Is Old National Bancorp overvalued or undervalued?

As of 22 January 2024, Old National Bancorp's valuation grade has moved from attractive to fair, indicating a shift in its perceived value. The company is currently fairly valued, with a P/E ratio of 14, a price-to-book value of 1.20, and an EV to EBITDA ratio of 15.62. These metrics suggest that while the company is not undervalued, it is also not significantly overvalued compared to its peers.
In comparison to its peers, Valley National Bancorp has a P/E ratio of 12.10, which indicates that Old National Bancorp is trading at a slight premium. Additionally, the company's return on equity (ROE) stands at 8.75%, which is competitive but still below the industry average. Notably, Old National Bancorp has outperformed the S&P 500 over the past year, returning 27.67% compared to the index's 10.26%, which may suggest a positive sentiment in the market despite its current valuation status.