Analyzing American National Bankshares (NASDAQ:AMNB) and Old National Bancorp (NASDAQ:ONBPP)

Old National Bancorp (NASDAQ:ONBPP) and American National Bankshares (NASDAQ:AMNB) are both financial services companies, but which is the better business? We will contrast the two companies based on the strength of their analyst recommendations, institutional ownership, earnings, dividends, risk, valuation and profitability.

Dividends

Old National Bancorp pays an annual dividend of $1.75 per share and has a dividend yield of 6.9%. American National Bankshares pays an annual dividend of $1.20 per share and has a dividend yield of 2.5%. American National Bankshares pays out 49.0% of its earnings in the form of a dividend.

Analyst Recommendations

This is a summary of recent recommendations and price targets for Old National Bancorp and American National Bankshares, as provided by MarketBeat.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Old National Bancorp	0	0	0	0	N/A
American National Bankshares	0	0	0	0	N/A

Valuation and Earnings

This table compares Old National Bancorp and American National Bankshares’ top-line revenue, earnings per share (EPS) and valuation.

	Gross Revenue	Price/Sales Ratio	Net Income	Earnings Per Share	Price/Earnings Ratio
Old National Bancorp	$1.82 billion	N/A	N/A	N/A	N/A
American National Bankshares	$138.57 million	3.66	$26.16 million	$2.45	19.49

American National Bankshares has lower revenue, but higher earnings than Old National Bancorp.

Institutional and Insider Ownership

47.9% of American National Bankshares shares are held by institutional investors. 4.3% of American National Bankshares shares are held by company insiders. Strong institutional ownership is an indication that endowments, hedge funds and large money managers believe a stock will outperform the market over the long term.

Profitability

This table compares Old National Bancorp and American National Bankshares’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Old National Bancorp	N/A	N/A	N/A
American National Bankshares	18.88%	7.88%	0.85%

Summary

American National Bankshares beats Old National Bancorp on 5 of the 8 factors compared between the two stocks.

About Old National Bancorp

Old National Bancorp operates as the bank holding company for Old National Bank that provides various financial services to individual and commercial customers in the United States. It accepts deposit accounts, including noninterest-bearing demand, interest-bearing checking, negotiable order of withdrawal, savings and money market, and time deposits; and offers loans, such as home equity lines of credit, residential real estate loans, consumer loans, commercial loans, commercial real estate loans, agricultural loans, letters of credit, and lease financing. The company also provides debit and automated teller machine cards, telephone access, online banking, and other electronic and mobile banking services; cash management, private banking, brokerage, trust, investment advisory, and other traditional banking services; wealth management, investment, and foreign currency services; and treasury management, merchant, and capital markets services, as well as community development lending and equity investment solutions. The company was founded in 1834 and is headquartered in Evansville, Indiana.

About American National Bankshares

As of April 1, 2024, American National Bankshares Inc. was acquired by Atlantic Union Bankshares Corporation. American National Bankshares Inc. operates as the bank holding company for American National Bank and Trust Company that engages in the provision of financial products and services. The company operates through two segments: Community Banking and Wealth Management. It accepts deposit products, including checking, money market, savings, and consumer and commercial time deposits. The company's loan products comprise commercial and residential real estate loans, commercial loans to small and medium-sized businesses, construction and land development loans, and home equity loans, as well as mortgage and consumer loans; and provides online and telephone banking, automated teller machine, and insurance services. It also offers wealth management services, including estate planning, trust account administration, and retail brokerage services; and investment management services, such as purchasing equity, fixed income, and mutual fund investments for customer accounts. The company was founded in 1909 and is based in Danville, Virginia.