WallStSmart

Merchants Bancorp (MBIN)vsWells Fargo & Company (WFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 14081% more annual revenue ($83.03B vs $585.48M). MBIN leads profitability with a 39.0% profit margin vs 27.2%. MBIN trades at a lower P/E of 12.1x. WFC earns a higher WallStSmart Score of 76/100 (B+).

MBIN

Strong Buy

71

out of 100

Grade: B

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

WFC

Strong Buy

76

out of 100

Grade: B+

Growth: 7.3Profit: 7.5Value: 5.7Quality: 3.0
Piotroski: 4/9Altman Z: -0.38

Key Strengths & Concerns

Side-by-side fundamental analysis

Key Strengths

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

WFC6 strengths · Avg: 8.8/10
Market CapQuality
$264.46B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
37.1%10/10

Strong operational efficiency at 37.1%

Profit MarginProfitability
27.2%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

Price/BookValuation
1.6x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.0%8/10

Earnings expanding 25.0% YoY

Areas to Watch

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

WFC3 concerns · Avg: 2.3/10
PEG RatioValuation
1.664/10

Expensive relative to growth rate

Altman Z-ScoreHealth
-0.382/10

Distress zone — elevated risk

Debt/EquityHealth
2.551/10

Elevated debt levels

Comparative Analysis Report

WallStSmart Research

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.

Bull Case : WFC

The strongest argument for WFC centers on Market Cap, Operating Margin, Profit Margin. Profitability is solid with margins at 27.2% and operating margin at 37.1%.

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.

Bear Case : WFC

The primary concerns for WFC are PEG Ratio, Altman Z-Score, Debt/Equity. Debt-to-equity of 2.55 is elevated, increasing financial risk.

Key Dynamics to Monitor

MBIN profiles as a growth stock while WFC is a mature play — different risk/reward profiles.

MBIN carries more volatility with a beta of 1.15 — expect wider price swings.

MBIN is growing revenue faster at 15.8% — sustainability is the question.

WFC generates stronger free cash flow (9.1B), providing more financial flexibility.

Bottom Line

WFC scores higher overall (76/100 vs 71/100), backed by strong 27.2% 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.

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.

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Wells Fargo & Company

FINANCIAL SERVICES · BANKS - DIVERSIFIED · USA

Wells Fargo & Company is an American multinational financial services company with corporate headquarters in San Francisco, California, operational headquarters in Manhattan, and managerial offices throughout the United States and overseas.

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