WallStSmart

Arrow Financial Corporation (AROW)vsU.S. Bancorp (USB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

U.S. Bancorp generates 16546% more annual revenue ($26.35B vs $158.32M). USB leads profitability with a 28.7% profit margin vs 27.8%. USB appears more attractively valued with a PEG of 1.80. AROW earns a higher WallStSmart Score of 76/100 (B+).

AROW

Strong Buy

76

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 7.3Quality: 5.0

USB

Strong Buy

75

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 10.0Quality: 5.3
Piotroski: 5/9Altman Z: 0.39
IV

Intrinsic Value Comparison

Multi-model valuation · Graham Formula

AROWUndervalued (+71.8%)

Margin of Safety

+71.8%

Fair Value

$124.02

Current Price

$33.24

$90.78 discount

UndervaluedFair: $124.02Overvalued
USBUndervalued (+75.8%)

Margin of Safety

+75.8%

Fair Value

$214.00

Current Price

$51.89

$162.11 discount

UndervaluedFair: $214.00Overvalued

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

AROW5 strengths · Avg: 9.4/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
40.7%10/10

Strong operational efficiency at 40.7%

Revenue GrowthGrowth
37.0%10/10

Revenue surging 37.0% year-over-year

Profit MarginProfitability
27.8%9/10

Keeps 28 of every $100 in revenue as profit

P/E RatioValuation
12.1x8/10

Attractively priced relative to earnings

USB6 strengths · Avg: 9.3/10
P/E RatioValuation
11.3x10/10

Attractively priced relative to earnings

Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Operating MarginProfitability
39.3%10/10

Strong operational efficiency at 39.3%

Market CapQuality
$81.01B9/10

Large-cap with strong market position

Profit MarginProfitability
28.7%9/10

Keeps 29 of every $100 in revenue as profit

EPS GrowthGrowth
24.7%8/10

Earnings expanding 24.7% YoY

Areas to Watch

AROW3 concerns · Avg: 3.0/10
EPS GrowthGrowth
2.2%4/10

2.2% earnings growth

Market CapQuality
$531.01M3/10

Smaller company, higher risk/reward

PEG RatioValuation
2.842/10

Expensive relative to growth rate

USB2 concerns · Avg: 3.0/10
PEG RatioValuation
1.804/10

Expensive relative to growth rate

Altman Z-ScoreHealth
0.392/10

Distress zone — elevated risk

Comparative Analysis Report

WallStSmart Research

Bull Case : AROW

The strongest argument for AROW centers on Price/Book, Operating Margin, Revenue Growth. Profitability is solid with margins at 27.8% and operating margin at 40.7%. Revenue growth of 37.0% demonstrates continued momentum.

Bull Case : USB

The strongest argument for USB centers on P/E Ratio, Price/Book, Operating Margin. Profitability is solid with margins at 28.7% and operating margin at 39.3%.

Bear Case : AROW

The primary concerns for AROW are EPS Growth, Market Cap, PEG Ratio.

Bear Case : USB

The primary concerns for USB are PEG Ratio, Altman Z-Score.

Key Dynamics to Monitor

AROW profiles as a growth stock while USB is a mature play — different risk/reward profiles.

USB carries more volatility with a beta of 1.04 — expect wider price swings.

AROW is growing revenue faster at 37.0% — sustainability is the question.

USB generates stronger free cash flow (2.8B), providing more financial flexibility.

Bottom Line

AROW scores higher overall (76/100 vs 75/100), backed by strong 27.8% margins and 37.0% revenue growth. USB offers better value entry with a 75.8% margin of safety. Both earn "Strong Buy" and "Strong Buy" ratings respectively — the choice depends on your investment horizon and risk tolerance.

This analysis is generated from publicly available financial data. Not financial advice.

Arrow Financial Corporation

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Arrow Financial Corporation, a banking holding company, offers consumer and commercial banking and financial products and services. The company is headquartered in Glens Falls, New York.

U.S. Bancorp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

U.S. Bancorp is an American bank holding company based in Minneapolis, Minnesota, and incorporated in Delaware. The company provides banking, investment, mortgage, trust, and payment services products to individuals, businesses, governmental entities, and other financial institutions.

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