First National Corp. (FXNC) vs GBank Financial Holdings Inc. (GBFH)

First National Corp. and GBank Financial Holdings Inc. are both Banks Regional companies. First National Corp. and GBank Financial Holdings Inc. are of similar size ($274.2M and $267.9M). First National Corp. trades at the lower P/E: 12.2× against 14.8×. GBank Financial Holdings Inc. grew revenue faster over the last twelve months: 20.0% against 7.66%. First National Corp. has the higher net margin (18.4% vs 15.4%) and the higher return on invested capital (37.4% vs 23.9%). Across the 17 metrics below, First National Corp. leads on 11 and GBank Financial Holdings Inc. on 6.

Valuation

Metric FXNC GBFH Banks Regional median
P/E 12.19 14.82 12.15
P/S 2.26 2.31 2.37
P/B 1.37 1.60 1.21
Price to free cash flow 9.51 8.91 10.80
EV/EBITDA n/m n/m —
EV/Sales 1.00 1.38 2.27
Earnings yield 8.20% 6.75% 8.11%
Free cash flow yield 10.52% 11.22% 8.98%

Profitability

Metric FXNC GBFH Banks Regional median
Gross margin 79.28% 68.90% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 18.43% 15.44% 18.66%
Free cash flow margin 23.75% 25.93% 21.18%
Return on equity 11.81% 11.39% 10.64%
Return on assets 1.05% 1.39% 1.13%
Return on invested capital 37.41% 23.93% 8.33%

Growth

Metric FXNC GBFH Banks Regional median
Revenue growth (TTM) 7.66% 19.95% 6.61%
EPS growth (last fiscal year) 96.00% 5.11% —
Revenue growth, 5-year CAGR 23.17% — 12.30%
Net income growth, 5-year CAGR 14.85% — 9.71%

Health

Metric FXNC GBFH Banks Regional median
Debt to equity 0.09 0.18 0.22
Current ratio 0.88 1.02 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric FXNC GBFH Banks Regional median
Dividend yield 3.11% — 3.75%
Payout ratio 0.22 — 0.27

Size

Metric FXNC GBFH Banks Regional median
Market cap 267.93m 274.22m 921.07m

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