Old National Bancorp (NASDAQ:ONB) Announces Quarterly Earnings Results

Old National Bancorp (NASDAQ:ONB) issued its quarterly earnings results on Wednesday. The bank reported $0.65 EPS for the quarter, topping analysts’ consensus estimates of $0.63 by $0.02, FiscalAI reports. Old National Bancorp had a return on equity of 16.16% and a net margin of 21.60%.The business had revenue of $726.86 million during the quarter, compared to analysts’ expectations of $716.25 million. During the same quarter in the prior year, the business posted $0.53 earnings per share. The business’s quarterly revenue was up 13.2% on a year-over-year basis.

Here are the key takeaways from Old National Bancorp’s conference call:

• Old National reported a record second quarter with record adjusted EPS, net income, and efficiency ratio, while also delivering an adjusted ROE/ROTCE near 20% and an adjusted ROA of 1.39%.
• Organic loan growth remained strong, with end-of-period loans up $1 billion and a record commercial pipeline of $5.6 billion, supporting raised full-year loan growth guidance of 6%–8%.
• Fee income was a standout, with broad-based strength across wealth, investments, mortgage, and capital markets; management raised full-year non-interest income guidance and expects continued momentum in core fee businesses.
• Credit quality stayed solid, as non-accruals declined and charge-offs remained within expectations, while the company said its underwriting and portfolio management discipline continue to support stable credit performance.
• Capital remains strong, with CET1 above 11%, tangible book value per share up 14% year over year, and $163 million returned to shareholders in the quarter through dividends and buybacks; management said it plans to keep using the remaining repurchase authorization opportunistically.

Old National Bancorp Price Performance

Shares of ONB stock traded up $0.17 during mid-day trading on Friday, hitting $26.29. The company had a trading volume of 495,312 shares, compared to its average volume of 3,475,428. The company has a debt-to-equity ratio of 0.89, a current ratio of 0.90 and a quick ratio of 0.93. The stock’s 50 day moving average price is $25.07 and its 200-day moving average price is $24.01. Old National Bancorp has a 52-week low of $19.39 and a 52-week high of $27.32. The company has a market capitalization of $10.16 billion, a P/E ratio of 11.68 and a beta of 0.83.

Old National Bancorp Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Friday, June 5th were issued a $0.145 dividend. This represents a $0.58 annualized dividend and a dividend yield of 2.2%. The ex-dividend date of this dividend was Friday, June 5th. Old National Bancorp’s payout ratio is 29.90%.

Analyst Upgrades and Downgrades

A number of brokerages recently issued reports on ONB. Jefferies Financial Group reissued a “hold” rating and issued a $27.00 target price on shares of Old National Bancorp in a report on Wednesday. Truist Financial lifted their price target on shares of Old National Bancorp from $27.00 to $28.00 and gave the company a “buy” rating in a report on Thursday, April 23rd. Citigroup reiterated a “buy” rating on shares of Old National Bancorp in a research report on Friday. UBS Group assumed coverage on shares of Old National Bancorp in a research note on Tuesday, July 7th. They issued a “buy” rating and a $32.00 price objective for the company. Finally, Keefe, Bruyette & Woods lifted their target price on shares of Old National Bancorp from $27.00 to $28.00 and gave the company an “outperform” rating in a research note on Thursday, April 23rd. Nine analysts have rated the stock with a Buy rating and three have given a Hold rating to the stock. According to data from MarketBeat, Old National Bancorp has an average rating of “Moderate Buy” and a consensus target price of $29.09.

Institutional Trading of Old National Bancorp

A number of large investors have recently added to or reduced their stakes in the company. Kemnay Advisory Services Inc. bought a new stake in shares of Old National Bancorp in the 4th quarter valued at approximately $27,000. Los Angeles Capital Management LLC purchased a new stake in Old National Bancorp during the 4th quarter valued at $36,000. Peterson Wealth Services raised its holdings in Old National Bancorp by 9,711.8% during the 4th quarter. Peterson Wealth Services now owns 1,668 shares of the bank’s stock valued at $37,000 after buying an additional 1,651 shares during the period. EverSource Wealth Advisors LLC boosted its stake in Old National Bancorp by 794.2% during the second quarter. EverSource Wealth Advisors LLC now owns 3,568 shares of the bank’s stock worth $76,000 after buying an additional 3,169 shares during the period. Finally, Parallel Advisors LLC boosted its stake in Old National Bancorp by 41.5% during the fourth quarter. Parallel Advisors LLC now owns 3,566 shares of the bank’s stock worth $80,000 after buying an additional 1,046 shares during the period. Institutional investors own 83.66% of the company’s stock.

Old National Bancorp Company Profile

Old National Bancorp (NASDAQ: ONB) is the bank holding company for Old National Bank, a regional financial services firm headquartered in Evansville, Indiana. Through its network of community banking offices, the company provides a full range of commercial and consumer banking services. Its offerings include checking and savings accounts, personal and business loans, and deposit products designed to meet the needs of individuals, small businesses, and larger corporate customers.

In addition to traditional banking, Old National Bancorp delivers specialty financial services such as treasury management, wealth management, mortgage loan production, and insurance solutions.