Preferred Bank (PFBC) Financial Ratios
22 years of historical data (2004–2025) · Financial Services · Banks - Regional
EV/EBITDA
↑
4.13
↑+57% vs avg
5yr avg: 2.63
30Y Low1.3·High10.3
P/FCF
↓
7.23
-3% vs avg
5yr avg: 7.42
30Y Low1.3·High22.2
P/B Ratio
↓
1.61
-1% vs avg
5yr avg: 1.63
30Y Low0.3·High2.9
ROE
↑
17.2%
-10% vs avg
5yr avg: 19.2%
30Y Low-65%·High23%
Debt/EBITDA
↑
2.02
↑+72% vs avg
5yr avg: 1.18
30Y Low0.5·High3.3
Percentile shows where the current value sits in 30-year historical distribution. Sparklines show 5-year trend.
PFBC Valuation Multiples
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
Preferred Bank trades at 9.5x earnings, 6% above its 5-year average of 8.9x, sitting at the 37th percentile of its historical range. Compared to the Financial Services sector median P/E of 13.6x, the stock trades at a discount of 30%. On a free-cash-flow basis, the stock trades at 7.2x P/FCF, roughly in line with the 5-year average of 7.4x.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $1.2B | $1.2B | $1.2B | $1.0B | $1.1B | $1.1B | $751M | $905M | $653M | $852M | $733M |
| Enterprise Value | $783M | $789M | $571M | $319M | $526M | $207M | $130M | $526M | $226M | $510M | $557M |
| P/E Ratio → | 9.51 | 9.07 | 8.95 | 6.94 | 8.58 | 11.20 | 10.85 | 11.65 | 9.34 | 19.86 | 20.48 |
| P/S Ratio | 2.42 | 2.43 | 2.25 | 2.16 | 3.67 | 4.88 | 3.41 | 3.88 | 3.20 | 5.23 | 5.75 |
| P/B Ratio | 1.61 | 1.54 | 1.53 | 1.50 | 1.75 | 1.82 | 1.43 | 1.93 | 1.57 | 2.40 | 2.46 |
| P/FCF | 7.23 | 7.27 | 7.16 | 6.02 | 7.71 | 8.97 | 7.35 | 11.22 | 6.78 | 16.44 | 14.10 |
| P/OCF | 7.17 | 7.21 | 7.12 | 5.94 | 7.69 | 8.92 | 7.24 | 10.43 | 6.59 | 16.02 | 13.93 |
P/E links to full P/E history page with 30-year chart
PFBC EV Ratios
Enterprise-value multiples — capital-structure-neutral measures of total business value
Preferred Bank's enterprise value stands at 4.1x EBITDA, 57% above its 5-year average of 2.6x. The Financial Services sector median is 11.4x, placing the stock at a 64% discount on an enterprise-value basis.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 1.58 | 1.10 | 0.66 | 1.75 | 0.95 | 0.59 | 2.26 | 1.11 | 3.13 | 4.36 |
| EV / EBITDA | 4.13 | 4.16 | 3.07 | 1.50 | 2.91 | 1.53 | 1.31 | 4.67 | 2.27 | 6.27 | 9.18 |
| EV / EBIT | 4.13 | 4.16 | 3.10 | 1.52 | 2.94 | 1.55 | 1.34 | 4.72 | 2.29 | 6.34 | 9.32 |
| EV / FCF | — | 4.73 | 3.49 | 1.84 | 3.67 | 1.74 | 1.27 | 6.52 | 2.35 | 9.85 | 10.71 |
PFBC Profitability
Margins and return-on-capital ratios measuring operating efficiency
Preferred Bank earns an operating margin of 38.0%, significantly above the Financial Services sector average of 20.3%. Operating margins have compressed from 43.7% to 38.0% over the past 3 years, signaling potential cost pressures or competitive headwinds. ROE of 17.2% indicates solid capital efficiency, compared to the sector median of 9.0%. ROIC of 13.5% represents solid returns on invested capital versus a sector median of 5.5%.
Margins
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 | 55.0% | 55.0% | 52.2% | 58.8% | 82.0% | 89.0% | 70.0% | 71.9% | 75.0% | 79.5% | 80.3% |
| Operating Margin | 38.0% | 38.0% | 35.4% | 43.7% | 59.4% | 61.2% | 44.0% | 47.8% | 48.4% | 49.4% | 46.8% |
| Net Profit Margin | 26.8% | 26.8% | 25.1% | 31.1% | 42.7% | 43.5% | 31.5% | 33.6% | 34.8% | 26.6% | 28.5% |
Return on Capital
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 17.2% | 17.2% | 17.9% | 22.6% | 21.2% | 17.1% | 14.0% | 17.7% | 18.4% | 13.3% | 12.9% |
| ROA | 1.8% | 1.8% | 1.9% | 2.3% | 2.1% | 1.7% | 1.4% | 1.8% | 1.8% | 1.2% | 1.2% |
| ROIC | 13.5% | 13.5% | 15.4% | 19.0% | 17.3% | 14.3% | 11.8% | 15.1% | 15.1% | 13.6% | 12.5% |
| ROCE | 4.4% | 4.4% | 19.1% | 23.4% | 21.3% | 17.6% | 14.4% | 18.4% | 18.4% | 16.9% | 15.8% |
PFBC Leverage & Debt
Solvency and debt-coverage ratios — lower is generally safer
Preferred Bank carries a Debt/EBITDA ratio of 2.0x, which is manageable (52% below the sector average of 4.3x). The company holds a net cash position — cash of $807M exceeds total debt of $384M, providing substantial financial flexibility for buybacks, acquisitions, or weathering downturns. Interest coverage of just 0.9x is concerning — the company has limited headroom to absorb earnings volatility before struggling with debt service.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.49 | 0.49 | 0.22 | 0.24 | 0.27 | 0.29 | 0.22 | 0.25 | 0.24 | 0.30 | 0.44 |
| Debt / EBITDA | 2.02 | 2.02 | 0.89 | 0.79 | 0.93 | 1.26 | 1.19 | 1.06 | 1.01 | 1.29 | 2.14 |
| Net Debt / Equity | — | -0.54 | -0.79 | -1.04 | -0.92 | -1.47 | -1.18 | -0.81 | -1.02 | -0.96 | -0.59 |
| Net Debt / EBITDA | -2.23 | -2.23 | -3.22 | -3.40 | -3.20 | -6.34 | -6.29 | -3.36 | -4.28 | -4.19 | -2.91 |
| Debt / FCF | — | -2.54 | -3.67 | -4.18 | -4.03 | -7.22 | -6.08 | -4.70 | -4.43 | -6.59 | -3.40 |
| Interest Coverage | 0.88 | 0.88 | 0.78 | 1.11 | 3.81 | 5.32 | 2.41 | 1.79 | 2.41 | 2.89 | 3.19 |
Net cash position: cash ($807M) exceeds total debt ($384M)
PFBC Liquidity & Efficiency
Short-term solvency ratios and asset-utilisation metrics
Preferred Bank's current ratio of 149.60x is well above the 1.0 safety threshold, indicating strong short-term liquidity with ample room to cover current liabilities. The current ratio has improved from 0.22x to 149.60x over the past 3 years.
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 149.60 | 149.60 | 0.14 | 0.22 | 0.22 | 0.29 | 0.23 | 0.19 | 0.20 | 0.20 | 0.19 |
| Quick Ratio | 149.60 | 149.60 | 0.14 | 0.22 | 0.22 | 0.29 | 0.23 | 0.19 | 0.20 | 0.20 | 0.19 |
| Cash Ratio | 140.19 | 140.19 | 0.13 | 0.16 | 0.13 | 0.20 | 0.17 | 0.13 | 0.14 | 0.14 | 0.11 |
| Asset Turnover | — | 0.07 | 0.08 | 0.07 | 0.05 | 0.04 | 0.04 | 0.05 | 0.05 | 0.04 | 0.04 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
PFBC Shareholder Yields
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Preferred Bank returns 10.7% to shareholders annually — split between a 3.0% dividend yield and 7.7% buyback yield. The payout ratio of 28.6% is conservative, leaving significant room for dividend growth or reinvestment. The earnings yield of 10.5% (inverse of P/E) provides a useful comparison to bond yields when assessing the stock's relative attractiveness to fixed income.
Dividends
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 | 3.0% | — | — | — | — | — | — | — | — | — | — |
| Payout Ratio | 28.6% | 28.6% | 28.7% | 20.8% | 19.5% | 22.5% | 25.8% | 23.3% | 22.0% | 25.4% | 23.2% |
Total Shareholder Return Metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 10.5% | 11.0% | 11.2% | 14.4% | 11.7% | 8.9% | 9.2% | 8.6% | 10.7% | 5.0% | 4.9% |
| FCF Yield | 13.8% | 13.8% | 14.0% | 16.6% | 13.0% | 11.2% | 13.6% | 8.9% | 14.7% | 6.1% | 7.1% |
| Buyback Yield | 7.7% | — | — | — | — | — | — | — | — | — | — |
| Total Shareholder Yield | 10.7% | — | — | — | — | — | — | — | — | — | — |
| Shares Outstanding | — | $13M | $14M | $14M | $15M | $15M | $15M | $15M | $15M | $14M | $14M |
Peer Comparison
Compare PFBC with 10 similar companies in its peer group
| Company | Market Cap | P/E | EV/EBITDA | P/FCF | Gross Margin | Op Margin | ROE | ROIC | Debt/EBITDA |
|---|---|---|---|---|---|---|---|---|---|
 PFBCYou | $1B | 9.5 | 4.1 | 7.2 | 55.0% | 38.0% | 17.2% | 13.5% | 2.0 |
 HAFC | $933M | 12.4 | 8.8 | 4.6 | 57.5% | 24.3% | 10.0% | 7.4% | 2.5 |
 EWBC | $17B | 13.3 | 9.8 | 11.6 | 60.1% | 37.4% | 15.9% | 11.2% | 1.6 |
 HOPE | $2B | 27.9 | 17.7 | 10.8 | 48.6% | 8.3% | 2.6% | 2.3% | 4.7 |
 RBB | $435M | 13.9 | 14.8 | 10.2 | 49.9% | 17.7% | 6.2% | 3.7% | 6.5 |
 BCAL | $635M | 10.2 | 7.4 | 11.1 | 79.4% | 37.8% | 11.6% | 10.6% | 0.8 |
 BANC | $3B | 17.0 | 9.6 | 13.2 | 58.7% | 18.0% | 6.5% | 3.9% | 7.6 |
 SMBC | $805M | 14.0 | 9.0 | 10.7 | 57.7% | 24.2% | 11.3% | 8.5% | 1.7 |
 CVBF | $3B | 13.7 | 13.2 | 13.0 | 79.9% | 43.8% | 9.3% | 6.8% | 3.5 |
 WAFD | $3B | 13.9 | 13.3 | 13.5 | 50.9% | 20.5% | 7.5% | 3.9% | 6.1 |
 CSGP | $13B | 1814.5 | 71.6 | 311.4 | 75.2% | -2.2% | 0.1% | -0.9% | 6.7 |
| Financial Services Median | — | 13.6 | 11.4 | 11.1 | 64.1% | 20.3% | 9.0% | 5.5% | 4.3 |
Peer selection based on competitive and market overlap. Compare multiple stocks →
Download Financial Ratios Data
Includes 30+ ratios · 22 years · Updated daily
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PFBC — Frequently Asked Questions
Quick answers to the most common questions about buying PFBC stock.
What is Preferred Bank's P/E ratio?
Preferred Bank's current P/E ratio is 9.5x. The historical average is 12.4x. This places it at the 37th percentile of its historical range.
What is Preferred Bank's EV/EBITDA?
Preferred Bank's current EV/EBITDA is 4.1x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 4.7x.
What is Preferred Bank's ROE?
Preferred Bank's return on equity (ROE) is 17.2%. The historical average is 9.5%.
Is PFBC stock overvalued?
Based on historical data, Preferred Bank is trading at a P/E of 9.5x. This is at the 37th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
What is Preferred Bank's dividend yield?
Preferred Bank's current dividend yield is 3.01% with a payout ratio of 28.6%.
What are Preferred Bank's profit margins?
Preferred Bank has 55.0% gross margin and 38.0% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
How much debt does Preferred Bank have?
Preferred Bank's Debt/EBITDA ratio is 2.0x, indicating moderate leverage. A ratio between 2-4x is manageable but warrants monitoring.