Comparison of BOK Financial Corporation (BOKF) and UMB Financial Corporation (NASDAQ:UMBF)

BOK Financial Corporation (NASDAQ:BOKF) and UMB Financial Corporation (NASDAQ:UMBF) have been rivals in the Regional – Southwest Banks for quite some time. Below is a review of each business including various aspects such as risk, analyst recommendations, profitability, dividends, institutional ownership, earnings and valuation.

Valuation & Earnings

Gross Revenue Price/Sales Ratio Net Income Earnings Per Share Price/Earnings Ratio
BOK Financial Corporation 1.59B 4.02 445.65M 6.44 12.27
UMB Financial Corporation 941.39M 3.55 196.26M 4.43 14.15

We can see in table 1 the earnings per share, top-line revenue and valuation of BOK Financial Corporation and UMB Financial Corporation. UMB Financial Corporation is observed to has lower revenue and earnings than BOK Financial Corporation. Company that presently has a lower price-to-earnings ratio means that it is the more affordable of the two businesses. BOK Financial Corporation’s current price-to-earnings ratio is lower than that of UMB Financial Corporation, which means that it is the affordable of the two.

Profitability

Table 2 has BOK Financial Corporation and UMB Financial Corporation’s return on assets, net margins and return on equity.

Net Margins Return on Equity Return on Assets
BOK Financial Corporation 28.03% 11.5% 1.2%
UMB Financial Corporation 20.85% 12.9% 1.3%

Risk and Volatility

BOK Financial Corporation has a 1.08 beta, while its volatility is 8.00%, thus making it more volatile than S&P 500. UMB Financial Corporation’s 0.9 beta is the reason why it is 10.00% less volatile than S&P 500.

Dividends

The annual dividend that BOK Financial Corporation pay is $1.9 per share with a dividend yield of 2.16%. The dividend yield for UMB Financial Corporation is 1.75% while its annual dividend payout is $1.17 per share.

Analyst Ratings

BOK Financial Corporation and UMB Financial Corporation Ratings and Recommendations are available on the next table.

Sell Ratings Hold Ratings Buy Ratings Rating Score
BOK Financial Corporation 0 2 1 2.33
UMB Financial Corporation 0 1 1 2.50

The average price target of BOK Financial Corporation is $93.33, with potential upside of 5.10%. UMB Financial Corporation on the other hand boasts of a $70 average price target and a 4.38% potential upside. The results provided earlier shows that BOK Financial Corporation appears more favorable than UMB Financial Corporation, based on analyst view.

Insider and Institutional Ownership

Institutional investors held 34% of BOK Financial Corporation shares and 89.6% of UMB Financial Corporation shares. BOK Financial Corporation’s share held by insiders are 0.3%. Insiders Comparatively, held 0.8% of UMB Financial Corporation shares.

Performance

In this table we show the Weekly, Monthly, Quarterly, Half Yearly, Yearly and YTD Performance of both pretenders.

Performance (W) Performance (M) Performance (Q) Performance (HY) Performance (Y) Performance (YTD)
BOK Financial Corporation -6.29% -12.22% -24.13% -23.52% -10.62% -14.43%
UMB Financial Corporation -7.34% -4.42% -17.16% -19.71% -15.77% -12.82%

For the past year UMB Financial Corporation has weaker performance than BOK Financial Corporation

Summary

BOK Financial Corporation beats UMB Financial Corporation on 11 of the 16 factors.

BOK Financial Corporation, a financial holding company, operates BOKF, NA that provides various financial products and services in Oklahoma, Texas, New Mexico, Northwest Arkansas, Colorado, Arizona, and Kansas/Missouri. It operates through three segments: Commercial Banking, Consumer Banking, and Wealth Management. The Commercial Banking segment offers lending, treasury and cash management services, and customer risk management products for small businesses, middle market, and larger commercial customers. This segment also operates TransFund electronic funds network. The Consumer Banking segment provides lending and deposit services to small business customers through the retail branch network; and mortgage banking services. The Wealth Management segment offers fiduciary, private banking, and investment advisory services; and brokerage and trading services, as well as underwrites state and municipal securities. The company provides commercial loans, such as loans for working capital, facilities acquisition or expansion, purchases of equipment, and other needs of commercial customers; and service, healthcare, wholesale/retail sector, and energy sector loans. It also offers commercial real estate loans for the construction of buildings or other enhancements to real estate and property held by borrowers for investment purposes; and residential mortgage, personal, and home equity loans. In addition, the company provides automated teller machines (ATM), call center, and Internet and mobile banking services. As of December 31, 2015, it operated 2,021 TransFund ATM locations. BOK Financial Corporation was founded in 1910 and is headquartered in Tulsa, Oklahoma.

UMB Financial Corporation, a bank holding company, provides various banking and other financial services. It operates through three segments: Bank, Institutional Investment Management, and Asset Servicing. The Bank segment offers a range of banking services to commercial, retail, government, and correspondent bank customers through its branches, call center, Internet banking, and ATM network. Its services comprise traditional commercial and consumer banking, treasury management, leasing, foreign exchange, merchant bankcard, wealth management, brokerage, insurance, capital markets, investment banking, corporate trust, and correspondent banking. The Institutional Investment Management segment offers equity and fixed income investment strategies in the intermediary and institutional markets through mutual funds, traditional separate accounts, and sub-advisory relationships. The Asset Servicing segment provides various investment products comprising mutual funds, alternative investments, and managed accounts for the asset management industry. Its services comprise fund administration, fund accounting, investor services, transfer agency, distribution, marketing, custody, alternative investment services, managed account services, and collective and multiple-series trust services. The company operates through a network of branches and offices in the states of Missouri, Kansas, Colorado, Illinois, Oklahoma, Texas, Arizona, Nebraska, Pennsylvania, South Dakota, Indiana, Utah, Minnesota, California, and Wisconsin. The company was founded in 1913 and is headquartered in Kansas City, Missouri.