WallStSmart

First Merchants Corporation Depository Shares (FRMEP)vsMizuho Financial Group Inc. (MFG)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Mizuho Financial Group Inc. generates 737981% more annual revenue ($4.74T vs $642.19M). MFG leads profitability with a 29.1% profit margin vs 29.0%. FRMEP trades at a lower P/E of 6.6x. MFG earns a higher WallStSmart Score of 82/100 (A-).

FRMEP

Hold

43

out of 100

Grade: D

Growth: 4.7Profit: 7.0Value: 6.7Quality: 4.5
Piotroski: 6/9Altman Z: -0.11

MFG

Exceptional Buy

82

out of 100

Grade: A-

Growth: 10.0Profit: 7.5Value: 5.7Quality: 4.0
Piotroski: 6/9Altman Z: 0.29

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

FRMEP4 strengths · Avg: 9.8/10
P/E RatioValuation
6.6x10/10

Attractively priced relative to earnings

Price/BookValuation
0.6x10/10

Reasonable price relative to book value

Operating MarginProfitability
34.3%10/10

Strong operational efficiency at 34.3%

Profit MarginProfitability
29.0%9/10

Keeps 29 of every $100 in revenue as profit

MFG6 strengths · Avg: 9.3/10
Operating MarginProfitability
46.7%10/10

Strong operational efficiency at 46.7%

Revenue GrowthGrowth
35.0%10/10

Revenue surging 35.0% year-over-year

Free Cash FlowQuality
$487.72B10/10

Generating 487.7B in free cash flow

Market CapQuality
$133.88B9/10

Large-cap with strong market position

Profit MarginProfitability
29.1%9/10

Keeps 29 of every $100 in revenue as profit

P/E RatioValuation
17.2x8/10

Attractively priced relative to earnings

Areas to Watch

FRMEP4 concerns · Avg: 2.8/10
Revenue GrowthGrowth
2.8%4/10

2.8% revenue growth

Return on EquityProfitability
7.4%3/10

ROE of 7.4% — below average capital efficiency

EPS GrowthGrowth
-28.7%2/10

Earnings declined 28.7%

Altman Z-ScoreHealth
-0.112/10

Distress zone — elevated risk

MFG3 concerns · Avg: 2.3/10
PEG RatioValuation
1.554/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.292/10

Distress zone — elevated risk

Debt/EquityHealth
5.911/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : FRMEP

The strongest argument for FRMEP centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 29.0% and operating margin at 34.3%.

Bull Case : MFG

The strongest argument for MFG centers on Operating Margin, Revenue Growth, Free Cash Flow. Profitability is solid with margins at 29.1% and operating margin at 46.7%. Revenue growth of 35.0% demonstrates continued momentum.

Bear Case : FRMEP

The primary concerns for FRMEP are Revenue Growth, Return on Equity, EPS Growth.

Bear Case : MFG

The primary concerns for MFG are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 5.91 is elevated, increasing financial risk.

Key Dynamics to Monitor

FRMEP profiles as a value stock while MFG is a growth play — different risk/reward profiles.

FRMEP carries more volatility with a beta of 0.85 — expect wider price swings.

MFG is growing revenue faster at 35.0% — sustainability is the question.

MFG generates stronger free cash flow (487.7B), providing more financial flexibility.

Bottom Line

MFG scores higher overall (82/100 vs 43/100), backed by strong 29.1% margins and 35.0% revenue growth. Both earn "Exceptional Buy" and "Hold" ratings respectively — the choice depends on your investment horizon and risk tolerance.

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

First Merchants Corporation Depository Shares

FINANCIAL SERVICES · BANKS - REGIONAL · USA

First Merchants Corporation Depository Shares (FRMEP) represent a robust investment opportunity in the Midwest's financial services landscape, underpinned by a strong regional banking institution. The company delivers a wide array of financial services, encompassing commercial banking, consumer lending, and wealth management, tailored to meet the diverse needs of its clientele. With a proactive approach to community engagement and a commitment to sustainable growth, First Merchants emphasizes enhancing shareholder value while ensuring resilience against market fluctuations. This strategic orientation positions First Merchants as an attractive option for institutional investors aiming for dependable returns in a dynamic economic environment.

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Mizuho Financial Group Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Mizuho Financial Group, Inc. engages in banking, trusts, securities and other businesses related to financial services in Japan, America, Europe, Asia / Oceania and internationally. The company is headquartered in Tokyo, Japan.

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