WallStSmart

Capitol Federal Financial Inc (CFFN)vsItau Unibanco Banco Holding SA (ITUB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Itau Unibanco Banco Holding SA generates 66149% more annual revenue ($138.95B vs $209.74M). CFFN leads profitability with a 34.8% profit margin vs 32.3%. ITUB appears more attractively valued with a PEG of 1.30. ITUB earns a higher WallStSmart Score of 76/100 (B+).

CFFN

Strong Buy

72

out of 100

Grade: B

Growth: 8.7Profit: 7.0Value: 7.3Quality: 7.5
Piotroski: 7/9Altman Z: 0.35

ITUB

Strong Buy

76

out of 100

Grade: B+

Growth: 6.0Profit: 8.0Value: 8.0Quality: 5.0
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

CFFNUndervalued (+71.2%)

Margin of Safety

+71.2%

Fair Value

$26.21

Current Price

$7.13

$19.08 discount

UndervaluedFair: $26.21Overvalued
ITUBOvervalued (-10.1%)

Margin of Safety

-10.1%

Fair Value

$8.69

Current Price

$8.21

$0.48 premium

UndervaluedFair: $8.69Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

CFFN6 strengths · Avg: 9.0/10
Price/BookValuation
0.9x10/10

Reasonable price relative to book value

Profit MarginProfitability
34.8%10/10

Keeps 35 of every $100 in revenue as profit

Operating MarginProfitability
47.3%10/10

Strong operational efficiency at 47.3%

P/E RatioValuation
12.5x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
20.4%8/10

Revenue surging 20.4% year-over-year

EPS GrowthGrowth
32.6%8/10

Earnings expanding 32.6% YoY

ITUB6 strengths · Avg: 9.7/10
P/E RatioValuation
10.2x10/10

Attractively priced relative to earnings

Profit MarginProfitability
32.3%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
37.3%10/10

Strong operational efficiency at 37.3%

Free Cash FlowQuality
$45.01B10/10

Generating 45.0B in free cash flow

Market CapQuality
$86.41B9/10

Large-cap with strong market position

Return on EquityProfitability
21.0%9/10

Every $100 of equity generates 21 in profit

Areas to Watch

CFFN4 concerns · Avg: 2.8/10
Market CapQuality
$920.07M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
7.0%3/10

ROE of 7.0% — below average capital efficiency

Debt/EquityHealth
1.763/10

Elevated debt levels

PEG RatioValuation
4.092/10

Expensive relative to growth rate

ITUB1 concerns · Avg: 4.0/10
EPS GrowthGrowth
2.8%4/10

2.8% earnings growth

Comparative Analysis Report

WallStSmart Research

Bull Case : CFFN

The strongest argument for CFFN centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 34.8% and operating margin at 47.3%. Revenue growth of 20.4% demonstrates continued momentum.

Bull Case : ITUB

The strongest argument for ITUB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 32.3% and operating margin at 37.3%. Revenue growth of 11.0% demonstrates continued momentum.

Bear Case : CFFN

The primary concerns for CFFN are Market Cap, Return on Equity, Debt/Equity. Debt-to-equity of 1.76 is elevated, increasing financial risk.

Bear Case : ITUB

The primary concerns for ITUB are EPS Growth.

Key Dynamics to Monitor

CFFN profiles as a growth stock while ITUB is a mature play — different risk/reward profiles.

CFFN carries more volatility with a beta of 0.67 — expect wider price swings.

CFFN is growing revenue faster at 20.4% — sustainability is the question.

ITUB generates stronger free cash flow (45.0B), providing more financial flexibility.

Bottom Line

ITUB scores higher overall (76/100 vs 72/100), backed by strong 32.3% margins and 11.0% revenue growth. CFFN offers better value entry with a 71.2% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Capitol Federal Financial Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Capitol Federal Financial, Inc. is the holding company for Capitol Federal Savings Bank offering various retail banking products and services in the United States. The company is headquartered in Topeka, Kansas.

Itau Unibanco Banco Holding SA

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Ita Unibanco Holding SA offers a range of financial products and services in Brazil and internationally. The company is headquartered in So Paulo, Brazil.

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