Comparing First Republic Bank (OTCMKTS:FRCB) and Columbia Banking System (NASDAQ:COLB)

First Republic Bank (OTCMKTS:FRCB) and Columbia Banking System (NASDAQ:COLB) are both finance companies, but which is the superior investment? We will compare the two companies based on the strength of their profitability, dividends, risk, institutional ownership, valuation, analyst recommendations and earnings.

Volatility and Risk

First Republic Bank has a beta of 2.28, suggesting that its stock price is 128% more volatile than the S&P 500. Comparatively, Columbia Banking System has a beta of 0.62, suggesting that its stock price is 38% less volatile than the S&P 500.

Earnings & Valuation

This table compares First Republic Bank and Columbia Banking System”s gross revenue, earnings per share and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
First Republic Bank	$6.75 billion	0.00	$1.67 billion	N/A	N/A
Columbia Banking System	$2.97 billion	1.78	$533.67 million	$2.36	10.63

First Republic Bank has higher revenue and earnings than Columbia Banking System.

Profitability

This table compares First Republic Bank and Columbia Banking System’s net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
First Republic Bank	N/A	N/A	N/A
Columbia Banking System	16.85%	11.12%	1.11%

Institutional & Insider Ownership

0.0% of First Republic Bank shares are owned by institutional investors. Comparatively, 92.5% of Columbia Banking System shares are owned by institutional investors. 0.7% of First Republic Bank shares are owned by insiders. Comparatively, 0.7% of Columbia Banking System shares are owned by insiders. Strong institutional ownership is an indication that hedge funds, endowments and large money managers believe a stock is poised for long-term growth.

Dividends

First Republic Bank pays an annual dividend of $1.08 per share and has a dividend yield of 108,000.0%. Columbia Banking System pays an annual dividend of $1.44 per share and has a dividend yield of 5.7%. Columbia Banking System pays out 61.0% of its earnings in the form of a dividend. Columbia Banking System has raised its dividend for 4 consecutive years.

Analyst Ratings

This is a breakdown of recent recommendations and price targets for First Republic Bank and Columbia Banking System, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
First Republic Bank	0	0	0	0	0.00
Columbia Banking System	0	10	4	0	2.29

Columbia Banking System has a consensus target price of $29.29, indicating a potential upside of 16.72%. Given Columbia Banking System’s stronger consensus rating and higher probable upside, analysts clearly believe Columbia Banking System is more favorable than First Republic Bank.

Summary

Columbia Banking System beats First Republic Bank on 9 of the 15 factors compared between the two stocks.

About First Republic Bank

As of May 1, 2023, First Republic Bank went out of business. Previously, First Republic Bank provided private banking, private business banking, and private wealth management services to clients in metropolitan areas in the United States. The company was founded in 1985 and was headquartered in San Francisco, California. First Republic Bank now trades on OTCPK.

About Columbia Banking System

Columbia Banking System, Inc. operates as the holding company of Umpqua Bank that provides banking, private banking, mortgage, and other financial services in the United States. The company offers deposit products, including business, non-interest bearing checking, interest-bearing checking and savings, money market, and certificate of deposit accounts; and insured cash sweep and other investment sweep solutions. It also provides commercial lending products, such as commercial lines of credit and term loans, accounts receivable and inventory financing, international trade finance, commercial property loans, multifamily loans, equipment loans, commercial equipment leases, real estate construction loans and permanent financing, and small business administration program financing, as well as capital markets. In addition, the company offers wealth management comprising financial planning, investment, trust, and insurance; treasury management, which includes digital and mobile banking solutions, ACH, wires, positive pay, remote deposit capture, integrated payments, integrated receivables, lockbox, cash vault, real-time payments, commercial card, and foreign exchange and international banking related products, as well as merchant services; and brokerage services, residential real estate loans and consumer loans. It serves its products to corporate, institutional, small business, and individual customers. The company was founded in 1953 and is headquartered in Tacoma, Washington.