WallStSmart

Preferred Bank (PFBC)vsU.S. Bancorp (USB)

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Smart Verdict

WallStSmart Research — data-driven comparison

U.S. Bancorp generates 9724% more annual revenue ($27.89B vs $283.87M). PFBC leads profitability with a 46.7% profit margin vs 30.0%. PFBC appears more attractively valued with a PEG of 0.94. USB earns a higher WallStSmart Score of 75/100 (B).

PFBC

Buy

63

out of 100

Grade: C+

Growth: 4.0Profit: 8.0Value: 7.7Quality: 5.3
Piotroski: 4/9Altman Z: 0.50

USB

Strong Buy

75

out of 100

Grade: B

Growth: 6.7Profit: 7.5Value: 7.0Quality: 3.5
Piotroski: 4/9Altman Z: -0.36

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

PFBC5 strengths · Avg: 9.2/10
P/E RatioValuation
9.9x10/10

Attractively priced relative to earnings

Profit MarginProfitability
46.7%10/10

Keeps 47 of every $100 in revenue as profit

Operating MarginProfitability
68.3%10/10

Strong operational efficiency at 68.3%

PEG RatioValuation
0.948/10

Growing faster than its price suggests

Price/BookValuation
1.5x8/10

Reasonable price relative to book value

USB6 strengths · Avg: 9.2/10
P/E RatioValuation
11.6x10/10

Attractively priced relative to earnings

Profit MarginProfitability
30.0%10/10

Keeps 30 of every $100 in revenue as profit

Operating MarginProfitability
40.1%10/10

Strong operational efficiency at 40.1%

Market CapQuality
$92.63B9/10

Large-cap with strong market position

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

Free Cash FlowQuality
$4.82B8/10

Generating 4.8B in free cash flow

Areas to Watch

PFBC4 concerns · Avg: 2.3/10
Market CapQuality
$1.25B3/10

Smaller company, higher risk/reward

Revenue GrowthGrowth
-3.8%2/10

Revenue declined 3.8%

EPS GrowthGrowth
-3.9%2/10

Earnings declined 3.9%

Altman Z-ScoreHealth
0.502/10

Distress zone — elevated risk

USB2 concerns · Avg: 2.5/10
Debt/EquityHealth
1.103/10

Elevated debt levels

Altman Z-ScoreHealth
-0.362/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : PFBC

The strongest argument for PFBC centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 46.7% and operating margin at 68.3%. PEG of 0.94 suggests the stock is reasonably priced for its growth.

Bull Case : USB

The strongest argument for USB centers on P/E Ratio, Profit Margin, Operating Margin. Profitability is solid with margins at 30.0% and operating margin at 40.1%. PEG of 1.44 suggests the stock is reasonably priced for its growth.

Bear Case : PFBC

The primary concerns for PFBC are Market Cap, Revenue Growth, EPS Growth.

Bear Case : USB

The primary concerns for USB are Debt/Equity, Altman Z-Score.

Key Dynamics to Monitor

PFBC profiles as a declining stock while USB is a mature play — different risk/reward profiles.

USB carries more volatility with a beta of 1.02 — expect wider price swings.

USB is growing revenue faster at 8.4% — sustainability is the question.

USB generates stronger free cash flow (4.8B), providing more financial flexibility.

Bottom Line

USB scores higher overall (75/100 vs 63/100), backed by strong 30.0% margins. Both earn "Strong Buy" and "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.

Preferred Bank

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Preferred Bank offers a variety of commercial banking products and services to small and medium-sized businesses and their real estate owners, entrepreneurs, developers and investors, professionals, and high-net-worth individuals in the United States. The company is headquartered in Los Angeles, California.

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U.S. Bancorp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

U.S. Bancorp is an American bank holding company based in Minneapolis, Minnesota, and incorporated in Delaware. The company provides banking, investment, mortgage, trust, and payment services products to individuals, businesses, governmental entities, and other financial institutions.

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