WallStSmart

Heritage Commerce Corp (HTBK)vsPNC Financial Services Group Inc (PNC)

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Smart Verdict

WallStSmart Research — data-driven comparison

PNC Financial Services Group Inc generates 11677% more annual revenue ($23.04B vs $195.65M). PNC leads profitability with a 31.3% profit margin vs 24.4%. HTBK appears more attractively valued with a PEG of 1.50. PNC earns a higher WallStSmart Score of 75/100 (B).

HTBK

Strong Buy

71

out of 100

Grade: B

Growth: 8.7Profit: 6.5Value: 6.3Quality: 5.0
Piotroski: 5/9Altman Z: -0.13

PNC

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 5.7Quality: 3.5
Piotroski: 5/9Altman Z: -0.49

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

HTBK6 strengths · Avg: 9.2/10
Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Operating MarginProfitability
45.3%10/10

Strong operational efficiency at 45.3%

Debt/EquityHealth
0.0610/10

Conservative balance sheet, low leverage

Profit MarginProfitability
24.4%9/10

Keeps 24 of every $100 in revenue as profit

P/E RatioValuation
17.2x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
17.7%8/10

17.7% revenue growth

PNC6 strengths · Avg: 9.2/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
31.3%10/10

Keeps 31 of every $100 in revenue as profit

Operating MarginProfitability
36.7%10/10

Strong operational efficiency at 36.7%

Market CapQuality
$88.75B9/10

Large-cap with strong market position

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

Free Cash FlowQuality
$1.93B8/10

Generating 1.9B in free cash flow

Areas to Watch

HTBK3 concerns · Avg: 2.7/10
Market CapQuality
$828.43M3/10

Smaller company, higher risk/reward

Return on EquityProfitability
6.8%3/10

ROE of 6.8% — below average capital efficiency

Altman Z-ScoreHealth
-0.132/10

Distress zone — elevated risk

PNC3 concerns · Avg: 3.0/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

Debt/EquityHealth
1.053/10

Elevated debt levels

Altman Z-ScoreHealth
-0.492/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : HTBK

The strongest argument for HTBK centers on Price/Book, Operating Margin, Debt/Equity. Profitability is solid with margins at 24.4% and operating margin at 45.3%. Revenue growth of 17.7% demonstrates continued momentum.

Bull Case : PNC

The strongest argument for PNC centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 31.3% and operating margin at 36.7%. Revenue growth of 13.8% demonstrates continued momentum.

Bear Case : HTBK

The primary concerns for HTBK are Market Cap, Return on Equity, Altman Z-Score.

Bear Case : PNC

The primary concerns for PNC are PEG Ratio, Debt/Equity, Altman Z-Score.

Key Dynamics to Monitor

HTBK profiles as a growth stock while PNC is a mature play — different risk/reward profiles.

PNC carries more volatility with a beta of 0.93 — expect wider price swings.

HTBK is growing revenue faster at 17.7% — sustainability is the question.

PNC generates stronger free cash flow (1.9B), providing more financial flexibility.

Bottom Line

PNC scores higher overall (75/100 vs 71/100), backed by strong 31.3% margins and 13.8% revenue growth. 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.

Heritage Commerce Corp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Heritage Commerce Corp is the banking holding company for Heritage Bank of Commerce providing various commercial and personal banking services to residents and the business / professional community in California. The company is headquartered in San Jose, California.

PNC Financial Services Group Inc

FINANCIAL SERVICES · BANKS - REGIONAL · USA

PNC Financial Services Group, Inc. (stylized as PNC) is a bank holding company and financial services corporation based in Pittsburgh, Pennsylvania. Its banking subsidiary, PNC Bank, operates in 21 states and the District of Columbia with 2,296 branches and 9,051 ATMs. The company also provides financial services such as asset management, wealth management, estate planning, loan servicing, and information processing.

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