Analyzing First Republic Bank (FRCB) and The Competition

First Republic Bank (OTCMKTS:FRCB – Get Rating) is one of 70 public companies in the “Commercial banks, not elsewhere classified” industry, but how does it weigh in compared to its competitors? We will compare First Republic Bank to similar businesses based on the strength of its dividends, risk, valuation, profitability, earnings, institutional ownership and analyst recommendations.

Profitability

This table compares First Republic Bank and its competitors’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Republic Bank	20.45%	11.26%	0.72%
First Republic Bank Competitors	19.13%	12.03%	0.98%

Analyst Recommendations

This is a breakdown of current ratings and target prices for First Republic Bank and its competitors, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Republic Bank	0	0	0	0	N/A
First Republic Bank Competitors	627	2237	2268	59	2.34

As a group, “Commercial banks, not elsewhere classified” companies have a potential upside of 82.66%. Given First Republic Bank’s competitors higher possible upside, analysts plainly believe First Republic Bank has less favorable growth aspects than its competitors.

Risk & Volatility

First Republic Bank has a beta of 0.99, suggesting that its share price is 1% less volatile than the S&P 500. Comparatively, First Republic Bank’s competitors have a beta of 0.94, suggesting that their average share price is 6% less volatile than the S&P 500.

Insider & Institutional Ownership

95.2% of First Republic Bank shares are owned by institutional investors. Comparatively, 25.3% of shares of all “Commercial banks, not elsewhere classified” companies are owned by institutional investors. 0.7% of First Republic Bank shares are owned by company insiders. Comparatively, 6.5% of shares of all “Commercial banks, not elsewhere classified” companies are owned by company 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.

Earnings & Valuation

This table compares First Republic Bank and its competitors top-line revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
First Republic Bank	$6.75 billion	$1.67 billion	0.05
First Republic Bank Competitors	$711.82 billion	$3.08 billion	9.28

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

Dividends

First Republic Bank pays an annual dividend of 1.08 per share and has a dividend yield of 276.9%. First Republic Bank pays out 14.4% of its earnings in the form of a dividend. As a group, “Commercial banks, not elsewhere classified” companies pay a dividend yield of 2.5% and pay out 17.1% of their earnings in the form of a dividend. First Republic Bank is clearly a better dividend stock than its competitors, given its higher yield and lower payout ratio.

Summary

First Republic Bank competitors beat First Republic Bank on 7 of the 12 factors compared.

First Republic Bank Company Profile

(Get Rating)

First Republic offers banking for individuals and businesses, wealth management and more with a focus on tailored service and solutions. First Republic was founded in San Francisco in 1985 by James H. Herbert II with a single office and a small but dedicated staff. Years later, First Republic is one of the country’s largest banks, serving clients at more than 80 Preferred Banking Offices across the United States and through online banking services. First Republic prides itself on its convenient online presence, strong heritage and sustainable, client-centric approach that has provided consistent growth. First Republic Bank offers a full range of personal and business banking services including lending, deposit, foreign exchange and more, while First Republic Private Wealth Management provides trust, brokerage and wealth advisory services. Across all of its offerings, First Republic is committed to serving its stakeholders and clients with exceptional, personalized service, putting clients first in all that it does. Banking products and services are offered by First Republic Bank, Member FDIC and Equal Housing Lender. Investment Advisory services are provided by First Republic