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LOB vs SRCE

LOB
Live Oak Bancshares, Inc.
NEUTRAL
Price
$37.82
Market Cap
$1.75B
Sector
Financial Services
AI Confidence
85%
SRCE
1st Source Corporation
BULLISH
Price
$73.90
Market Cap
$1.78B
Sector
Financial Services
AI Confidence
85%

Valuation

P/E Ratio
LOB
14.44
SRCE
11.33
Forward P/E
LOB
9.11
SRCE
10.8
P/B Ratio
LOB
1.51
SRCE
1.41
P/S Ratio
LOB
3.41
SRCE
4.22
EV/EBITDA
LOB
--
SRCE
--

Profitability

Gross Margin
LOB
0.0%
SRCE
0.0%
Operating Margin
LOB
35.48%
SRCE
49.97%
Profit Margin
LOB
24.64%
SRCE
37.58%
ROE
LOB
10.89%
SRCE
12.66%
ROA
LOB
0.87%
SRCE
1.76%

Growth

Revenue Growth
LOB
29.1%
SRCE
16.8%
Earnings Growth
LOB
185.7%
SRCE
31.5%

Financial Health

Debt/Equity
LOB
--
SRCE
--
Current Ratio
LOB
--
SRCE
--
Quick Ratio
LOB
--
SRCE
--

Dividends

Dividend Yield
LOB
0.32%
SRCE
2.18%
Payout Ratio
LOB
4.58%
SRCE
23.71%

AI Verdict

LOB NEUTRAL

LOB presents a stark contradiction between valuation and fundamental health. While the stock is priced attractively near its Graham Number ($38.44) and shows explosive YoY earnings growth (185.7%), the Piotroski F-Score of 2/9 indicates severe weakness in financial health. This fundamental fragility is compounded by bearish insider activity, specifically significant sales by the CEO and CFO. Despite analyst 'buy' recommendations and a high growth-based intrinsic value, the poor health score and insider sentiment suggest significant underlying risk.

Strengths
Strong valuation with a low Forward P/E of 9.11
Explosive YoY earnings growth of 185.70%
Robust revenue growth of 29.10% YoY
Risks
Critical financial health weakness indicated by a Piotroski F-Score of 2/9
Bearish insider sentiment with heavy selling by the CEO and CFO
Poor earnings consistency, beating estimates in only 1 of the last 4 quarters
SRCE BULLISH

SRCE exhibits strong fundamental value, trading significantly below both its Graham Number ($87.61) and estimated Intrinsic Value ($192.34). While the Piotroski F-Score of 4/9 indicates stable but not exceptional financial health, the company's earnings trajectory is exceptional, with 4/4 recent beats and 31.5% YoY earnings growth. Despite bearish technical trends and minor insider selling, the low P/E ratio (11.33) relative to the sector and a sustainable dividend payout ratio make it a compelling value play.

Strengths
Consistent earnings outperformance with 4/4 beats in the last year
Strong growth profile with 31.5% YoY earnings growth
Significant undervaluation relative to Graham Number and Intrinsic Value
Risks
Severely bearish technical trend (10/100) suggesting short-term momentum headwinds
Bearish insider sentiment with recent officer sales
Piotroski F-Score of 4/9 suggests room for improvement in operational efficiency

Compare Another Pair

LOB vs SRCE: Head-to-Head Comparison

This page compares Live Oak Bancshares, Inc. (LOB) and 1st Source Corporation (SRCE) 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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