City Holding Company (CHCO) vs OceanFirst Financial Corp. (OCFC)

City Holding Company and OceanFirst Financial Corp. are both Banks Regional companies. City Holding Company and OceanFirst Financial Corp. are of similar size ($2.0B and $1.8B). City Holding Company trades at the lower P/E: 15.5× against 21.6×. OceanFirst Financial Corp. grew revenue faster over the last twelve months: 10.5% against 3.37%. City Holding Company has the higher net margin (32.8% vs 6.38%) and the higher return on invested capital (14.0% vs 1.77%). Both pay a dividend; OceanFirst Financial Corp. yields more (3.26% vs 2.55%). Across the 19 metrics below, OceanFirst Financial Corp. leads on 10 and City Holding Company on 9.

Valuation

Metric CHCO OCFC Banks Regional median
P/E 15.45 21.62 12.02
P/S 4.94 1.72 2.36
P/B 2.54 0.54 1.23
Price to free cash flow 14.38 11.35 10.60
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 6.47% 4.62% 8.21%
Free cash flow yield 6.95% 8.81% 9.23%

Profitability

Metric CHCO OCFC Banks Regional median
Gross margin 80.00% 58.89% 69.81%
Operating margin 0.00% 0.00% 0.00%
Net margin 32.75% 6.38% 18.82%
Free cash flow margin 0.00% 15.15% 17.97%
Return on equity 0.00% 2.36% 10.28%
Return on assets 0.00% 0.26% 1.13%
Return on invested capital 13.98% 1.77% 8.45%

Growth

Metric CHCO OCFC Banks Regional median
Revenue growth (TTM) 3.37% 10.49% 6.37%
EPS growth (last fiscal year) 13.18% (29.09%) 18.85%
Revenue growth, 5-year CAGR 8.86% 8.66% 12.65%
Net income growth, 5-year CAGR 7.81% 1.86% 9.81%

Health

Metric CHCO OCFC Banks Regional median
Debt to equity 0.19 0.97 0.17
Current ratio 0.00 0.92 0.93
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric CHCO OCFC Banks Regional median
Dividend yield 2.55% 3.26% 2.49%
Payout ratio 0.39 0.71 0.29

Size

Metric CHCO OCFC Banks Regional median
Market cap 2.00b 1.84b 934.85m

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