East West Bancorp, Inc. (EWBC) vs KeyCorp (KEY)

East West Bancorp, Inc. and KeyCorp are both Banks Regional companies. KeyCorp is the larger, with a market value of $21.6B against $17.2B — 1.3× the size. KeyCorp trades at the lower P/E: 11.9× against 12.2×. KeyCorp grew revenue faster over the last twelve months: 19.3% against 3.76%. East West Bancorp, Inc. has the higher net margin (30.5% vs 16.9%) and the higher return on invested capital (17.2% vs 10.2%). Both pay a dividend; KeyCorp yields more (5.92% vs 3.16%). Across the 20 metrics below, East West Bancorp, Inc. leads on 11 and KeyCorp on 9.

Valuation

Metric EWBC KEY Banks Regional median
P/E 12.15 11.91 12.15
P/S 3.68 1.97 2.37
P/B 1.89 1.28 1.21
Price to free cash flow 9.41 18.34 10.80
EV/EBITDA n/m n/m —
EV/Sales 3.16 1.61 2.27
Earnings yield 8.23% 8.40% 8.11%
Free cash flow yield 10.62% 5.45% 8.98%

Profitability

Metric EWBC KEY Banks Regional median
Gross margin 65.30% 69.59% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 30.45% 16.87% 18.66%
Free cash flow margin 39.13% 10.75% 21.18%
Return on equity 16.58% 11.01% 10.64%
Return on assets 1.78% 1.00% 1.13%
Return on invested capital 17.15% 10.17% 8.33%

Growth

Metric EWBC KEY Banks Regional median
Revenue growth (TTM) 3.76% 19.29% 6.61%
EPS growth (last fiscal year) 14.29% 575.00% —
Revenue growth, 5-year CAGR 20.61% 8.88% 12.30%
Net income growth, 5-year CAGR 18.47% 6.39% 9.71%

Health

Metric EWBC KEY Banks Regional median
Debt to equity 0.33 0.55 0.22
Current ratio 0.88 0.84 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric EWBC KEY Banks Regional median
Dividend yield 3.16% 5.92% 3.75%
Payout ratio 0.20 0.54 0.27

Size

Metric EWBC KEY Banks Regional median
Market cap 17.21b 21.61b 921.07m

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