- Strong Q2 Financial Performance: Old National Bancorp reported a record net income of $249.4 million and quarterly earnings of $0.65 per share, surpassing analyst estimates.
- Positive Analyst Outlook: TD Cowen reaffirmed its "Buy" rating for Old National Bancorp, raising its price target to $31, indicating potential for stock growth.
- Operational Efficiency and Credit Quality: The bank maintains a stable net interest margin of 3.54% and a record efficiency ratio of 45.2%, alongside strong credit quality with net charge-offs at 0.26%.
Old National Bancorp (NASDAQ: ONB) is a bank holding company for Old National Bank. It operates primarily within the Midwest banking industry and has a market capitalization of approximately $10.2 billion. The company focuses on commercial and consumer banking services, wealth management, and investment products for its clients.
On July 23, 2026, analyst firm TD Cowen confirmed its "Buy" rating for Old National Bancorp. The firm also raised its price target for the stock to $31, an increase from the previous $30 target. At the time of the rating, Old National Bancorp's stock price was $26.39, suggesting potential for growth based on the analyst's new target.
This positive outlook is supported by Old National Bancorp's strong second-quarter performance. The company achieved a record net income of $249.4 million. As highlighted by Zacks Investment Research, its quarterly earnings of $0.65 per share surpassed consensus estimates of $0.62. This represents a significant increase from the $0.53 per share reported in the same quarter last year.
The company's revenue also shows strong growth, reaching $740.06 million for the quarter and beating analyst expectations. This performance is driven by robust 8.3% annualized loan growth and a record commercial lending pipeline valued at $5.6 billion. This pipeline indicates a strong future demand for the bank's lending services.
Operational health remains excellent, with a stable net interest margin of 3.54%. This margin represents the profit a bank makes from its lending activities. Credit quality is also strong, with net charge-offs, or bad debt, holding flat at 0.26%. These factors contributed to a record efficiency ratio of 45.2%, meaning the bank is operating very cost-effectively.