AROW vs TRST

For growth investors, Arrow Financial Corporation (AROW) is the stronger pick with 8.

7% revenue growth year-over-year, versus 5. 8% for TrustCo Bank Corp NY (TRST). Arrow Financial Corporation (AROW) offers the better valuation at 14. 0x trailing P/E (10. 2x forward), making it the more compelling value choice. Analysts rate Arrow Financial Corporation (AROW) a "Hold" — based on 1 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, Arrow Financial Corporation (AROW) is the cheapest at 14.

0x versus TrustCo Bank Corp NY at 14. 9x. On forward P/E, Arrow Financial Corporation is actually cheaper at 10. 2x. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: TrustCo Bank Corp NY wins at 4. 66x versus Arrow Financial Corporation's 5. 30x.

Over the past 5 years, TrustCo Bank Corp NY (TRST) delivered a total return of +46.

5%, compared to +23. 2% for Arrow Financial Corporation (AROW). Over 10 years, the gap is even starker: AROW returned +110. 5% versus TRST's +97. 2%. 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), TrustCo Bank Corp NY (TRST) is the lower-risk stock at 0.

75β versus Arrow Financial Corporation's 0. 77β — meaning AROW is approximately 3% more volatile than TRST relative to the S&P 500. On balance sheet safety, Arrow Financial Corporation (AROW) carries a lower debt/equity ratio of 7% versus 28% for TrustCo Bank Corp NY — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Arrow Financial Corporation (AROW) is pulling ahead at 8.

7% versus 5. 8% for TrustCo Bank Corp NY (TRST). On earnings-per-share growth, the picture is similar: Arrow Financial Corporation grew EPS 49. 7% year-over-year, compared to 26. 5% for TrustCo Bank Corp NY. 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.

TrustCo Bank Corp NY (TRST) is the more profitable company, earning 22.

0% net margin versus 18. 1% for Arrow Financial Corporation — meaning it keeps 22. 0% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: TRST leads at 29. 2% versus 22. 8% for AROW. At the gross margin level — before operating expenses — TRST leads at 67. 1%, 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, TrustCo Bank Corp NY (TRST) is the more undervalued stock at a PEG of 4. 66x versus Arrow Financial Corporation's 5. 30x. Both stocks trade at elevated growth-adjusted valuations, so expected growth needs to materialise. On forward earnings alone, Arrow Financial Corporation (AROW) trades at 10. 2x forward P/E versus 16. 9x for TrustCo Bank Corp NY — 6. 7x cheaper on a one-year earnings basis.

All stocks in this comparison pay dividends.

TrustCo Bank Corp NY (TRST) offers the highest yield at 3. 1%, versus 3. 1% for Arrow Financial Corporation (AROW).

For long-horizon retirement investors, TrustCo Bank Corp NY (TRST) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0.

75), 3. 1% yield). Both have compounded well over 10 years (TRST: +97. 2%, AROW: +110. 5%), 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.

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.