Analyzing Triumph Financial (TFIN) and Its Competitors

Triumph Financial (NYSE:TFIN) is one of 20 publicly-traded companies in the “State Commercial Banks – Fed Reserve System” industry, but how does it weigh in compared to its peers? We will compare Triumph Financial to similar businesses based on the strength of its valuation, profitability, analyst recommendations, risk, earnings, dividends and institutional ownership.

Volatility & Risk

Triumph Financial has a beta of 1.48, indicating that its share price is 48% more volatile than the S&P 500. Comparatively, Triumph Financial’s peers have a beta of 1.01, indicating that their average share price is 1% more volatile than the S&P 500.

Institutional and Insider Ownership

91.1% of Triumph Financial shares are owned by institutional investors. Comparatively, 72.2% of shares of all “State Commercial Banks – Fed Reserve System” companies are owned by institutional investors. 5.6% of Triumph Financial shares are owned by insiders. Comparatively, 6.7% of shares of all “State Commercial Banks – Fed Reserve System” companies are owned by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company will outperform the market over the long term.

Analyst Ratings

This is a summary of current ratings and target prices for Triumph Financial and its peers, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Triumph Financial	1	0	0	0	1.00
Triumph Financial Competitors	29	165	196	18	2.50

As a group, “State Commercial Banks – Fed Reserve System” companies have a potential upside of 6.04%. Given Triumph Financial’s peers stronger consensus rating and higher probable upside, analysts clearly believe Triumph Financial has less favorable growth aspects than its peers.

Earnings & Valuation

This table compares Triumph Financial and its peers revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Triumph Financial	$487.93 million	$16.09 million	227.21
Triumph Financial Competitors	$707.57 million	$95.99 million	38.65

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

Profitability

This table compares Triumph Financial and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Triumph Financial	2.00%	1.76%	0.24%
Triumph Financial Competitors	7.23%	6.94%	0.79%

Summary

Triumph Financial peers beat Triumph Financial on 10 of the 13 factors compared.

Triumph Financial Company Profile

Triumph Bancorp, Inc. operates as a financial holding company for TBK Bank, SSB that provides various banking and commercial finance products and services to retail customers and small-to-mid-sized businesses in the United States. The company operates through four segments: Banking, Factoring, Payments, and Corporate. It offers depository products, including checking, savings, and money market accounts, as well as certificates of deposit; and commercial and industrial loans, loans to purchase capital equipment, and business loans for working capital and operational purposes. The company also provides asset-based, and equipment and premium finance loans; real estate loans to finance commercial properties; to factoring services the transportation and non-transportation sectors; agriculture loans; commercial construction, land, and land development loans; mortgage warehouse loans; residential real estate loans; and consumer loans. In addition, it offers debit cards; electronic banking, trust, and treasury management services; and insurance brokerage services. As of December 31, 2021, the company operated through a network of 10 branches in the Quad Cities Metropolitan Area of Iowa and Illinois; 8 branches in northern and central Illinois; 7 branches in southern Colorado; 3 branches in New Mexico; 31 branches in central and eastern Colorado; and 2 branches in far western Kansas, as well as a branch office dedicated to deposit gathering activities in Dallas, Texas. Triumph Bancorp, Inc. was founded in 1981 and is headquartered in Dallas, Texas.