Analyzing Old National Bancorp (ONB) and Its Rivals

Old National Bancorp (NASDAQ:ONB) is one of 919 publicly-traded companies in the “Banks” industry, but how does it weigh in compared to its peers? We will compare Old National Bancorp to similar companies based on the strength of its institutional ownership, valuation, earnings, analyst recommendations, dividends, profitability and risk.

Analyst Ratings

This is a summary of recent ratings for Old National Bancorp and its peers, as reported by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Old National Bancorp	0	2	12	0	2.86
Old National Bancorp Competitors	7494	30254	27863	1490	2.35

Old National Bancorp currently has a consensus price target of $29.57, suggesting a potential upside of 18.43%. As a group, “Banks” companies have a potential upside of 14.39%. Given Old National Bancorp’s stronger consensus rating and higher probable upside, equities analysts plainly believe Old National Bancorp is more favorable than its peers.

Dividends

Old National Bancorp pays an annual dividend of $0.58 per share and has a dividend yield of 2.3%. Old National Bancorp pays out 23.7% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 8.9% and pay out 28.9% of their earnings in the form of a dividend.

Insider and Institutional Ownership

83.7% of Old National Bancorp shares are owned by institutional investors. Comparatively, 48.0% of shares of all “Banks” companies are owned by institutional investors. 0.7% of Old National Bancorp shares are owned by company insiders. Comparatively, 9.7% of shares of all “Banks” companies are owned by company insiders. Strong institutional ownership is an indication that large money managers, endowments and hedge funds believe a stock is poised for long-term growth.

Earnings & Valuation

This table compares Old National Bancorp and its peers gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Old National Bancorp	$2.83 billion	$669.26 million	10.19
Old National Bancorp Competitors	$257.61 billion	$2.42 billion	21.40

Old National Bancorp’s peers have higher revenue and earnings than Old National Bancorp. Old National Bancorp is trading at a lower price-to-earnings ratio than its peers, indicating that it is currently more affordable than other companies in its industry.

Risk & Volatility

Old National Bancorp has a beta of 0.88, meaning that its share price is 12% less volatile than the S&P 500. Comparatively, Old National Bancorp’s peers have a beta of 0.61, meaning that their average share price is 39% less volatile than the S&P 500.

Profitability

This table compares Old National Bancorp and its peers’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Old National Bancorp	23.36%	12.02%	1.35%
Old National Bancorp Competitors	15.63%	9.41%	0.93%

Summary

Old National Bancorp beats its peers on 9 of the 15 factors compared.

Old National Bancorp Company Profile

Old National Bancorp is a regional bank holding company headquartered in Evansville, Indiana. Founded in 1834, it operates primarily through Old National Bank, serving individuals, businesses and organizations across the Midwest. The company offers consumer and commercial banking services, including checking and savings accounts, loans, mortgages, treasury management and digital banking. It also provides wealth management and trust services, as well as solutions for businesses and institutional clients.