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FRME vs MA

FRME
First Merchants Corporation
NEUTRAL
Price
$41.47
Market Cap
$2.63B
Sector
Financial Services
AI Confidence
85%
MA
Mastercard Incorporated
NEUTRAL
Price
$499.66
Market Cap
$445.92B
Sector
Financial Services
AI Confidence
80%

Valuation

P/E Ratio
FRME
10.53
MA
30.28
Forward P/E
FRME
9.14
MA
22.05
P/B Ratio
FRME
0.97
MA
57.74
P/S Ratio
FRME
4.1
MA
13.6
EV/EBITDA
FRME
--
MA
22.13

Profitability

Gross Margin
FRME
0.0%
MA
100.0%
Operating Margin
FRME
42.7%
MA
57.73%
Profit Margin
FRME
35.22%
MA
45.65%
ROE
FRME
9.47%
MA
209.91%
ROA
FRME
1.21%
MA
23.72%

Growth

Revenue Growth
FRME
-4.6%
MA
17.6%
Earnings Growth
FRME
-10.9%
MA
24.2%

Financial Health

Debt/Equity
FRME
--
MA
2.56
Current Ratio
FRME
--
MA
1.03
Quick Ratio
FRME
--
MA
0.68

Dividends

Dividend Yield
FRME
3.53%
MA
0.7%
Payout Ratio
FRME
36.86%
MA
18.4%

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)
MA NEUTRAL

MA shows neutral fundamentals based on deterministic rules. Financial strength is strong (F-Score 6/9). Mixed signals with both opportunities and risks present.

Strengths
Strong profitability (45.6% margin)
Strong revenue growth of 17.6%
Strong ROE of 209.9%
Risks
High valuation with P/E of 30.3
Premium vs Graham Number ($56.68)
High debt burden with D/E of 2.56

Compare Another Pair

FRME vs MA: Head-to-Head Comparison

This page compares First Merchants Corporation (FRME) and Mastercard Incorporated (MA) 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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