CFFN vs NWBI

For growth investors, Northwest Bancshares, Inc.

(NWBI) is the stronger pick with 16. 3% revenue growth year-over-year, versus 10. 0% for Capitol Federal Financial, Inc. (CFFN). Capitol Federal Financial, Inc. (CFFN) offers the better valuation at 15. 1x trailing P/E (11. 9x forward), making it the more compelling value choice. Analysts rate Capitol Federal Financial, Inc. (CFFN) a "Hold" — based on 5 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, Capitol Federal Financial, Inc.

(CFFN) is the cheapest at 15. 1x versus Northwest Bancshares, Inc. at 15. 3x. On forward P/E, Northwest Bancshares, Inc. is actually cheaper at 10. 4x — notably different from the trailing picture, reflecting expected earnings growth. The PEG ratio (P/E divided by earnings growth rate) is the most growth-adjusted single valuation metric: Northwest Bancshares, Inc. wins at 1. 26x versus Capitol Federal Financial, Inc. 's 5. 81x — a reasonable growth-adjusted valuation.

Over the past 5 years, Northwest Bancshares, Inc.

(NWBI) delivered a total return of +26. 6%, compared to -18. 3% for Capitol Federal Financial, Inc. (CFFN). Over 10 years, the gap is even starker: NWBI returned +52. 3% versus CFFN's +11. 9%. 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), Northwest Bancshares, Inc.

(NWBI) is the lower-risk stock at 0. 73β versus Capitol Federal Financial, Inc. 's 1. 01β — meaning CFFN is approximately 38% more volatile than NWBI relative to the S&P 500. On balance sheet safety, Northwest Bancshares, Inc. (NWBI) carries a lower debt/equity ratio of 24% versus 186% for Capitol Federal Financial, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Northwest Bancshares, Inc.

(NWBI) is pulling ahead at 16. 3% versus 10. 0% for Capitol Federal Financial, Inc. (CFFN). On earnings-per-share growth, the picture is similar: Capitol Federal Financial, Inc. grew EPS 79. 3% year-over-year, compared to 16. 5% for Northwest Bancshares, Inc.. 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.

Capitol Federal Financial, Inc.

(CFFN) is the more profitable company, earning 16. 3% net margin versus 14. 4% for Northwest Bancshares, Inc. — meaning it keeps 16. 3% of every revenue dollar as bottom-line profit. Operating margin tells a similar story: CFFN leads at 19. 9% versus 18. 8% for NWBI. At the gross margin level — before operating expenses — NWBI leads at 68. 3%, 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, Northwest Bancshares, Inc. (NWBI) is the more undervalued stock at a PEG of 1. 26x versus Capitol Federal Financial, Inc. 's 5. 81x. A PEG below 1. 5 suggests fair-to-attractive pricing relative to expected growth. On forward earnings alone, Northwest Bancshares, Inc. (NWBI) trades at 10. 4x forward P/E versus 11. 9x for Capitol Federal Financial, Inc. — 1. 5x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for NWBI: 4. 2% to $14. 67.

All stocks in this comparison pay dividends.

Northwest Bancshares, Inc. (NWBI) offers the highest yield at 5. 3%, versus 4. 3% for Capitol Federal Financial, Inc. (CFFN).

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

(NWBI) is the stronger choice — it scores higher on the combination of lower volatility, dividend reliability, and long-term compounding (low volatility (β 0. 73), 5. 3% yield). Both have compounded well over 10 years (NWBI: +52. 3%, CFFN: +11. 9%), 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: CFFN is a small-cap deep-value stock; NWBI is a small-cap high-growth stock. 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.