Old National Bancorp director sells $293,828 in stock By Investing.com

Old National Bancorp (NASDAQ:ONB) director Derrick J. Stewart recently sold a total of 14,679 shares of the company’s common stock, for a total transaction value of $293,828. The sales were executed at a weighted average price of $20.0169 per share, with individual transactions ranging from $20.00 to $20.05.

The sale took place on July 30, 2024, and following the transaction, Stewart’s direct holdings in the company dropped to zero shares. The disposal of the shares was conducted for estate planning and securities portfolio diversification purposes, as noted in the remarks section of the filing.

Investors often monitor insider transactions as they can provide insights into the executive’s view of the company’s current valuation and future prospects. It’s important to note that insiders may sell shares for various reasons unrelated to their outlook on the company, such as personal financial planning or diversification.

Old National Bancorp, headquartered in Evansville, Indiana, operates within the national commercial banks sector and is known for its community banking services across the Midwest.

The stock transactions were made public through a Form 4 filing with the Securities and Exchange Commission, which was signed by Andrea L. Stangl, Attorney-in-fact for Derrick J. Stewart, on August 1, 2024.

In other recent news, Old National Bancorp has been performing impressively in the financial sector. The bank’s second quarter results for 2024 exceeded expectations, reporting GAAP earnings of $0.37 per common share and an adjusted EPS of $0.46, largely attributed to the successful integration with CapStar Bank which expanded its reach into southeastern markets. Old National Bancorp also reported total deposit growth and loan growth of 2.4% and 5.9% annualized, respectively.

Citi and RBC Capital have both recently updated their outlook on Old National Bancorp. Citi raised the price target to $24, citing the bank’s consistent growth trajectory and credit-focused approach within its lending operations. RBC Capital increased its price target from $19.00 to $22.00, noting the bank’s solid core trends, strong organic loan growth, and stable credit quality.

These recent developments indicate a promising trajectory for Old National Bancorp. The bank’s focus on expanding wealth management, treasury management, and capital markets businesses, along with its successful integration of the CapStar acquisition, suggest a potential re-rating of its shares in the upcoming quarters. The bank is seen as well-prepared to navigate a variety of economic scenarios, which could lead to favorable outcomes for its stock valuation.

InvestingPro Insights

Following the recent insider transactions at Old National Bancorp (NASDAQ:ONB), investors are keen on understanding the financial health and performance outlook of the company. According to InvestingPro data, Old National Bancorp has a market capitalization of $6.12 billion and a Price/Earnings (P/E) ratio of 11.25, which adjusts to 12.05 on a last twelve months basis as of Q2 2024. These metrics suggest a company with a solid valuation relative to earnings.

Despite the insider sale, Old National Bancorp has shown robust returns, with a 17.08% one-month price total return and a notable 25.71% return over the last six months. This performance is reflected in the company’s stock trading at 93.69% of its 52-week high, with a previous close price of $20.02.

InvestingPro Tips highlight that Old National Bancorp has maintained dividend payments for an impressive 42 consecutive years, showcasing a commitment to shareholder returns. The dividend yield stands at 2.8%, with the last dividend having an ex-date of June 5, 2024. Additionally, the company’s profitability is acknowledged, with analysts predicting it will remain profitable this year, a sentiment supported by the company’s profitability over the past twelve months.

For investors seeking more comprehensive insights, there are over 6 additional InvestingPro Tips available for Old National Bancorp, which can be accessed to help inform investment decisions. These tips and more in-depth analysis can be found at https://www.investing.com/pro/ONB.

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