SYBT vs HOMB

For growth investors, Stock Yards Bancorp, Inc.

(SYBT) is the stronger pick with 12. 7% revenue growth year-over-year, versus 9. 5% for Home Bancshares, Inc. (HOMB). Home Bancshares, Inc. (HOMB) offers the better valuation at 13. 4x trailing P/E (10. 9x forward), making it the more compelling value choice. Analysts rate Stock Yards Bancorp, Inc. (SYBT) a "Hold" — based on 11 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. 4x versus Stock Yards Bancorp, Inc. at 15. 2x. 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: Stock Yards Bancorp, Inc. wins at 1. 13x versus Home Bancshares, Inc. 's 3. 57x — a reasonable growth-adjusted valuation.

Over the past 5 years, Stock Yards Bancorp, Inc.

(SYBT) delivered a total return of +51. 2%, compared to +7. 6% for Home Bancshares, Inc. (HOMB). Over 10 years, the gap is even starker: SYBT returned +213. 0% versus HOMB's +58. 1%. 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. 82β versus Stock Yards Bancorp, Inc. 's 1. 03β — meaning SYBT is approximately 26% more volatile than HOMB relative to the S&P 500. On balance sheet safety, Home Bancshares, Inc. (HOMB) carries a lower debt/equity ratio of 30% versus 45% for Stock Yards Bancorp, Inc. — giving it more financial flexibility in a downturn.

By revenue growth (latest reported year), Stock Yards Bancorp, Inc.

(SYBT) is pulling ahead at 12. 7% versus 9. 5% for Home Bancshares, Inc. (HOMB). On earnings-per-share growth, the picture is similar: Stock Yards Bancorp, Inc. grew EPS 22. 1% year-over-year, compared to 3. 6% for Home 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.

Home Bancshares, Inc.

(HOMB) is the more profitable company, earning 27. 7% net margin versus 24. 8% for Stock Yards Bancorp, Inc. — 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 31. 6% for SYBT. At the gross margin level — before operating expenses — SYBT leads at 69. 2%, 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, Stock Yards Bancorp, Inc. (SYBT) is the more undervalued stock at a PEG of 1. 13x 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 14. 6x for Stock Yards Bancorp, Inc. — 3. 7x cheaper on a one-year earnings basis. Analyst consensus price targets imply the most upside for HOMB: 18. 4% to $32. 00.

All stocks in this comparison pay dividends.

Home Bancshares, Inc. (HOMB) offers the highest yield at 2. 8%, versus 1. 7% for Stock Yards Bancorp, Inc. (SYBT).

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. 82), 2. 8% yield). Both have compounded well over 10 years (HOMB: +58. 1%, SYBT: +213. 0%), 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.