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FRME vs JPM

FRME
First Merchants Corporation
NEUTRAL
Price
$41.47
Market Cap
$2.63B
Sector
Financial Services
AI Confidence
85%
JPM
JPMorgan Chase & Co.
NEUTRAL
Price
$313.68
Market Cap
$846.01B
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
FRME
10.53
JPM
15.68
Forward P/E
FRME
9.14
JPM
13.42
P/B Ratio
FRME
0.97
JPM
2.47
P/S Ratio
FRME
4.1
JPM
5.03
EV/EBITDA
FRME
--
JPM
--

Profitability

Gross Margin
FRME
0.0%
JPM
0.0%
Operating Margin
FRME
42.7%
JPM
41.06%
Profit Margin
FRME
35.22%
JPM
33.91%
ROE
FRME
9.47%
JPM
16.13%
ROA
FRME
1.21%
JPM
1.35%

Growth

Revenue Growth
FRME
-4.6%
JPM
2.5%
Earnings Growth
FRME
-10.9%
JPM
-3.6%

Financial Health

Debt/Equity
FRME
--
JPM
--
Current Ratio
FRME
--
JPM
--
Quick Ratio
FRME
--
JPM
--

Dividends

Dividend Yield
FRME
3.53%
JPM
1.91%
Payout Ratio
FRME
36.86%
JPM
28.97%

AI Verdict

FRME NEUTRAL

FRME presents as a classic value play with a stable Piotroski F-Score of 4/9, trading at a discount to its Graham Number ($61.18) and slightly below book value (P/B 0.97). While the company maintains a strong track record of earnings beats and a sustainable dividend, it is currently hampered by negative year-over-year revenue (-4.60%) and earnings growth (-10.90%). The valuation attractiveness is offset by bearish insider sentiment and a very weak technical trend, suggesting a period of stagnation or a potential value trap if growth does not pivot.

Strengths
Trading below book value (P/B 0.97)
Low P/E ratio (10.53) relative to sector averages
Strong historical earnings track record with consistent beats
Risks
Negative YoY revenue and earnings growth
Bearish insider activity with multiple sales and zero buys
Very weak technical trend (10/100)
JPM NEUTRAL

JPM exhibits a concerning Piotroski F-Score of 2/9, indicating weak short-term fundamental health, and currently trades at a significant premium to both its Graham Number ($239.11) and Intrinsic Value ($140.07). While the company maintains a strong ROE of 16.13% and dominant market positioning, negative YoY earnings growth (-3.60%) and bearish insider activity from the CEO and CFO signal internal caution. The stock's current price of $313.68 suggests the market is pricing in a growth premium that is not currently supported by the deterministic health or value metrics.

Strengths
Strong profitability with a 33.91% profit margin
Robust Return on Equity (ROE) of 16.13%
Conservative dividend payout ratio of 28.97%
Risks
Very low Piotroski F-Score (2/9) suggesting deteriorating financial health
Significant overvaluation relative to Intrinsic Value ($140.07)
Negative Year-over-Year earnings growth (-3.60%)

Compare Another Pair

FRME vs JPM: Head-to-Head Comparison

This page compares First Merchants Corporation (FRME) and JPMorgan Chase & Co. (JPM) across key fundamental metrics including valuation ratios, profitability margins, growth rates, financial health indicators, and dividend metrics. Each metric highlights the better-performing stock so you can quickly identify relative strengths and weaknesses.

Our AI engine independently analyzes each company's financials, competitive position, and market conditions to produce a verdict (Bullish, Neutral, or Bearish) along with key strengths and risks. Use this comparison alongside your own research to make informed investment decisions.

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