Head to Head Analysis: First Republic Bank (FRC) & Green Bancorp (GNBC)

First Republic Bank (NYSE: FRC) and Green Bancorp (NASDAQ:GNBC) are both finance companies, but which is the better investment? We will contrast the two companies based on the strength of their earnings, dividends, risk, valuation, profitability, analyst recommendations and institutional ownership.

Earnings and Valuation

This table compares First Republic Bank and Green Bancorp’s gross revenue, earnings per share and valuation.

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
First Republic Bank $2.91 billion 5.24 $757.66 million $4.31 22.42
Green Bancorp $190.76 million 4.45 $34.14 million $0.92 24.84

First Republic Bank has higher revenue and earnings than Green Bancorp. First Republic Bank is trading at a lower price-to-earnings ratio than Green Bancorp, indicating that it is currently the more affordable of the two stocks.


First Republic Bank pays an annual dividend of $0.68 per share and has a dividend yield of 0.7%. Green Bancorp does not pay a dividend. First Republic Bank pays out 15.8% of its earnings in the form of a dividend. Green Bancorp has raised its dividend for 5 consecutive years.

Analyst Recommendations

This is a summary of current ratings and target prices for First Republic Bank and Green Bancorp, as reported by MarketBeat.

Sell Ratings Hold Ratings Buy Ratings Strong Buy Ratings Rating Score
First Republic Bank 0 9 4 0 2.31
Green Bancorp 0 2 1 0 2.33

First Republic Bank presently has a consensus target price of $102.85, indicating a potential upside of 6.42%. Green Bancorp has a consensus target price of $25.00, indicating a potential upside of 9.41%. Given Green Bancorp’s stronger consensus rating and higher probable upside, analysts clearly believe Green Bancorp is more favorable than First Republic Bank.

Insider & Institutional Ownership

99.0% of First Republic Bank shares are held by institutional investors. Comparatively, 63.3% of Green Bancorp shares are held by institutional investors. 16.2% of Green Bancorp shares are held by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a stock will outperform the market over the long term.

Risk and Volatility

First Republic Bank has a beta of 0.84, meaning that its stock price is 16% less volatile than the S&P 500. Comparatively, Green Bancorp has a beta of 2.2, meaning that its stock price is 120% more volatile than the S&P 500.


This table compares First Republic Bank and Green Bancorp’s net margins, return on equity and return on assets.

Net Margins Return on Equity Return on Assets
First Republic Bank 26.02% 11.80% 0.92%
Green Bancorp 17.90% 9.92% 1.08%


First Republic Bank beats Green Bancorp on 9 of the 17 factors compared between the two stocks.

About First Republic Bank

First Republic Bank is a commercial bank and trust company. The Bank specializes in providing services, including private banking, private business banking, real estate lending and wealth management services, including trust and custody services, to clients in selected metropolitan areas in the United States. It operates through two segments: Commercial Banking and Wealth Management. The Commercial Banking segment is engaged in attracting funds from the public; originating loans, primarily real estate secured mortgage loans, and investing in investment securities. The Wealth Management segment consists of First Republic Investment Management, Inc.; its money market mutual fund activities through third-party providers and the brokerage activities of First Republic Securities Company, LLC; First Republic Trust Company and First Republic Trust Company of Delaware LLC (the Trust Company), and its foreign exchange activities. It offers a range of internally managed investment services.

About Green Bancorp

Green Bancorp, Inc. is a bank holding company. As of December 31, 2016, the Company’s subsidiary, Green Bank, N.A., a nationally chartered commercial bank, provided commercial and private banking services primarily to Texas based customers through 22 full service branches in the Houston and Dallas metropolitan statistical areas (MSAs) and other markets. The Company provides banking services to a range of customers. It offers a suite of online banking solutions, including access to account balances, online transfers, online bill payment and electronic delivery of customer statements, as well as extended drive through hours, automated teller machines (ATMs), Bank at Work and banking by telephone, mail and personal appointment. The Company also offers debit cards, night depository, direct deposit, cashier’s checks and letters of credit, as well as treasury management services, wire transfer services and automated clearing house (ACH) services.

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