Comparing City Bank (OTCMKTS:CTBK) & Triumph Financial (NASDAQ:TFIN)

Triumph Financial (NASDAQ:TFIN) and City Bank (OTCMKTS:CTBK) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their dividends, institutional ownership, valuation, analyst recommendations, risk, profitability and earnings.

Analyst Recommendations

This is a breakdown of recent recommendations and price targets for Triumph Financial and City Bank, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Triumph Financial	2	3	0	0	1.60
City Bank	0	0	0	0	0.00

Triumph Financial presently has a consensus price target of $71.60, suggesting a potential downside of 14.10%. Given City Bank’s higher possible upside, analysts clearly believe City Bank is more favorable than Triumph Financial.

Earnings and Valuation

This table compares Triumph Financial and City Bank”s top-line revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Triumph Financial	$417.97 million	4.66	$41.08 million	$0.78	106.86
City Bank	N/A	N/A	N/A	N/A	N/A

Triumph Financial has higher revenue and earnings than City Bank.

Profitability

This table compares Triumph Financial and City Bank’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Triumph Financial	4.47%	2.64%	0.39%
City Bank	N/A	N/A	N/A

Institutional & Insider Ownership

91.1% of Triumph Financial shares are held by institutional investors. 6.2% of Triumph Financial shares are held by insiders. Comparatively, 37.5% of City Bank shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock will outperform the market over the long term.

Summary

Triumph Financial beats City Bank on 6 of the 8 factors compared between the two stocks.

About Triumph Financial

Triumph Financial, Inc., a financial holding company, provides various payments, factoring, and banking services in the United States. It operates through Banking, Factoring, and Payments segments. The company offers deposit products, including checking, savings, money market and certificates of deposit; and loan products, such as commercial real estate, land, commercial construction and land development, residential real estate, commercial agriculture, and consumer loans, as well as commercial and industrial loans, equipment loans, asset-based loans, business loans for working capital and operational purposes, and liquid credit loans. It also provides electronic banking services, debit cards, insurance brokerage services, mortgage warehouse facilities, and transportation factoring services, as well as payments services offered through TriumphPay platform, a payments network for the over-the-road trucking industry. The company was formerly known as Triumph Bancorp, Inc. and changed its name to Triumph Financial Inc. in December 2022. Triumph Financial Inc. was incorporated in 2003 and is headquartered in Dallas, Texas.

About City Bank

As of April 17, 2010, City Bank was acquired by Whidbey Island Bank. City Bank offers commercial banking services. The company was incorporated in 1974 and is headquartered in Lynnwood, Washington.