Preferred Bank (FRA:1IU) Moat Score: 5/10 (As of Jul. 17, 2026)

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FRA:1IU Preferred Bank FRA:1IU
69 GF Score
Price €94.50
GF Value €78.25
! 5 Warning Signs
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What is Preferred Bank Moat Score?

Preferred Bank FRA:1IU +2.72% 69 Moat Score is 5 as of Jul. 17, 2026. GuruFocus rates FRA:1IU with a GF Score™ of 69/100 and a GF Value™ of €78.25. The stock has 5 warning signs investors should review. Among 1,610 Banks companies, Preferred Bank ranks better than 94.04% on this metric.

Preferred Bank has the Moat Score of 5, which implies that the company might have Narrow Moat - Solid narrow moat.

Preferred Bank has Narrow Moat: Preferred Bank benefits from customer switching costs and regulatory barriers in the banking sector. However, it faces competition from larger banks and lacks significant brand strength or pricing power.

Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more.

The company's Moat Score is based on these criteria:

1. Market leadership and sustainable market share
2. Network effects and significant customer switching costs
3. Valuable intellectual property and patents
4. Strong brand strength and deep customer loyalty
5. Durable cost advantages (e.g., economies of scale, proprietary technology)
6. Significant regulatory barriers and exclusive licenses
7. Superior distribution network
8. Strong and sustainable pricing power
9. Consistent and impactful innovation and R&D capabilities

Based on the research, GuruFocus believes Preferred Bank might have Narrow Moat - Solid narrow moat.

Preferred Bank  (FRA:1IU) Moat Score Explanation

The Moat Score ranges from 0 to 10, with 10 as the highest. GuruFocus divided Moat Score into following 8 categories:

Moat Score Moat Level
10Wide Moat - Exceptionally dominant and durable wide moat
8 - 9Wide Moat - Clear and robust wide moat
7Wide Moat - Entry-level wide moat, clearly possessing durable advantages
6Narrow Moat - Strong narrow moat, clearly distinguishable but not wide
5Narrow Moat - Solid narrow moat
4Narrow Moat - Discernible but modest moat
1 - 3No Moat - Very weak/transient advantages
0No Moat - No discernible moat

Preferred Bank Moat Score Related Terms

FRA:1IU vs MCB, UVSP, HFWA: Moat Score Comparison

For the Banks - Regional subindustry, Preferred Bank's Moat Score, along with its competitors' market caps and Moat Score data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.

Preferred Bank Moat Score vs Banks Industry

For the Banks industry and Financial Services sector, Preferred Bank's Moat Score distribution charts can be found below:

* The bar in red indicates where Preferred Bank's Moat Score falls into.


FRA:1IU
69GF Score
Preferred Bank FRA:1IU
Moat Score is just one metric. See GF Score™, valuation, warning signs, and more.
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Frequently Asked Questions Learn more about Moat Score →
What does a Moat Score of 5 mean?
Preferred Bank (FRA:1IU) has a Moat Score of 5 as of Jul. 17, 2026. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. According to the industry distribution chart, Preferred Bank ranks #96 out of 1610 companies in the Banks industry, placing it in the top 6%.
Is Preferred Bank's Moat Score too high?
Preferred Bank's current Moat Score is 5. Based on the distribution chart, Preferred Bank ranks #96 out of 1610 companies in the Banks industry, which is in the top quartile — a strong position relative to peers. Overall, Preferred Bank has a GF Score™ of 69/100, reflecting its overall financial health beyond just this single metric.
How does Preferred Bank's Moat Score compare to MCB and UVSP?
According to the Banks industry distribution chart, Preferred Bank ranks #96 out of 1610 companies for Moat Score. This places Preferred Bank in the top 6% of its industry — outperforming the majority of peers. See the competitive comparison table and distribution chart on this page for a detailed peer-by-peer breakdown.
What is a good Moat Score for a Banks company?
A good Moat Score depends on the Banks industry context. However, Moat Score should not be evaluated in isolation — investors should consider it alongside profitability, growth, and financial strength metrics. Use the industry distribution chart on this page to see where any company falls relative to its peers.
What does a high Moat Score mean?
A high Moat Score can signal that a stock is expensive relative to its fundamentals. Moat Score is a ranking system developed by GuruFocus to assess a company's ability to sustain a competitive advantage, rated on a scale from 0 to 10. It takes into account key factors such as market leadership, cost advantages, network effects, customer switching costs, and more. Preferred Bank's current Moat Score is 5. However, context matters — high-growth companies often justify higher valuations. Always evaluate alongside other metrics like GF Score™ and GF Value™.
Is Preferred Bank stock overvalued right now?
Preferred Bank (FRA:1IU) has a current Moat Score of 5. The stock's GF Value™ is €78.25, compared to a current price of €94.50 — trading 20.8% above its estimated fair value. The current Moat Score is 5. Preferred Bank's overall GF Score™ is 69/100 with 5 warning signs to review. Investors should evaluate multiple metrics — including profitability, growth, and financial strength — before making a decision.
How is Moat Score calculated?
Moat Score is calculated from a company's financial statements. For Preferred Bank (FRA:1IU), the current Moat Score is 5 as of Jul. 17, 2026. GuruFocus calculates this using data sourced from SEC filings and annual reports. See the calculation section and 30-year financial data on this page for the full breakdown.

Is Preferred Bank (FRA:1IU) Overvalued in 2026?

Based on GuruFocus' analysis, Preferred Bank stock appears to be overvalued. The current stock price of €94.50 is trading 20.8% above its estimated GF Value™ of €78.25.

Key valuation signals for FRA:1IU:

  • Moat Score: 5
  • GF Value™: €78.25 vs. price of €94.50 (20.8% above fair value)
  • GF Score™: 69/100 with 5 warning signs

No single metric tells the full story. See the FRA:1IU stock analysis page for a complete view including 30-year financials, guru trades, and insider activity.

Preferred Bank Business Description

Other Exchanges PFBC:USA
Address 601 S. Figueroa Street, 48th Floor, Los Angeles, CA, USA, 90017
Preferred Bank is a commercial bank located in California. Its products and services are divided into Personal Banking, Business Banking, and Commercial Banking, which include Checking accounts, Savings accounts, CDs, Loans and Credit, Electronic banking, and Treasury Management. It provides personalized deposit services, real estate finance, commercial loans, and trade finance credit facilities to small and mid-sized businesses and their owners, entrepreneurs, real estate developers and investors, professionals, and high-net-worth individuals.
69GF Score

Get the complete analysis for FRA:1IU

Moat Score is just one metric. See GF Value™, 30-year financials, guru trades, warning signs, and more.

€94.50
Price
€78.25
GF Value