Latest Ratios: P/E Ratio 10.1x · EV/EBITDA 13.7x · ROE 9.4%. (1998–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $476M | $338M | $395M | $338M | $356M | $380M | $254M | $333M | $357M | $376M | $161M |
| Enterprise Value | $677M | $539M | $526M | $523M | $495M | $361M | $200M | $351M | $348M | $383M | $212M |
| P/E Ratio → | 10.14 | 7.25 | 15.50 | 14.85 | 11.05 | 16.33 | 12.78 | 18.16 | 23.91 | 29.57 | 13.89 |
| P/S Ratio | 3.97 | 2.82 | 4.00 | 3.61 | 3.58 | 4.48 | 3.40 | 5.23 | 7.24 | 8.24 | 3.70 |
| P/B Ratio | 1.27 | 0.91 | 1.18 | 1.07 | 1.19 | 1.28 | 1.02 | 1.44 | 2.49 | 2.80 | 1.28 |
| P/FCF | 13.75 | 9.76 | 12.91 | 30.16 | 9.35 | 11.59 | 10.53 | 16.28 | 44.07 | 23.86 | 16.10 |
| P/OCF | 13.08 | 9.29 | 12.17 | 15.28 | 8.75 | 10.93 | 9.29 | 13.90 | 33.29 | 21.31 | 12.98 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 4.50 | 5.32 | 5.59 | 4.98 | 4.26 | 2.67 | 5.52 | 7.05 | 8.39 | 4.87 |
| EV / EBITDA | 13.68 | 10.89 | 13.50 | 15.33 | 11.12 | 10.47 | 6.76 | 13.35 | 16.98 | 19.10 | 11.47 |
| EV / EBIT | 15.93 | 12.68 | 16.15 | 18.46 | 12.22 | 12.25 | 7.92 | 15.42 | 19.07 | 21.40 | 13.02 |
| EV / FCF | — | 15.57 | 17.19 | 46.65 | 12.99 | 11.02 | 8.26 | 17.19 | 42.92 | 24.30 | 21.19 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 62.3% | 62.3% | 55.9% | 60.4% | 83.3% | 88.3% | 79.6% | 79.7% | 87.7% | 89.5% | 88.8% |
| Operating Margin | 22.5% | 22.5% | 18.4% | 18.6% | 35.6% | 32.0% | 29.6% | 29.1% | 32.6% | 35.3% | 34.1% |
| Net Profit Margin | 17.6% | 17.6% | 14.7% | 15.0% | 28.6% | 25.5% | 23.6% | 23.5% | 26.7% | 25.0% | 24.4% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 9.4% | 9.4% | 8.0% | 7.4% | 10.9% | 8.6% | 8.4% | 9.9% | 10.8% | 9.8% | 9.5% |
| ROA | 1.0% | 1.0% | 0.8% | 0.7% | 1.2% | 1.0% | 1.1% | 1.4% | 1.3% | 1.2% | 1.1% |
| ROIC | 4.9% | 4.9% | 3.8% | 3.6% | 6.4% | 6.1% | 6.3% | 7.1% | 7.7% | 7.0% | 5.9% |
| ROCE | 6.5% | 6.5% | 5.0% | 5.1% | 9.3% | 8.9% | 9.7% | 11.4% | 12.9% | 13.0% | 12.3% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.81 | 0.81 | 0.92 | 1.04 | 0.76 | 0.43 | 0.19 | 0.32 | 0.22 | 0.33 | 0.64 |
| Debt / EBITDA | 6.06 | 6.06 | 7.91 | 9.63 | 5.09 | 3.71 | 1.63 | 2.77 | 1.57 | 2.22 | 4.34 |
| Net Debt / Equity | — | 0.54 | 0.39 | 0.58 | 0.47 | -0.06 | -0.22 | 0.08 | -0.07 | 0.05 | 0.41 |
| Net Debt / EBITDA | 4.07 | 4.07 | 3.36 | 5.42 | 3.12 | -0.54 | -1.86 | 0.70 | -0.46 | 0.35 | 2.76 |
| Debt / FCF | — | 5.81 | 4.27 | 16.49 | 3.64 | -0.57 | -2.27 | 0.90 | -1.15 | 0.44 | 5.09 |
| Interest Coverage | 0.61 | 0.61 | 0.42 | 0.49 | 2.82 | 4.02 | 2.43 | 1.54 | 2.78 | 3.49 | 3.86 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.11 | 0.11 | 0.22 | 0.19 | 0.19 | 0.26 | 0.25 | 0.20 | 0.22 | 0.24 | 0.27 |
| Quick Ratio | 0.11 | 0.11 | 0.22 | 0.19 | 0.19 | 0.26 | 0.25 | 0.20 | 0.22 | 0.24 | 0.27 |
| Cash Ratio | 0.04 | 0.04 | 0.07 | 0.05 | 0.03 | 0.07 | 0.06 | 0.04 | 0.04 | 0.04 | 0.03 |
| Asset Turnover | — | 0.06 | 0.05 | 0.05 | 0.04 | 0.03 | 0.04 | 0.05 | 0.05 | 0.05 | 0.05 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.6% | 3.6% | 3.0% | 3.4% | 2.9% | 2.0% | 2.8% | 1.9% | 1.4% | 1.2% | 2.6% |
| Payout Ratio | 36.3% | 36.3% | 46.0% | 49.7% | 31.6% | 32.6% | 35.8% | 34.5% | 33.2% | 34.9% | 35.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 9.9% | 13.8% | 6.5% | 6.7% | 9.1% | 6.1% | 7.8% | 5.5% | 4.2% | 3.4% | 7.2% |
| FCF Yield | 7.3% | 10.2% | 7.7% | 3.3% | 10.7% | 8.6% | 9.5% | 6.1% | 2.3% | 4.2% | 6.2% |
| Buyback Yield | 0.1% | 0.1% | 0.2% | 0.1% | 0.1% | 0.1% | 0.2% | 0.1% | 0.1% | 0.1% | 0.1% |
| Total Shareholder Yield | 2.6% | 3.7% | 3.2% | 3.4% | 3.0% | 2.1% | 3.0% | 2.0% | 1.5% | 1.2% | 2.7% |
| Shares Outstanding | — | $14M | $13M | $14M | $13M | $12M | $11M | $11M | $9M | $9M | $9M |
Includes 30+ ratios · 28 years · Updated daily
Live VCP patterns, Cup & Handle overlays, support/resistance, and AI trade plans.
High-probability breakout stocks crossing their pivot across 5 pattern engines.
DCF models, multiple analysis, and analyst estimates.
10-year return with dividends reinvested.
Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying FMAO stock.
Farmers & Merchants Bancorp, Inc.'s current P/E ratio is 10.1x. The historical average is 14.2x. This places it at the 14th percentile of its historical range.
Farmers & Merchants Bancorp, Inc.'s current EV/EBITDA is 13.7x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 12.1x.
Farmers & Merchants Bancorp, Inc.'s return on equity (ROE) is 9.4%. The historical average is 9.5%.
Based on historical data, Farmers & Merchants Bancorp, Inc. is trading at a P/E of 10.1x. This is at the 14th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Farmers & Merchants Bancorp, Inc.'s current dividend yield is 2.56% with a payout ratio of 36.3%.
Farmers & Merchants Bancorp, Inc. has 62.3% gross margin and 22.5% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Farmers & Merchants Bancorp, Inc.'s Debt/EBITDA ratio is 6.1x, indicating high leverage. A ratio above 4x may signal elevated financial risk.
Key Metrics
Top Statement Risk
Securities portfolio rate sensitivity
Metrics are mathematically derived from official filings.
Premium Valuation on Low Absolute Returns
FMAO trades at a P/B of 1.30, a premium to peers like Heritage Financial (1.09) and C&F Financial (1.17), despite reporting a trailing ROE of 3.1% that is significantly below the peer median of approximately 8.4%, as shown in the provided peer data.
The market appears to be pricing FMAO's conservative balance sheet and growing tangible book value, which has increased from $16.51 to $21.26 over the past ten quarters. However, the current valuation implies expectations for a substantial improvement in return on equity, as the bank's current profitability metrics do not support a premium multiple relative to its regional peers.
ROE Constrained by Low Asset Yield
FMAO's ROE has improved to 3.1% in 2026Q2, but remains structurally low due to a net interest margin of just 0.8%, which is a primary driver of the DuPont decomposition and significantly below levels needed to generate peer-comparable returns, according to the provided ratio data.
The bank's profitability is heavily influenced by its asset mix, where securities comprising ~89% of total assets likely generate lower yields than a typical loan book. While the efficiency ratio has improved to 37.3%, indicating strong cost control, the low NIM acts as a binding constraint on overall ROE, limiting the bank's ability to generate returns on its substantial equity base.
NIM Expansion Amidst Structural Headwinds
The net interest margin has expanded from 0.6% to 0.8% over the past two years, a positive trend, but the absolute level remains exceptionally low and suggests the bank's securities-heavy asset mix is a structural drag on interest income generation, as indicated by the quarterly data.
The efficiency ratio's improvement to 37.3% demonstrates effective operating leverage as revenue scales. However, the NIM's low absolute level indicates that the bank's funding cost advantage is not translating into strong net interest income, likely because the asset side is dominated by lower-yielding investment securities rather than higher-yielding loans.
Fortress Capital with Excess Buffers
FMAO's equity-to-assets ratio of 11% provides a substantial capital buffer well above regulatory minimums, suggesting significant capacity for balance sheet growth or capital return, as reported in the company's balance sheet data.
The bank's conservative capital position is a direct result of its low-leverage strategy, which contributes to its low ROE but also provides exceptional financial stability. This excess capital, combined with strong internal capital generation from retained earnings, means the bank is not constrained by regulatory capital for strategic initiatives.
Asset Quality Metrics Unavailable
Key asset quality metrics such as non-performing loan ratios, provision coverage, and charge-off rates are not provided in the available data, preventing a direct assessment of credit risk within the loan portfolio.
Without specific data on NPLs, allowances, or charge-offs, it is not possible to evaluate whether the bank's reserve levels are adequate for its credit risk profile. Investors should monitor supplementary disclosures for these metrics to assess the potential impact of credit losses on the bank's earnings and capital.
P/B Multiple Ignores Return on Capital
The P/B ratio of 1.30 is the most commonly misapplied metric for FMAO, as it suggests a premium valuation without adequately reflecting the bank's structurally low ROE of 3.1%, which is less than half the peer median, according to the provided peer comparison.
A P/B multiple is only meaningful in the context of the return on equity it generates. FMAO's premium P/B relative to peers like Heritage Financial (1.09) is not supported by its current profitability. A more appropriate metric would be the P/E ratio, which at 10.34 is below the peer median of ~15, or an analysis of the implied ROTCE embedded in the valuation to assess whether the market is pricing a future improvement in returns.