Inter & Co. Inc. (INTR) vs Merchants Bancorp (MBIN)

Inter & Co. Inc. and Merchants Bancorp are both Banks Regional companies. Inter & Co. Inc. and Merchants Bancorp are of similar size ($2.4B and $2.2B). Inter & Co. Inc. trades at the lower P/E: 7.7× against 10.5×. Inter & Co. Inc. grew revenue faster over the last twelve months: 52.6% against −3.25%. Merchants Bancorp has the higher net margin (16.9% vs 9.22%) and the higher return on invested capital (3.17% vs 0.00%). Both pay a dividend; Merchants Bancorp yields more (0.92% vs 0.34%). Across the 17 metrics below, Inter & Co. Inc. leads on 13 and Merchants Bancorp on 4.

Valuation

Metric INTR MBIN Banks Regional median
P/E 7.74 10.46 12.15
P/S 0.72 1.76 2.37
P/B 1.07 1.30 1.21
Price to free cash flow 9.79 n/m 10.80
EV/EBITDA n/m n/m —
EV/Sales 0.04 4.69 2.27
Earnings yield 12.92% 9.56% 8.11%
Free cash flow yield 10.21% (32.58%) 8.98%

Profitability

Metric INTR MBIN Banks Regional median
Gross margin 58.20% 52.63% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 9.22% 16.86% 18.66%
Free cash flow margin 7.36% (57.50%) 21.18%
Return on equity 15.36% 13.16% 10.64%
Return on assets 1.64% 1.13% 1.13%
Return on invested capital 0.00% 3.17% 8.33%

Growth

Metric INTR MBIN Banks Regional median
Revenue growth (TTM) 52.59% (3.25%) 6.61%
EPS growth (last fiscal year) 39.47% (40.00%) —
Revenue growth, 5-year CAGR — 27.18% 12.30%
Net income growth, 5-year CAGR — 0.89% 9.71%

Health

Metric INTR MBIN Banks Regional median
Debt to equity 0.08 1.79 0.22
Current ratio 0.90 1.21 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric INTR MBIN Banks Regional median
Dividend yield 0.34% 0.92% 3.75%
Payout ratio — 0.06 0.27

Size

Metric INTR MBIN Banks Regional median
Market cap 2.23b 2.40b 921.07m

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