WallStSmart

First Business Financial Services (FBIZ)vsU.S. Bancorp (USB)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

U.S. Bancorp generates 16374% more annual revenue ($26.35B vs $159.97M). FBIZ leads profitability with a 31.5% profit margin vs 28.7%. FBIZ appears more attractively valued with a PEG of 1.24. USB earns a higher WallStSmart Score of 75/100 (B).

FBIZ

Strong Buy

66

out of 100

Grade: B-

Growth: 6.0Profit: 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

FBIZSignificantly Overvalued (-44.6%)

Margin of Safety

-44.6%

Fair Value

$40.39

Current Price

$53.30

$12.91 premium

UndervaluedFair: $40.39Overvalued
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

FBIZ4 strengths · Avg: 10.0/10
P/E RatioValuation
8.7x10/10

Attractively priced relative to earnings

Price/BookValuation
1.2x10/10

Reasonable price relative to book value

Profit MarginProfitability
31.5%10/10

Keeps 32 of every $100 in revenue as profit

Operating MarginProfitability
42.2%10/10

Strong operational efficiency at 42.2%

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

FBIZ2 concerns · Avg: 2.5/10
Market CapQuality
$430.66M3/10

Smaller company, higher risk/reward

EPS GrowthGrowth
-8.1%2/10

Earnings declined 8.1%

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 : FBIZ

The strongest argument for FBIZ centers on P/E Ratio, Price/Book, Profit Margin. Profitability is solid with margins at 31.5% and operating margin at 42.2%. PEG of 1.24 suggests the stock is reasonably priced for its growth.

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 : FBIZ

The primary concerns for FBIZ are Market Cap, EPS Growth.

Bear Case : USB

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

Key Dynamics to Monitor

FBIZ profiles as a value 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.

USB is growing revenue faster at 5.3% — sustainability is the question.

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

Bottom Line

USB scores higher overall (75/100 vs 66/100), backed by strong 28.7% margins. 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.

First Business Financial Services

FINANCIAL SERVICES · BANKS - REGIONAL · USA

First Business Financial Services, Inc. is the banking holding company for First Business Bank providing commercial banking products and services for small and medium-sized businesses, business owners, executives, professionals and high net worth individuals. The company is headquartered in Madison, Wisconsin.

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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