Financial Comparison: Triumph Financial (NYSE:TFIN) & First Commonwealth Financial (NYSE:FCF)

First Commonwealth Financial (NYSE:FCF) and Triumph Financial (NYSE:TFIN) are both finance companies, but which is the superior investment? We will contrast the two companies based on the strength of their dividends, risk, valuation, profitability, earnings, analyst recommendations and institutional ownership.

Insider and Institutional Ownership

72.6% of First Commonwealth Financial shares are held by institutional investors. Comparatively, 91.1% of Triumph Financial shares are held by institutional investors. 1.9% of First Commonwealth Financial shares are held by insiders. Comparatively, 5.5% of Triumph Financial shares are held by insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a company is poised for long-term growth.

Risk & Volatility

First Commonwealth Financial has a beta of 0.74, meaning that its stock price is 26% less volatile than the S&P 500. Comparatively, Triumph Financial has a beta of 1.37, meaning that its stock price is 37% more volatile than the S&P 500.

Profitability

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

	Net Margins	Return on Equity	Return on Assets
First Commonwealth Financial	22.62%	10.79%	1.37%
Triumph Financial	7.17%	4.69%	0.62%

Earnings & Valuation

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

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Commonwealth Financial	$729.51 million	2.92	$152.30 million	$1.63	12.95
Triumph Financial	$518.88 million	2.90	$25.36 million	$1.48	42.50

First Commonwealth Financial has higher revenue and earnings than Triumph Financial. First Commonwealth Financial is trading at a lower price-to-earnings ratio than Triumph Financial, indicating that it is currently the more affordable of the two stocks.

Analyst Recommendations

This is a breakdown of current ratings and price targets for First Commonwealth Financial and Triumph Financial, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Commonwealth Financial	0	3	4	0	2.57
Triumph Financial	0	6	0	0	2.00

First Commonwealth Financial presently has a consensus price target of $24.25, suggesting a potential upside of 14.91%. Triumph Financial has a consensus price target of $85.00, suggesting a potential upside of 35.12%. Given Triumph Financial’s higher possible upside, analysts plainly believe Triumph Financial is more favorable than First Commonwealth Financial.

Summary

First Commonwealth Financial beats Triumph Financial on 9 of the 14 factors compared between the two stocks.

About First Commonwealth Financial

First Commonwealth Financial Corporation, a financial holding company, provides various consumer and commercial banking services in the United States. Its consumer services include personal checking accounts, interest-earning checking accounts, savings and health savings accounts, insured money market accounts, debit cards, investment certificates, fixed and variable rate certificates of deposit, mortgage loans, secured and unsecured installment loans, construction and real estate loans, safe deposit facilities, credit cards, credit lines with overdraft checking protection, IRA accounts, and automated teller machine (atm) services, as well as internet, mobile, and telephone banking services. The company's commercial banking services comprise commercial lending, business checking accounts, online account management services, payroll direct deposits, commercial cash management services, and repurchase agreements, as well as ACH origination services. In addition, it offers various trust and asset management services; auto, home, and business insurance, as well as term life insurance; and annuities, mutual funds, and stock and bond brokerage services through a broker-dealer and insurance brokers. The company was founded in 1934 and is headquartered in Indiana, Pennsylvania.

About Triumph Financial

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.