Commerce Bancshares, Inc. (CBSH) vs Columbia Banking System, Inc. (COLB)

Commerce Bancshares, Inc. and Columbia Banking System, Inc. are both Banks Regional companies. Commerce Bancshares, Inc. and Columbia Banking System, Inc. are of similar size ($8.3B and $8.0B). Columbia Banking System, Inc. trades at the lower P/E: 11.8× against 13.7×. Columbia Banking System, Inc. grew revenue faster over the last twelve months: 21.2% against 7.57%. Commerce Bancshares, Inc. has the higher net margin (25.7% vs 20.0%) and the higher return on invested capital (162.2% vs 11.8%). Both pay a dividend; Columbia Banking System, Inc. yields more (7.69% vs 2.24%). Across the 20 metrics below, Commerce Bancshares, Inc. leads on 10 and Columbia Banking System, Inc. on 10.

Valuation

Metric CBSH COLB Banks Regional median
P/E 13.66 11.81 12.15
P/S 3.58 2.38 2.37
P/B 1.86 1.12 1.21
Price to free cash flow 6.69 6.70 10.80
EV/EBITDA n/m n/m —
EV/Sales 1.78 3.16 2.27
Earnings yield 7.32% 8.47% 8.11%
Free cash flow yield 14.95% 14.93% 8.98%

Profitability

Metric CBSH COLB Banks Regional median
Gross margin 83.55% 74.48% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 25.66% 19.96% 18.66%
Free cash flow margin 53.47% 35.49% 21.18%
Return on equity 14.51% 11.03% 10.64%
Return on assets 1.73% 1.21% 1.13%
Return on invested capital 162.18% 11.78% 8.33%

Growth

Metric CBSH COLB Banks Regional median
Revenue growth (TTM) 7.57% 21.15% 6.61%
EPS growth (last fiscal year) 4.39% (9.80%) —
Revenue growth, 5-year CAGR 9.02% 38.87% 12.30%
Net income growth, 5-year CAGR 10.60% 28.95% 9.71%

Health

Metric CBSH COLB Banks Regional median
Debt to equity 0.01 0.00 0.22
Current ratio 0.82 0.85 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric CBSH COLB Banks Regional median
Dividend yield 2.24% 7.69% 3.75%
Payout ratio 0.27 0.00 0.27

Size

Metric CBSH COLB Banks Regional median
Market cap 8.00b 8.26b 921.07m

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