WallStSmart

Texas Capital Bancshares, Inc. (TCBI)vsWells Fargo & Company (WFC)

VS

Smart Verdict

WallStSmart Research — data-driven comparison

Wells Fargo & Company generates 6436% more annual revenue ($83.03B vs $1.27B). TCBI leads profitability with a 28.7% profit margin vs 27.2%. TCBI appears more attractively valued with a PEG of 1.47. WFC earns a higher WallStSmart Score of 76/100 (B+).

TCBI

Strong Buy

73

out of 100

Grade: B

Growth: 7.3Profit: 7.5Value: 6.3Quality: 7.5
Piotroski: 6/9Altman Z: -0.63

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

TCBI5 strengths · Avg: 9.2/10
Price/BookValuation
1.3x10/10

Reasonable price relative to book value

Operating MarginProfitability
36.7%10/10

Strong operational efficiency at 36.7%

Profit MarginProfitability
28.7%9/10

Keeps 29 of every $100 in revenue as profit

Debt/EquityHealth
0.239/10

Conservative balance sheet, low leverage

P/E RatioValuation
12.8x8/10

Attractively priced relative to earnings

WFC6 strengths · Avg: 8.8/10
Market CapQuality
$273.04B10/10

Mega-cap, among the largest globally

Operating MarginProfitability
37.4%10/10

Strong operational efficiency at 37.4%

Profit MarginProfitability
27.2%9/10

Keeps 27 of every $100 in revenue as profit

P/E RatioValuation
13.1x8/10

Attractively priced relative to earnings

Price/BookValuation
1.7x8/10

Reasonable price relative to book value

EPS GrowthGrowth
25.0%8/10

Earnings expanding 25.0% YoY

Areas to Watch

TCBI1 concerns · Avg: 2.0/10
Altman Z-ScoreHealth
-0.632/10

Distress zone — elevated risk

WFC3 concerns · Avg: 2.3/10
PEG RatioValuation
1.514/10

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 : TCBI

The strongest argument for TCBI centers on Price/Book, Operating Margin, Profit Margin. Profitability is solid with margins at 28.7% and operating margin at 36.7%. PEG of 1.47 suggests the stock is reasonably priced for its growth.

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 37.4%.

Bear Case : TCBI

The primary concerns for TCBI are Altman Z-Score.

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

WFC carries more volatility with a beta of 0.92 — expect wider price swings.

WFC is growing revenue faster at 9.5% — sustainability is the question.

WFC generates stronger free cash flow (6.8B), providing more financial flexibility.

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

Bottom Line

WFC scores higher overall (76/100 vs 73/100), 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.

Texas Capital Bancshares, Inc.

FINANCIAL SERVICES · BANKS - REGIONAL · USA

Texas Capital Bancshares, Inc. is the banking holding company for Texas Capital Bank, a National Association that offers various banking products and services for commercial companies, professionals and entrepreneurs. The company is headquartered in Dallas, Texas.

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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