Old National Bancorp (ONB) vs Western Alliance Bancorporation (WAL)

Old National Bancorp and Western Alliance Bancorporation are both Banks Regional companies. Old National Bancorp is the larger, with a market value of $9.6B against $8.3B — 1.2× the size. Western Alliance Bancorporation trades at the lower P/E: 8.7× against 11.3×. Old National Bancorp grew revenue faster over the last twelve months: 27.7% against 10.7%. Old National Bancorp has the higher net margin (21.2% vs 16.9%) and the lower return on invested capital (4.77% vs 8.11%). Both pay a dividend; Old National Bancorp yields more (3.61% vs 2.50%). Across the 19 metrics below, Old National Bancorp leads on 10 and Western Alliance Bancorporation on 9.

Valuation

Metric ONB WAL Banks Regional median
P/E 11.29 8.70 12.15
P/S 2.37 1.46 2.37
P/B 1.17 1.07 1.21
Price to free cash flow 10.35 n/m 10.80
EV/EBITDA n/m n/m —
EV/Sales 3.87 1.70 2.27
Earnings yield 8.86% 11.49% 8.11%
Free cash flow yield 9.67% (19.73%) 8.98%

Profitability

Metric ONB WAL Banks Regional median
Gross margin 68.82% 68.81% 69.57%
Operating margin 0.00% 0.00% 0.00%
Net margin 21.21% 16.92% 18.66%
Free cash flow margin 22.95% (28.87%) 21.18%
Return on equity 10.71% 12.94% 10.64%
Return on assets 1.20% 1.04% 1.13%
Return on invested capital 4.77% 8.11% 8.33%

Growth

Metric ONB WAL Banks Regional median
Revenue growth (TTM) 27.66% 10.74% 6.61%
EPS growth (last fiscal year) 6.55% 23.13% —
Revenue growth, 5-year CAGR 32.86% 32.15% 12.30%
Net income growth, 5-year CAGR 23.60% 13.55% 9.71%

Health

Metric ONB WAL Banks Regional median
Debt to equity 0.92 0.90 0.22
Current ratio 0.94 0.86 0.94
Net debt to EBITDA 0.00 0.00 0.00

Dividend

Metric ONB WAL Banks Regional median
Dividend yield 3.61% 2.50% 3.75%
Payout ratio 0.25 0.17 0.27

Size

Metric ONB WAL Banks Regional median
Market cap 9.60b 8.32b 921.07m

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