East West Bancorp, Inc. (EWBC) vs Pinnacle Financial Partners, Inc. (PNFP)

East West Bancorp, Inc. and Pinnacle Financial Partners, Inc. are both Banks Regional companies. East West Bancorp, Inc. is the larger, with a market value of $17.2B against $14.3B — 1.2× the size. East West Bancorp, Inc. trades at the lower P/E: 12.2× against 13.0×. Pinnacle Financial Partners, Inc. grew revenue faster over the last twelve months: 67.0% against 3.76%. East West Bancorp, Inc. has the higher net margin (30.5% vs 14.7%) and the higher return on invested capital (17.2% vs 4.85%). Both pay a dividend; East West Bancorp, Inc. yields more (3.16% vs 1.18%). Across the 20 metrics below, East West Bancorp, Inc. leads on 14 and Pinnacle Financial Partners, Inc. on 6.

Valuation

Metric EWBC PNFP Banks Regional median
P/E 12.15 12.97 12.15
P/S 3.68 2.69 2.37
P/B 1.89 1.02 1.21
Price to free cash flow 9.41 9.85 10.80
EV/EBITDA n/m n/m —
EV/Sales 3.16 3.18 2.27
Earnings yield 8.23% 7.71% 8.11%
Free cash flow yield 10.62% 10.16% 8.98%

Profitability

Metric EWBC PNFP Banks Regional median
Gross margin 65.30% 65.82% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 30.45% 14.70% 18.66%
Free cash flow margin 39.13% 27.35% 21.18%
Return on equity 16.58% 7.65% 10.64%
Return on assets 1.78% 0.85% 1.13%
Return on invested capital 17.15% 4.85% 8.33%

Growth

Metric EWBC PNFP Banks Regional median
Revenue growth (TTM) 3.76% 66.95% 6.61%
EPS growth (last fiscal year) 14.29% 35.40% —
Revenue growth, 5-year CAGR 20.61% 19.79% 12.30%
Net income growth, 5-year CAGR 18.47% 15.51% 9.71%

Health

Metric EWBC PNFP Banks Regional median
Debt to equity 0.33 0.69 0.22
Current ratio 0.88 0.94 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric EWBC PNFP Banks Regional median
Dividend yield 3.16% 1.18% 3.75%
Payout ratio 0.20 0.11 0.27

Size

Metric EWBC PNFP Banks Regional median
Market cap 17.21b 14.27b 921.07m

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