Enterprise Financial Services Corporation (EFSC) vs Northwest Bancshares, Inc. (NWBI)

Enterprise Financial Services Corporation and Northwest Bancshares, Inc. are both Banks Regional companies. Enterprise Financial Services Corporation and Northwest Bancshares, Inc. are of similar size ($2.2B and $2.2B). Enterprise Financial Services Corporation trades at the lower P/E: 12.0× against 14.6×. Northwest Bancshares, Inc. grew revenue faster over the last twelve months: 14.6% against 7.96%. Enterprise Financial Services Corporation has the higher net margin (18.3% vs 16.3%) and the higher return on invested capital (7.88% vs 4.91%). Both pay a dividend; Northwest Bancshares, Inc. yields more (6.81% vs 2.63%). Across the 20 metrics below, Enterprise Financial Services Corporation leads on 16 and Northwest Bancshares, Inc. on 4.

Valuation

Metric EFSC NWBI Banks Regional median
P/E 12.02 14.58 12.15
P/S 2.18 2.38 2.37
P/B 1.13 1.16 1.21
Price to free cash flow 10.45 16.28 10.80
EV/EBITDA n/m n/m —
EV/Sales 2.31 3.03 2.27
Earnings yield 8.32% 6.86% 8.11%
Free cash flow yield 9.57% 6.14% 8.98%

Profitability

Metric EFSC NWBI Banks Regional median
Gross margin 75.39% 74.85% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 18.31% 16.26% 18.66%
Free cash flow margin 20.85% 14.63% 21.18%
Return on equity 9.77% 8.57% 10.64%
Return on assets 1.11% 0.97% 1.13%
Return on invested capital 7.88% 4.91% 8.33%

Growth

Metric EFSC NWBI Banks Regional median
Revenue growth (TTM) 7.96% 14.55% 6.61%
EPS growth (last fiscal year) 9.94% 16.46% —
Revenue growth, 5-year CAGR 22.76% 9.19% 12.30%
Net income growth, 5-year CAGR 21.58% 10.97% 9.71%

Health

Metric EFSC NWBI Banks Regional median
Debt to equity 0.33 0.44 0.22
Current ratio 0.85 0.95 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric EFSC NWBI Banks Regional median
Dividend yield 2.63% 6.81% 3.75%
Payout ratio 0.17 0.74 0.27

Size

Metric EFSC NWBI Banks Regional median
Market cap 2.20b 2.22b 921.07m

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