VersaBank (VBNK) vs Washington Trust Bancorp, Inc. (WASH)

VersaBank and Washington Trust Bancorp, Inc. are both Banks Regional companies. VersaBank and Washington Trust Bancorp, Inc. are of similar size ($755.7M and $738.6M). Washington Trust Bancorp, Inc. trades at the lower P/E: 13.4× against 30.8×. Washington Trust Bancorp, Inc. grew revenue faster over the last twelve months: 24.9% against 14.5%. Washington Trust Bancorp, Inc. has the higher net margin (14.5% vs 9.94%) and the lower return on invested capital (4.90% vs 41.3%). Both pay a dividend; Washington Trust Bancorp, Inc. yields more (8.74% vs 0.62%). Across the 20 metrics below, Washington Trust Bancorp, Inc. leads on 14 and VersaBank on 6.

Valuation

Metric VBNK WASH Banks Regional median
P/E 30.80 13.35 12.15
P/S 3.07 1.94 2.37
P/B 1.87 1.34 1.21
Price to free cash flow 107.29 7.73 10.80
EV/EBITDA n/m n/m —
EV/Sales 1.64 2.86 2.27
Earnings yield 3.25% 7.49% 8.11%
Free cash flow yield 0.93% 12.94% 8.98%

Profitability

Metric VBNK WASH Banks Regional median
Gross margin 43.56% 61.25% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 9.94% 14.50% 18.66%
Free cash flow margin 2.86% 25.09% 21.18%
Return on equity 6.20% 10.25% 10.64%
Return on assets 0.55% 0.83% 1.13%
Return on invested capital 41.26% 4.90% 8.33%

Growth

Metric VBNK WASH Banks Regional median
Revenue growth (TTM) 14.54% 24.92% 6.61%
EPS growth (last fiscal year) (41.28%) 266.26% —
Revenue growth, 5-year CAGR 27.64% 7.90% 12.30%
Net income growth, 5-year CAGR 9.64% (5.60%) 9.71%

Health

Metric VBNK WASH Banks Regional median
Debt to equity 0.00 0.86 0.22
Current ratio 1.11 0.97 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric VBNK WASH Banks Regional median
Dividend yield 0.62% 8.74% 3.75%
Payout ratio 0.08 0.65 0.27

Size

Metric VBNK WASH Banks Regional median
Market cap 755.71m 738.56m 921.07m

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