Old National Bancorp's Q4 profit rises on loan growth, lower funding costs

Overview

• Midwest bank's Q4 net income was $212.6 mln, adjusted EPS was $0.62

• Net interest income rose to $588.8 mln due to asset growth and lower funding costs

• Company repurchased 1.1 mln shares of common stock during the quarter

Result Drivers

• NET INTEREST INCOME - Growth in interest-earning assets and lower funding costs drove net interest income increase

• LOAN GROWTH - Strong commercial loan production contributed to loan growth

• NONINTEREST INCOME - Record capital markets and higher mortgage banking revenue, offset by lower other income

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 7 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy"

• Wall Street's median 12-month price target for Old National Bancorp is $26.00, about 13.5% above its January 20 closing price of $22.90

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nGNX1tmwlH

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