Analyzing Triumph Financial (NASDAQ:TFIN) and MVB Financial (NASDAQ:MVBF)

Triumph Financial (NASDAQ:TFIN) and MVB Financial (NASDAQ:MVBF) are both finance companies, but which is the better investment? We will compare the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, dividends, profitability, risk and valuation.

Risk and Volatility

Triumph Financial has a beta of 1.22, meaning that its stock price is 22% more volatile than the S&P 500. Comparatively, MVB Financial has a beta of 1.05, meaning that its stock price is 5% more volatile than the S&P 500.

Valuation and Earnings

This table compares Triumph Financial and MVB Financial’s gross revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Triumph Financial	$472.59 million	4.66	$41.08 million	$1.31	71.89
MVB Financial	$209.53 million	1.52	$31.23 million	$1.87	13.25

Triumph Financial has higher revenue and earnings than MVB Financial. MVB Financial is trading at a lower price-to-earnings ratio than Triumph Financial, indicating that it is currently the more affordable of the two stocks.

Profitability

This table compares Triumph Financial and MVB Financial’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Triumph Financial	6.05%	3.57%	0.53%
MVB Financial	11.10%	8.65%	0.71%

Institutional & Insider Ownership

91.1% of Triumph Financial shares are held by institutional investors. Comparatively, 52.7% of MVB Financial shares are held by institutional investors. 6.2% of Triumph Financial shares are held by company insiders. Comparatively, 11.1% of MVB Financial shares are held by company insiders. Strong institutional ownership is an indication that hedge funds, large money managers and endowments believe a stock will outperform the market over the long term.

Analyst Ratings

This is a breakdown of current ratings and target prices for Triumph Financial and MVB Financial, as reported by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Triumph Financial	2	2	0	0	1.50
MVB Financial	0	1	3	0	2.75

Triumph Financial currently has a consensus price target of $70.75, indicating a potential downside of 24.88%. MVB Financial has a consensus price target of $25.25, indicating a potential upside of 1.94%. Given MVB Financial’s stronger consensus rating and higher possible upside, analysts plainly believe MVB Financial is more favorable than Triumph Financial.

Summary

MVB Financial beats Triumph Financial on 8 of the 14 factors compared between the two stocks.

About Triumph Financial

Triumph Financial, Inc., a financial holding company, provides various payments, factoring, and banking services in the United States. It operates through Banking, Factoring, and Payments segments. The company offers deposit products, including checking, savings, money market and certificates of deposit; and loan products, such as commercial real estate, land, commercial construction and land development, residential real estate, commercial agriculture, and consumer loans, as well as commercial and industrial loans, equipment loans, asset-based loans, business loans for working capital and operational purposes, and liquid credit loans. It also provides electronic banking services, debit cards, insurance brokerage services, mortgage warehouse facilities, and transportation factoring services, as well as payments services offered through TriumphPay platform, a payments network for the over-the-road trucking industry. The company was formerly known as Triumph Bancorp, Inc. and changed its name to Triumph Financial Inc. in December 2022. Triumph Financial Inc. was incorporated in 2003 and is headquartered in Dallas, Texas.

About MVB Financial

MVB Financial Corp. operates as bank holding company for MVB Bank, Inc that provides financial services to individuals and corporate clients. The company operates through three segments: CoRe Banking, Mortgage Banking, and The Financial Holding Company. It offers various demand deposit accounts, savings accounts, money market accounts, and certificates of deposit; and commercial, consumer, and real estate mortgage loans, as well as lines of credit. The company also provides debit cards; cashier's checks; safe deposit rental facilities; and non-deposit investment services, as well as financial technology (Fintech) banking services. In addition, it offers fintech solutions for the gaming, payments, banking-as-a-service, and digital asset sectors; fraud prevention services for merchants, credit agencies, Fintech companies, and other vendors; and digital products and web and mobile applications for forward-thinking community banks, credit unions, digital banks, and Fintech companies. It operates full-service branches in West Virginia and Virginia. MVB Financial Corp. was founded in 1997 and is based in Fairmont, West Virginia.