First United Corporation (FUNC) vs Isabella Bank Corporation (ISBA)

First United Corporation and Isabella Bank Corporation are both Banks Regional companies. First United Corporation and Isabella Bank Corporation are of similar size ($285.3M and $279.5M). First United Corporation trades at the lower P/E: 11.2× against 14.1×. Isabella Bank Corporation grew revenue faster over the last twelve months: 11.1% against 7.79%. First United Corporation has the higher net margin (20.0% vs 16.8%) and the higher return on invested capital (13.2% vs 6.67%). Across the 19 metrics below, First United Corporation leads on 15 and Isabella Bank Corporation on 4.

Valuation

Metric FUNC ISBA Banks Regional median
P/E 11.19 14.14 12.15
P/S 2.23 2.37 2.37
P/B 1.32 1.13 1.21
Price to free cash flow 10.30 12.09 10.80
EV/EBITDA n/m n/m —
EV/Sales 1.79 2.27 2.27
Earnings yield 8.94% 7.07% 8.11%
Free cash flow yield 9.71% 8.27% 8.98%

Profitability

Metric FUNC ISBA Banks Regional median
Gross margin 74.62% 71.72% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 20.03% 16.78% 18.66%
Free cash flow margin 21.69% 19.59% 21.18%
Return on equity 12.42% 8.51% 10.64%
Return on assets 1.23% 0.91% 1.13%
Return on invested capital 13.18% 6.67% 8.33%

Growth

Metric FUNC ISBA Banks Regional median
Revenue growth (TTM) 7.79% 11.11% 6.61%
EPS growth (last fiscal year) 19.68% 37.63% —
Revenue growth, 5-year CAGR 9.60% 7.34% 12.30%
Net income growth, 5-year CAGR 12.11% 11.68% 9.71%

Health

Metric FUNC ISBA Banks Regional median
Debt to equity 0.15 0.12 0.22
Current ratio 0.91 0.84 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric FUNC ISBA Banks Regional median
Dividend yield 3.63% — 3.75%
Payout ratio 0.20 — 0.27

Size

Metric FUNC ISBA Banks Regional median
Market cap 279.45m 285.32m 921.07m

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