBNK) vs Coastal Financial Corporation (CCB)

Capital Bancorp, Inc. and Coastal Financial Corporation are both Banks Regional companies. Capital Bancorp, Inc. and Coastal Financial Corporation are of similar size ($656.9M and $642.3M). Coastal Financial Corporation has negative trailing earnings, so its P/E is not meaningful; Capital Bancorp, Inc. trades at 11.5×. Capital Bancorp, Inc. grew revenue faster over the last twelve months: 12.9% against 7.06%. Capital Bancorp, Inc. has the higher net margin (17.5% vs −0.53%) and the higher return on invested capital (83.2% vs 0.00%). Across the 17 metrics below, Coastal Financial Corporation leads on 10 and Capital Bancorp, Inc. on 7.

Valuation

Metric CBNK CCB Banks Regional median
P/E 11.55 n/m 11.98
P/S 2.00 0.88 2.34
P/B 1.53 1.38 1.19
Price to free cash flow 9.89 2.47 10.63
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 8.66% (0.55%) 8.23%
Free cash flow yield 10.11% 40.54% 9.08%

Profitability

Metric CBNK CCB Banks Regional median
Gross margin 78.67% 83.89% 69.55%
Operating margin 0.00% 0.00% 0.00%
Net margin 17.47% (0.53%) 18.66%
Free cash flow margin 20.21% 35.70% 21.11%
Return on equity 14.05% (0.83%) 10.65%
Return on assets 1.55% (0.08%) 1.13%
Return on invested capital 83.21% 0.00% 8.35%

Growth

Metric CBNK CCB Banks Regional median
Revenue growth (TTM) 12.89% 7.06% 6.98%
EPS growth (last fiscal year) 61.61% (4.31%) 18.88%
Revenue growth, 5-year CAGR 16.04% 56.15% 12.38%
Net income growth, 5-year CAGR 17.23% 25.41% 9.71%

Health

Metric CBNK CCB Banks Regional median
Debt to equity 0.12 0.10 0.22
Current ratio 1.03 1.06 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric CBNK CCB Banks Regional median
Dividend yield 1.26% — 2.57%
Payout ratio 0.15 — 0.30

Size

Metric CBNK CCB Banks Regional median
Market cap 642.33m 656.86m 913.33m

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