WallStSmart

Bank of America Corp (BAC)vsMerchants Bancorp (MBIN)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Bank of America Corp generates 19359% more annual revenue ($113.93B vs $585.48M). MBIN leads profitability with a 39.0% profit margin vs 29.5%. MBIN trades at a lower P/E of 12.1x. BAC earns a higher WallStSmart Score of 84/100 (A-).

BAC

Exceptional Buy

84

out of 100

Grade: A-

Growth: 9.3Profit: 7.5Value: 6.3Quality: 3.0
Piotroski: 5/9Altman Z: -0.27

MBIN

Strong Buy

71

out of 100

Grade: B

Growth: 9.3Profit: 7.5Value: 6.0Quality: 2.5
Piotroski: 3/9Altman Z: 0.80

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

BAC6 strengths · Avg: 9.2/10
Market CapQuality
$424.03B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
38.3%10/10

Strong operational efficiency at 38.3%

Free Cash FlowQuality
$41.77B10/10

Generating 41.8B in free cash flow

Profit MarginProfitability
29.5%9/10

Keeps 30 of every $100 in revenue as profit

P/E RatioValuation
14.1x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

MBIN6 strengths · Avg: 9.0/10
Price/BookValuation
1.4x10/10

Reasonable price relative to book value

Profit MarginProfitability
39.0%10/10

Keeps 39 of every $100 in revenue as profit

Operating MarginProfitability
58.0%10/10

Strong operational efficiency at 58.0%

P/E RatioValuation
12.1x8/10

Attractively priced relative to earnings

Revenue GrowthGrowth
15.8%8/10

15.8% revenue growth

EPS GrowthGrowth
34.5%8/10

Earnings expanding 34.5% YoY

Areas to Watch

BAC2 concerns · Avg: 1.5/10
Altman Z-ScoreHealth
-0.272/10

Distress zone — elevated risk

Debt/EquityHealth
2.431/10

Elevated debt levels

MBIN4 concerns · Avg: 2.0/10
Piotroski F-ScoreQuality
3/93/10

Weak financial health signals

Free Cash FlowQuality
$-781.56M2/10

Negative free cash flow — burning cash

Altman Z-ScoreHealth
0.802/10

Distress zone — elevated risk

Debt/EquityHealth
2.051/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

Bull Case : BAC

The strongest argument for BAC centers on Market Cap, Operating Margin, Free Cash Flow. Profitability is solid with margins at 29.5% and operating margin at 38.3%. Revenue growth of 21.4% demonstrates continued momentum.

Bull Case : MBIN

The strongest argument for MBIN centers on Price/Book, Profit Margin, Operating Margin. Profitability is solid with margins at 39.0% and operating margin at 58.0%. Revenue growth of 15.8% demonstrates continued momentum.

Bear Case : BAC

The primary concerns for BAC are Altman Z-Score, Debt/Equity. Debt-to-equity of 2.43 is elevated, increasing financial risk.

Bear Case : MBIN

The primary concerns for MBIN are Piotroski F-Score, Free Cash Flow, Altman Z-Score. Debt-to-equity of 2.05 is elevated, increasing financial risk.

Key Dynamics to Monitor

BAC carries more volatility with a beta of 1.18 — expect wider price swings.

BAC is growing revenue faster at 21.4% — sustainability is the question.

BAC generates stronger free cash flow (41.8B), providing more financial flexibility.

Monitor BANKS - DIVERSIFIED industry trends, competitive dynamics, and regulatory changes.

Bottom Line

BAC scores higher overall (84/100 vs 71/100), backed by strong 29.5% margins and 21.4% revenue growth. Both earn "Exceptional 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.

Bank of America Corp

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

The Bank of America Corporation is an American multinational investment bank and financial services holding company headquartered in Charlotte, North Carolina. Founded in San Francisco, Bank of America was formed through NationsBank's acquisition of BankAmerica in 1998. It is the second largest banking institution in the United States, after JPMorgan Chase, and the eighth largest bank in the world. Bank of America is one of the Big Four banking institutions of the United States. It services approximately 10 percent of all American bank deposits, in direct competition with JPMorgan Chase, Citigroup and Wells Fargo. Its primary financial services revolve around commercial banking, wealth management, and investment banking.

Visit Website →

Merchants Bancorp

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Merchants Bancorp is the diversified bank holding company in the United States. The company is headquartered in Carmel, Indiana.

Visit Website →

Want to dig deeper into these stocks?