Old National Bancorp (ONB) Stock Analysis

Old National Bancorp’s primary competitive advantage is its scale and deposit franchise in the Midwest and, following the Bremer acquisition, the Upper Midwest. As of June 2025, ONB manages $71 billion in assets and $54 billion in deposits, ranking among the top 25 U.S. banks by assets. Its deposit base is granular and low-cost, with 74% of deposits held for over five years and over 70% insured—metrics that compare favorably to regional peers such as Wintrust and Regions Financial, which have higher concentrations of large, less-stable accounts.

ONB’s efficiency ratio (50.2% adjusted in Q2 2025) and net interest margin (3.53%) are top quartile among regional banks, reflecting disciplined cost control and prudent loan pricing. The bank’s credit quality is robust, with net charge-offs at 0.21% of average loans, well below the peer average of 0.45%. Its diversified loan book, with no outsized exposure to riskier asset classes, further reduces volatility.

ONB’s culture emphasizes community engagement and long-term client relationships, as evidenced by repeated inclusion in “The Civic 50.” However, the bank faces intense competition from larger regionals and fintechs, which may have greater technology budgets. ONB’s recent investments in digital banking and wealth management are necessary responses, but its edge remains rooted in local market knowledge, stable funding, and operational discipline.