Merchants Bancorp (MBIN) vs WaFd, Inc. (WAFD)

Merchants Bancorp and WaFd, Inc. are both Banks Regional companies. Merchants Bancorp is the larger, with a market value of $2.4B against $2.2B — 1.1× the size. Merchants Bancorp trades at the lower P/E: 8.3× against 9.2×. Merchants Bancorp grew revenue faster over the last twelve months: 0.89% against 0.53%. Merchants Bancorp has the higher net margin (19.9% vs 17.0%) and the higher return on invested capital (4.72% vs 4.31%). Both pay a dividend; WaFd, Inc. yields more (3.66% vs 0.82%). Across the 17 metrics below, Merchants Bancorp leads on 9 and WaFd, Inc. on 8.

Valuation

Metric MBIN WAFD Banks Regional median
P/E 8.28 9.17 12.02
P/S 1.71 1.54 2.36
P/B 1.24 0.81 1.23
Price to free cash flow n/m 7.84 10.60
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 12.08% 10.90% 8.21%
Free cash flow yield (32.56%) 12.75% 9.23%

Profitability

Metric MBIN WAFD Banks Regional median
Gross margin 54.70% 57.45% 69.81%
Operating margin 0.00% 0.00% 0.00%
Net margin 19.89% 17.01% 18.82%
Free cash flow margin 0.00% 0.00% 17.97%
Return on equity 15.49% 8.87% 10.28%
Return on assets 1.39% 0.89% 1.13%
Return on invested capital 4.72% 4.31% 8.45%

Growth

Metric MBIN WAFD Banks Regional median
Revenue growth (TTM) 0.89% 0.53% 6.37%
EPS growth (last fiscal year) (40.00%) 22.05% 18.85%
Revenue growth, 5-year CAGR 27.18% 16.81% 12.65%
Net income growth, 5-year CAGR 0.89% 6.80% 9.81%

Health

Metric MBIN WAFD Banks Regional median
Debt to equity 1.22 0.83 0.17
Current ratio 1.11 0.94 0.93
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric MBIN WAFD Banks Regional median
Dividend yield 0.82% 3.66% 2.49%
Payout ratio 0.07 0.34 0.29

Size

Metric MBIN WAFD Banks Regional median
Market cap 2.40b 2.18b 934.85m

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