CF Bankshares Inc. (CFBK) vs Meridian Bank (MRBK)

CF Bankshares Inc. and Meridian Bank are both Banks Regional companies. CF Bankshares Inc. and Meridian Bank are of similar size ($228.3M and $221.5M). Meridian Bank trades at the lower P/E: 10.3× against 11.8×. Meridian Bank grew revenue faster over the last twelve months: 0.72% against −0.37%. CF Bankshares Inc. has the higher net margin (14.8% vs 10.6%) and the higher return on invested capital (25.6% vs 8.03%). Both pay a dividend; Meridian Bank yields more (5.06% vs 1.11%). Across the 20 metrics below, Meridian Bank leads on 11 and CF Bankshares Inc. on 9.

Valuation

Metric CFBK MRBK Banks Regional median
P/E 11.82 10.31 12.15
P/S 1.75 1.12 2.37
P/B 1.12 1.12 1.21
Price to free cash flow 12.21 12.25 10.80
EV/EBITDA n/m n/m —
EV/Sales 0.63 1.18 2.27
Earnings yield 8.46% 9.70% 8.11%
Free cash flow yield 8.19% 8.17% 8.98%

Profitability

Metric CFBK MRBK Banks Regional median
Gross margin 50.12% 63.55% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 14.75% 10.57% 18.66%
Free cash flow margin 14.30% 9.11% 21.18%
Return on equity 9.92% 11.31% 10.64%
Return on assets 0.86% 0.85% 1.13%
Return on invested capital 25.60% 8.03% 8.33%

Growth

Metric CFBK MRBK Banks Regional median
Revenue growth (TTM) (0.37%) 0.72% 6.61%
EPS growth (last fiscal year) 30.58% 30.34% —
Revenue growth, 5-year CAGR 4.23% 6.56% 12.30%
Net income growth, 5-year CAGR (9.06%) (3.75%) 9.71%

Health

Metric CFBK MRBK Banks Regional median
Debt to equity 0.59 0.24 0.22
Current ratio 1.14 0.98 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric CFBK MRBK Banks Regional median
Dividend yield 1.11% 5.06% 3.75%
Payout ratio 0.08 0.28 0.27

Size

Metric CFBK MRBK Banks Regional median
Market cap 221.45m 228.32m 921.07m

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