FBK vs HOMB

For growth investors, FB Financial Corporation (FBK) is the stronger pick with 14.

5% revenue growth year-over-year, versus 9. 5% for Home Bancshares, Inc. (HOMB). Home Bancshares, Inc. (HOMB) offers the better valuation at 13. 3x trailing P/E (10. 9x forward), making it the more compelling value choice. Analysts rate FB Financial Corporation (FBK) a "Buy" — based on 14 analyst ratings — the highest consensus in this comparison. The "better buy" depends entirely on your goals: growth investors should weight revenue trajectory, value investors should weight P/E and PEG, and income investors should weight dividend yield and streak.

On trailing P/E, Home Bancshares, Inc.

(HOMB) is the cheapest at 13. 3x versus FB Financial Corporation at 22. 0x. On forward P/E, Home Bancshares, Inc. is actually cheaper at 10. 9x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: FB Financial Corporation wins at 1. 50x versus Home Bancshares, Inc. 's 3. 57x — a reasonable growth-adjusted valuation.

Over the past 5 years, FB Financial Corporation (FBK) delivered a total return of +32.

9%, compared to +10. 0% for Home Bancshares, Inc. (HOMB). Over 10 years, the gap is even starker: FBK returned +174. 7% versus HOMB's +49. 0%. Past returns do not guarantee future results, and the stock with the higher historical return may already have its best growth priced in.

By beta (market sensitivity over 5 years), Home Bancshares, Inc.

(HOMB) is the lower-risk stock at 0. 74β versus FB Financial Corporation's 0. 93β — meaning FBK is approximately 25% more volatile than HOMB relative to the S&P 500. On balance sheet safety, FB Financial Corporation (FBK) carries a lower debt/equity ratio of 17% versus 30% for Home Bancshares, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), FB Financial Corporation (FBK) is pulling ahead at 14.

5% versus 9. 5% for Home Bancshares, Inc. (HOMB). On earnings-per-share growth, the picture is similar: Home Bancshares, Inc. grew EPS 3. 6% year-over-year, compared to -3. 2% for FB Financial Corporation. Higher growth typically commands a higher valuation multiple — check whether the premium P/E or P/S is justified by the growth rate using the PEG ratio.

Home Bancshares, Inc.

(HOMB) is the more profitable company, earning 27. 7% net margin versus 14. 0% for FB Financial Corporation — meaning it keeps 27. 7% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: HOMB leads at 36. 0% versus 15. 8% for FBK. At the gross margin level — before operating expenses — HOMB leads at 65. 6%, reflecting greater pricing power or product mix advantage. Stronger margins indicate durable pricing power, lower cost of revenue, or higher mix of software/services. They are one of the clearest signs of business quality.

The PEG ratio (forward P/E divided by expected earnings growth rate) is the most precise measure of undervaluation relative to growth potential.

By this metric, FB Financial Corporation (FBK) is the more undervalued stock at a PEG of 1. 50x versus Home Bancshares, Inc. 's 3. 57x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Home Bancshares, Inc. (HOMB) trades at 10. 9x forward P/E versus 11. 2x for FB Financial Corporation — 0. 4x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for FBK: 23. 4% to $65. 00.

In this comparison, HOMB (2.

8% yield) pays a dividend. FBK does not pay a meaningful dividend and should not be held primarily for income.

For long-horizon retirement investors, Home Bancshares, Inc.

(HOMB) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 74), 2. 8% yield). Both have compounded well over 10 years (HOMB: +49. 0%, FBK: +174. 7%), confirming both are viable long-term holds — but the lower-volatility option typically results in less emotional selling during corrections. Retirement portfolios generally favour predictability over maximum returns. Consult a financial advisor before making allocation decisions.

Both stocks operate in the Financial Services sector, making this a peer-level intra-sector comparison — the same macro tailwinds and headwinds will affect both.

In terms of investment character: FBK is a small-cap quality compounder stock; HOMB is a small-cap deep-value stock. HOMB pays a dividend while FBK does not, making them suitable for different income and tax situations. These fundamental differences mean investors should not choose between them on a single metric — the "better stock" depends entirely on which of these characteristics aligns with your investment strategy.