Old National Bancorp (ONB) Could Be 10% Undervalued After Strong Q2 Earnings
Old National Bancorp (ONB) drew fresh investor attention after reporting second quarter 2026 results, with higher net income, stronger net interest income and modest net charge offs, alongside ongoing share repurchases.
See our latest analysis for Old National Bancorp.
At a share price of $26.49, Old National Bancorp has seen stronger momentum build recently, with a 30 day share price return of 3.27% and a 90 day gain of 13.40%. This sits alongside a 1 year total shareholder return of 25.40% and a 5 year total shareholder return of 92.11%, as the latest earnings, steady net charge offs and ongoing buybacks shape how investors view both its growth potential and risk profile.
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Old National Bancorp now trades at a discount to both analyst price targets and an implied intrinsic value. Yet the stock has already run hard this year, so is the market's caution still warranted or starting to look overdone?
Most Popular Narrative: 9.5% Undervalued
Based on the most followed narrative, Old National Bancorp's fair value of $29.27 sits above the recent $26.49 close, and that gap rests on a detailed earnings and capital return story.
The recently closed Bremer Bank partnership, completed ahead of schedule, has significantly expanded ONB's balance sheet and capital position, supporting both current earnings momentum and future loan growth; this positions ONB to benefit from ongoing migration and economic strengthening in its Midwest/South footprint, driving long-term revenue and EPS growth.
Want to see what backs that confidence up? Revenue, margins and earnings are all pushed forward on a tight set of assumptions. Curious how those moving parts combine to support a higher valuation and still use a conservative earnings multiple?
Result: Fair Value of $29.27 (UNDERVALUED)
Have a read of the narrative in full and understand what's behind the forecasts.
However, Old National Bancorp's concentrated Midwest exposure and ongoing commercial real estate risk mean that any regional slowdown or credit stress could quickly challenge this undervalued narrative.
Find out about the key risks to this Old National Bancorp narrative.
Next Steps
With Old National Bancorp's mixed sentiment around valuation and risk, it makes sense to move quickly and check the specifics that matter most to you. To see what investors are optimistic about in the current setup, review the 5 key rewards
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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.
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