Northwest Bancshares vs Farmer Mac

This page compares Northwest Bancshares, Inc. and Federal Agricultural Mortgage Corp to illustrate their business models, financial performance, and market context in a neutral, accessible way. Educational content, not financial advice.

Comparison Snapshot

Key Financial Metrics

NWBI

Metric

AGM

$1.80B

Market Cap

$1.78B

3.94%

Potential Profit

30.00%

Hold

Analyst Rating

Buy

Investment Analysis

Northwest Bancshares

NWBI

Pros

Northwest Bancshares reported strong revenue growth, with total revenue up 54% year-on-year in the second quarter of 2025.
The company completed the acquisition of Penns Woods Bancorp, expanding its footprint and enhancing its lending portfolio.
Northwest Bancshares maintains a high net interest margin, which stood at 3.56% in the second quarter of 2025, supporting profitability.

Considerations

Non-GAAP profit in Q3 2025 was below analyst consensus, indicating possible challenges in earnings quality or cost management.
The company's return on equity remains below industry leaders, suggesting less efficient use of shareholder capital.
Northwest Bancshares trades at a low valuation multiple, which may reflect underlying risks or limited growth prospects relative to peers.

Farmer Mac

AGM

Pros

Farmer Mac benefits from a stable business model focused on agricultural lending, which is supported by long-term demand for food and rural infrastructure.
The company has a strong balance sheet with low credit losses and high asset quality in its loan portfolio.
Farmer Mac pays a consistent dividend, supported by predictable cash flows from its government-sponsored enterprise activities.

Considerations

Farmer Mac's growth is constrained by the size and cyclicality of the agricultural sector, limiting expansion opportunities.
The company is exposed to interest rate risk, which can impact the value of its mortgage-backed securities and net interest income.
Farmer Mac operates in a highly regulated environment, which may restrict strategic flexibility and increase compliance costs.

About The Companies

Northwest Bancshares (NWBI)

Northwest Bancshares, Inc. is a bank holding company for its primary subsidiary, Northwest Bank, a Pennsylvania-chartered savings bank. It operates as a full-service financial institution, providing a comprehensive line of banking services for both individuals and businesses. This includes current and savings accounts, commercial and consumer loans, and wealth management services. With a network of approximately 151 full-service financial centres and additional drive-up locations, its operations are concentrated in Pennsylvania, New York, Ohio, and Indiana. The bank's main lending activities focus on residential mortgages, consumer loans such as car finance, and commercial real estate loans. Its funding is primarily sourced from customer deposits and borrowings. For investors, Northwest Bancshares represents a traditional, regionally focused banking institution with a diverse service offering. However, like any bank, its performance can be influenced by regional economic conditions and interest rate changes.

Farmer Mac (AGM)

Federal Agricultural Mortgage Corporation, often known as 'Farmer Mac', is a unique entity in the US financial landscape. It's a stockholder-owned company but was chartered by the U.S. Congress to establish a secondary market for agricultural and rural loans. Its mission is to increase the availability of long-term credit for American farmers, ranchers, and rural communities. Farmer Mac achieves this by purchasing eligible loans from lenders, which provides them with liquidity to make new loans. Its business is diversified across several segments, including traditional farm and ranch loans, corporate agribusiness finance, renewable energy projects, and rural utilities like power and broadband. For investors, it represents a specialised way to gain exposure to the financial health and development of rural America. As with any investment, its value can rise and fall and returns are not guaranteed.

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Northwest Bancshares vs Farmer Mac

Comparison Snapshot

Investment Analysis

Northwest Bancshares

Pros

Considerations

Farmer Mac

Pros

Considerations

About The Companies

Buy NWBI or AGM in Nemo

Zero Commission

Trusted & Regulated

6% Interest on Cash

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Northwest Bancshares vs Eaton Vance Tax-Advantaged Global Dividend Income Fund

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Comparison Snapshot

About The Companies