Company Overview
Old National Bancorp functions as the bank holding company for Old National Bank, which delivers a comprehensive suite of consumer and commercial banking services throughout the United States. The institution accepts a variety of deposit accounts, including noninterest-bearing demand accounts, interest-bearing checking, negotiable order of withdrawal, savings, and money market instruments to fund its lending and operational activities. Operating within the Financial Services sector and specifically the Banks - Regional industry, the company serves a localized footprint while adhering to the regulatory standards applicable to regional banking entities. The organization employs a workforce of 4,971 individuals, reflecting a substantial operational scale relative to many of its regional peers. Although specific market capitalization data is currently unavailable in the provided dataset, the reported annual revenue of $2.30 billion and the significant employee count indicate a robust market presence that supports extensive branch networks and digital banking capabilities. These financial figures suggest a company with significant earning power and a diversified customer base that allows it to maintain operations across various economic cycles within its regional markets.
Financial Health
The company reported a trailing twelve-month revenue of $2.30 billion and generated net income of $653.12 million, while EBITDA figures are not disclosed in the available data. The substantial difference between the gross revenue of $2.30 billion and the net income of $653.12 million reveals a cost structure heavily weighted by operating expenses typical of the banking industry, where non-interest expenses such as salaries, technology, and regulatory compliance consume a large portion of top-line income before reaching the bottom line. Unlike many industrial firms, Old National Bancorp reports a gross margin of 0.0%, a standard characteristic for financial institutions where the cost of funds is netted against interest income rather than reported as a separate gross margin line item. The firm holds $1.98 billion in cash assets against total debt obligations of $7.94 billion, indicating a leveraged balance sheet common for banks that utilize borrowed funds to expand lending portfolios and increase returns on equity. The debt-to-equity ratio is not provided in the current facts, preventing a direct numerical comparison, yet the cash position represents a significant liquidity buffer relative to immediate short-term obligations. Short-term liquidity is further contextualized by the current ratio, which is listed as N/A, suggesting that liquidity is primarily managed through asset-liability matching rather than traditional current asset ratios used in manufacturing sectors. Management effectiveness is evidenced by a Return on Equity of 9.0% and a Return on Assets of 1.1%, metrics that demonstrate the bank's ability to generate profit from its shareholders' investments and its overall asset base, respectively.
Valuation Assessment
The trailing twelve-month P/E ratio stands at 27.89, while the forward P/E is not available, implying that the market is pricing in current earnings expectations without a disclosed trajectory for future earnings per share based on the provided data. The price-to-book ratio is recorded at 1.17, indicating that the market values the company at a slight premium over its book value, which suggests investors are willing to pay more than the tangible net assets recorded on the balance sheet. Alternative valuation metrics such as the price-to-sales ratio and EV/EBITDA are both listed as N/A, limiting the ability to perform a direct multiple comparison against non-financial peers but highlighting the reliance on P/E and price-to-book for valuation analysis in this sector. Regarding trading range, the 52-week high is $25.49 and the 52-week low is $24.44; without a specific current price in the facts, the valuation is anchored by this tight trading band of approximately $1.05. The stock exhibits a beta of 0.83, which signifies that the share price is generally less volatile than the broader market, moving with lower intensity during periods of overall market fluctuation. This lower beta profile is characteristic of regional banks that often possess stable, deposit-funded business models that can dampen price swings compared to larger, more diversified financial conglomerates.
Growth & Income
Revenue growth year-over-year is reported at 41.4%, while earnings growth year-over-year is 17.2%, indicating that earnings are growing at a slower pace than revenue, which may imply increasing operational costs or a lower net interest margin expansion relative to the top line. The company offers a dividend yield of 7.0%, providing an attractive income component to the total return profile for shareholders seeking passive income from financial stocks. While the payout ratio is listed as N/A, the high dividend yield suggests a commitment to returning capital to shareholders, though sustainability must be evaluated against the 17.2% earnings growth rate to ensure the payout does not exceed the company's capacity to generate distributable earnings. The overall growth and income profile presents a mix of significant top-line expansion and substantial dividend income, supported by a conservative beta that offers stability relative to the broader market indices.