Grupo Financiero Galicia S.A. (GGAL) vs Home BancShares, Inc. (HOMB)

Grupo Financiero Galicia S.A. and Home BancShares, Inc. are both Banks Regional companies. Home BancShares, Inc. is the larger, with a market value of $5.8B against $5.3B — 1.1× the size. Home BancShares, Inc. trades at the lower P/E: 12.1× against 19.6×. Home BancShares, Inc. grew revenue faster over the last twelve months: 1.74% against −65.4%. Home BancShares, Inc. has the higher net margin (32.1% vs 7.53%) and the higher return on invested capital (9.38% vs −76.1%). Both pay a dividend; Home BancShares, Inc. yields more (3.22% vs 1.49%). Across the 20 metrics below, Home BancShares, Inc. leads on 11 and Grupo Financiero Galicia S.A. on 9.

Valuation

Metric GGAL HOMB Banks Regional median
P/E 19.57 12.06 12.15
P/S 1.54 3.93 2.37
P/B 1.02 1.29 1.21
Price to free cash flow 0.90 13.36 10.80
EV/EBITDA n/m n/m —
EV/Sales 0.81 3.71 2.27
Earnings yield 5.11% 8.29% 8.11%
Free cash flow yield 111.21% 7.48% 8.98%

Profitability

Metric GGAL HOMB Banks Regional median
Gross margin 84.41% 75.11% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 7.53% 32.10% 18.66%
Free cash flow margin 0.00% 29.44% 21.18%
Return on equity 0.00% 11.11% 10.64%
Return on assets 0.85% 2.01% 1.13%
Return on invested capital (76.07%) 9.38% 8.33%

Growth

Metric GGAL HOMB Banks Regional median
Revenue growth (TTM) (65.36%) 1.74% 6.61%
EPS growth (last fiscal year) (91.19%) 19.90% —
Revenue growth, 5-year CAGR 19.31% 13.40% 12.30%
Net income growth, 5-year CAGR (13.82%) 17.26% 9.71%

Health

Metric GGAL HOMB Banks Regional median
Debt to equity 0.00 0.16 0.22
Current ratio 1.08 0.92 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric GGAL HOMB Banks Regional median
Dividend yield 1.49% 3.22% 3.75%
Payout ratio 0.11 0.32 0.27

Size

Metric GGAL HOMB Banks Regional median
Market cap 5.25b 5.79b 921.07m

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