Contrasting FinWise Bancorp (FINW) and Its Peers

FinWise Bancorp (NASDAQ:FINW) is one of 920 public companies in the “Banks” industry, but how does it compare to its peers? We will compare FinWise Bancorp to related companies based on the strength of its institutional ownership, valuation, dividends, risk, profitability, analyst recommendations and earnings.

Institutional & Insider Ownership

35.4% of FinWise Bancorp shares are owned by institutional investors. Comparatively, 47.8% of shares of all “Banks” companies are owned by institutional investors. 22.4% of FinWise Bancorp shares are owned by insiders. Comparatively, 9.8% of shares of all “Banks” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, hedge funds and endowments believe a stock will outperform the market over the long term.

Valuation & Earnings

This table compares FinWise Bancorp and its peers top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
FinWise Bancorp	$179.27 million	$16.09 million	9.70
FinWise Bancorp Competitors	$296.67 billion	$2.41 billion	16.75

FinWise Bancorp’s peers have higher revenue and earnings than FinWise Bancorp. FinWise Bancorp is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Risk and Volatility

FinWise Bancorp has a beta of 0.73, meaning that its share price is 27% less volatile than the S&P 500. Comparatively, FinWise Bancorp’s peers have a beta of 0.61, meaning that their average share price is 39% less volatile than the S&P 500.

Profitability

This table compares FinWise Bancorp and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
FinWise Bancorp	6.76%	7.04%	1.48%
FinWise Bancorp Competitors	15.72%	9.53%	0.93%

Analyst Ratings

This is a summary of recent ratings and target prices for FinWise Bancorp and its peers, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
FinWise Bancorp	0	3	1	0	2.25
FinWise Bancorp Competitors	7463	30185	27751	1456	2.35

FinWise Bancorp currently has a consensus target price of $15.50, indicating a potential upside of 18.39%. As a group, “Banks” companies have a potential upside of 16.91%. Given FinWise Bancorp’s higher possible upside, equities analysts plainly believe FinWise Bancorp is more favorable than its peers.

Summary

FinWise Bancorp peers beat FinWise Bancorp on 9 of the 13 factors compared.

About FinWise Bancorp

FinWise Bancorp operates as the bank holding company for FinWise Bank that provides various banking products and services to individual and corporate customers in Utah. The company offers various deposit products, including interest and noninterest bearing demand accounts, health savings account demand deposits, NOW and money market accounts, and checking and savings accounts, as well as time deposits and certificates of deposits. It also provides loans, including consumer, small business administration, commercial, commercial real estate, and residential real estate loans. In addition, the company offers debit cards, remote deposit capture, online banking, mobile banking, and direct deposit services; and business accounts and cash management services, such as business checking and savings accounts, and treasury services. FinWise Bancorp was founded in 1999 and is headquartered in Murray, Utah.