Overview
Community bank's Q4 net income and EPS beat analyst expectations
Net interest margin expanded for ninth consecutive quarter, reaching 4.29%
Credit quality remained strong with low net charge-offs
Outlook
Horizon Bancorp expects durable earnings and top-tier profitability metrics in 2026
Company anticipates disciplined and high-quality commercial loan growth
Result Drivers
BALANCE SHEET REPOSITIONING - Successful execution of balance sheet repositioning contributed to performance improvement
COMMERCIAL LOAN GROWTH - Strong organic commercial loan growth of $75.8 mln, or 9.1% annualized, supported loan portfolio expansion
CREDIT QUALITY - Credit quality remained strong with annualized net charge-offs of 0.08% of average loans
Key Details
Metric | Beat/Miss | Actual | Consensus Estimate |
Q4 EPS | Beat | $0.53 | $0.50 (5 Analysts) |
Q4 Net Income | Beat | $26.92 mln | $24.37 mln (5 Analysts) |
Q4 Net Interest Income | $63.48 mln | ||
Q4 Net Interest Margin | 4.29% |
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy"
Wall Street's median 12-month price target for Horizon Bancorp Inc is $20.00, about 15.8% above its January 20 closing price of $17.27
The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago
Press Release: ID:nGNX2VmgGC
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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)