Old National Bancorp (ONB) vs Prosperity Bancshares, Inc. (PB)

Old National Bancorp and Prosperity Bancshares, Inc. are both Banks Regional companies. Old National Bancorp and Prosperity Bancshares, Inc. are of similar size ($9.5B and $8.6B). Old National Bancorp trades at the lower P/E: 10.2× against 13.1×. Prosperity Bancshares, Inc. grew revenue faster over the last twelve months: 19.2% against 17.6%. Prosperity Bancshares, Inc. has the higher net margin (27.0% vs 23.0%) and the higher return on invested capital (7.07% vs 5.62%). Both pay a dividend; Prosperity Bancshares, Inc. yields more (3.33% vs 2.87%). Across the 19 metrics below, Old National Bancorp leads on 11 and Prosperity Bancshares, Inc. on 8.

Valuation

Metric ONB PB Banks Regional median
P/E 10.21 13.12 12.02
P/S 2.32 4.12 2.36
P/B 1.18 1.04 1.23
Price to free cash flow 9.72 14.23 10.60
EV/EBITDA — — —
EV/Sales — — —
Earnings yield 9.79% 7.62% 8.21%
Free cash flow yield 10.29% 7.03% 9.23%

Profitability

Metric ONB PB Banks Regional median
Gross margin 69.04% 74.95% 69.81%
Operating margin 0.00% 0.00% 0.00%
Net margin 22.96% 26.99% 18.82%
Free cash flow margin 23.90% 0.00% 17.97%
Return on equity 11.66% 0.00% 10.28%
Return on assets 1.29% 1.23% 1.13%
Return on invested capital 5.62% 7.07% 8.45%

Growth

Metric ONB PB Banks Regional median
Revenue growth (TTM) 17.57% 19.20% 6.37%
EPS growth (last fiscal year) 6.55% 13.27% 18.85%
Revenue growth, 5-year CAGR 32.86% 6.39% 12.65%
Net income growth, 5-year CAGR 23.60% 0.52% 9.81%

Health

Metric ONB PB Banks Regional median
Debt to equity 0.83 0.01 0.17
Current ratio 0.93 0.77 0.93
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric ONB PB Banks Regional median
Dividend yield 2.87% 3.33% 2.49%
Payout ratio 0.29 0.44 0.29

Size

Metric ONB PB Banks Regional median
Market cap 9.48b 8.62b 934.85m

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