Old National Bancorp (ONBPO) Stock Analysis

Why this analysis is different

• A sector-relative MoonshotScore — five pillars (business quality, financial safety, valuation, growth durability, momentum) re-ranked nightly against the full universe of US-listed common stocks.
• An AI Council read across up to eight perspectives — value, macro, quantitative, and momentum lenses — that shows where they disagree instead of averaging the tension away.
• Figures come straight from FMP and Yahoo Finance filings data. The AI writes the narrative around the numbers — it never edits the numbers.

Old National Bancorp (ONBPO) Financial Services Profile

Old National Bancorp, a regional bank holding company with a $10.2B market cap, provides diverse financial services across the Midwest. Operating since 1834, ONBPO balances traditional banking with modern digital solutions, positioning itself in a competitive landscape dominated by larger national and regional players.

What Is the Investment Thesis for ONBPO?

Old National Bancorp presents a stable investment opportunity within the regional banking sector. With a market capitalization of $10.2B and a P/E ratio of 12.63, the company demonstrates consistent profitability, supported by a profit margin of 18.0% and a gross margin of 63.6%. The dividend yield of 2.59% offers a steady income stream for investors. Growth catalysts include expanding digital banking services and strategic acquisitions to increase market share within its existing geographic footprint. However, potential risks include interest rate sensitivity and competition from larger national banks and fintech companies. Monitoring loan portfolio quality and managing operational efficiency are crucial for maintaining profitability and shareholder value.

Based on FMP financials and quantitative analysis

ONBPO Key Highlights

Market Cap of $10.2B indicates a significant presence in the regional banking sector.

• P/E Ratio of 12.63 suggests a reasonable valuation compared to earnings.
• Profit Margin of 18.0% reflects strong operational efficiency and profitability.
• Gross Margin of 63.6% demonstrates effective cost management in service delivery.
• Dividend Yield of 2.59% provides a consistent income stream for investors.

Who Are ONBPO's Competitors?

ONBPO is benchmarked below against 8 industry peers on price, market cap, and our AI MoonshotScore.

AI Score by Stock Expert AI · Price data: FMP / Yahoo Finance

What Are ONBPO's Key Strengths?

Established regional presence in the Midwest.

• Diversified range of financial services.
• Strong capital base and risk management practices.
• Long-standing customer relationships.

What Are ONBPO's Weaknesses?

Limited geographic diversification compared to national banks.

• Exposure to regional economic fluctuations.
• Reliance on traditional banking services.
• Potential for increased competition from fintech companies.

What Could Drive ONBPO Stock Higher?

ONBPO catalyst: Launch of enhanced mobile banking platform in Q2 2026, expected to drive customer acquisition and engagement.

• Strategic acquisitions of smaller community banks to expand market share.
• Expansion of wealth management services targeting high-net-worth individuals.
• Increased commercial lending to SMEs to support local economic development.

What Are the Key Risks for ONBPO?

Financial-distress signal — its Altman Z-Score of 0.20 sits in the distress zone (elevated bankruptcy risk).

• Insider selling — insiders were net sellers of roughly $1.2M recently.
• Interest rate hikes by the Federal Reserve could negatively impact net interest margin.
• Economic downturn in the Midwest region could lead to increased loan defaults.
• Increased competition from larger national banks and fintech companies.
• Cybersecurity threats and data breaches could damage reputation and customer trust.

What Are the Growth Opportunities for ONBPO?

• Expansion of Digital Banking Services: Investing in and expanding digital banking platforms and mobile applications can attract and retain customers seeking convenient and accessible banking solutions. This includes enhancing online account management, mobile check deposit, and peer-to-peer payment capabilities. The market for digital banking is projected to reach $9 trillion by 2028, offering significant growth potential for ONBPO.
• Strategic Acquisitions: Pursuing strategic acquisitions of smaller community banks or complementary financial service providers within its existing geographic footprint can expand Old National's market share and customer base. This approach allows for synergistic cost savings and revenue enhancements. The regional bank M&A market is expected to remain active, with deal values potentially reaching $50 billion in the next three years.
• Wealth Management Services: Growing its wealth management division by offering personalized financial planning, investment advisory, and trust services can generate fee income and diversify revenue streams. Targeting high-net-worth individuals and families in its Midwestern markets presents a significant growth opportunity. The wealth management market is projected to grow at a rate of 7% annually, reaching $150 trillion by 2027.
• Commercial Lending to SMEs: Focusing on providing commercial loans and financial services to small and medium-sized enterprises (SMEs) can drive loan growth and support local economic development. Offering specialized lending products, such as SBA loans and equipment financing, can attract SME clients. The SME lending market is estimated at $800 billion annually, offering substantial opportunities for ONBPO.
• Community Development Initiatives: Expanding community development lending and equity investment solutions can enhance Old National's reputation and attract socially responsible investors. This includes supporting affordable housing projects, small business development, and revitalization efforts in underserved communities.

What Threats Does ONBPO Face?

• Interest rate volatility.
• Increased regulatory scrutiny.
• Cybersecurity risks.
• Economic downturns affecting loan quality.

What Are ONBPO's Competitive Advantages?

• Established regional presence and brand recognition in the Midwest.
• Long-standing customer relationships and community ties.
• Diversified range of financial services catering to various customer segments.
• Strong capital base and risk management practices.

What Does ONBPO Do?

Founded in 1834 and headquartered in Evansville, Indiana, Old National Bancorp has evolved from a local bank into a regional financial services provider. The company operates as the holding company for Old National Bank, offering a comprehensive suite of banking and wealth management services to individuals and commercial clients. Its services include deposit accounts such as checking, savings, and money market accounts, as well as a variety of lending options including home equity lines of credit, residential real estate loans, consumer loans, and commercial loans. Old National also provides commercial real estate loans, letters of credit, and lease financing. Beyond traditional banking, Old National offers debit and ATM cards, telephone access, online and mobile banking, and cash management services. It also provides specialized services like private banking, brokerage, trust, and investment advisory services. The company's wealth management division offers investment and foreign currency services. For businesses, Old National provides treasury management, merchant services, health savings accounts, and capital markets services. As of December 31, 2021, Old National operated 162 banking centers primarily in Indiana, Kentucky, Michigan, Minnesota, and Wisconsin, demonstrating a strong regional presence in the Midwest.

What Products and Services Does ONBPO Offer?

• Accepts various deposit accounts, including checking, savings, and money market accounts.
• Offers home equity lines of credit and residential real estate loans.
• Provides consumer and commercial loans.
• Offers commercial real estate loans, letters of credit, and lease financing.
• Provides debit and ATM cards, telephone access, and online banking services.
• Offers cash management, private banking, brokerage, and trust services.
• Provides wealth management, investment, and foreign currency services.
• Offers treasury management, merchant, health savings, and capital markets services.

How Does ONBPO Make Money?

• Generates revenue through interest income from loans.
• Earns fees from services such as wealth management, brokerage, and treasury management.
• Profits from the spread between deposit interest paid and loan interest earned.
• Gains from providing capital market services.

What Industry Does ONBPO Operate In?

Old National Bancorp operates within the competitive regional banking industry. The industry is characterized by increasing consolidation, technological disruption, and evolving customer expectations. Regional banks face competition from larger national banks, credit unions, and fintech companies offering alternative financial services. Market trends include a growing demand for digital banking solutions, personalized financial advice, and specialized services for small and medium-sized businesses. Old National's focus on community development lending and equity investment solutions positions it to capitalize on local economic growth opportunities within its Midwestern footprint.

Who Are ONBPO's Key Customers?

• Individual consumers seeking personal banking services.
• Small and medium-sized businesses requiring commercial loans and banking solutions.
• High-net-worth individuals seeking wealth management and investment advisory services.
• Corporations needing treasury management and capital markets services.

Over the past six months, Old National Bancorp insiders filed 15 SEC Form 4 transactions — 5 sales and 10 purchases. On net that is roughly 21K shares disposed (about $1.2M), a signal worth weighing alongside the fundamentals.

Wall Street analysts project Old National Bancorp revenue of about $2.91B for fiscal 2026, with EPS near $2.61. The estimate reflects 9 contributing analysts.

Old National Bancorp's Piotroski F-Score is 5/9, a 9-point checklist of profitability, leverage and efficiency — a middling fundamental profile. Its Altman Z-Score of 0.20 places it in the distress zone, a signal of elevated financial risk.

Return on equity for Old National Bancorp stands at 9.1%, a gauge of how efficiently it converts shareholder capital into profit. Return on assets is 1.0%, showing how much profit it generates from its asset base. ONBPO trades at a trailing price-to-earnings ratio of 13.34, below the Financial Services sector average of ~18x. Its free cash flow yield is 7.4%, a gauge of the cash the business throws off relative to its market value. A current ratio of 0.04 means current liabilities exceed short-term assets, a liquidity point worth watching. Its earnings yield is 7.5%, the inverse of the P/E and a quick read on earnings relative to price.

Old National Bancorp (ONBPO) Valuation Context

Valued at $10.2B, ONBPO is classified as a large-cap stock. Relative to its peer group, ONBPO's quantitative score of 72/100 is roughly in line with the peer average of 75/100.

Company Profile

Old National Bancorp operates in the Banks - Regional industry within the Financial Services sector. It is headquartered in Evansville, US. The company is led by CEO James C. Ryan. ONBPO has traded publicly since 2020.

ONBPO Financials

ONBPO Latest News

No recent news available for ONBPO.

ONBPO Analyst Consensus

ONBPO MoonshotScore

ONBPO Financial Services Stock FAQ

Disclaimer: This content is for informational purposes only and does not constitute investment advice. Always do your own research and consult a financial advisor.

Official Resources