- Associated Banc‘s provision for credit losses was $18.0 million, beating the estimated $21.1 million.
- Total deposits at the end of the period amounted to $34.15 billion.
- Earnings per share (EPS) were recorded at 65 cents.
- The net interest margin was 3.04%, slightly above the estimated 3%.
- Net interest income totaled $300.0 million, surpassing the estimate of $294.2 million.
- Non-interest income was close to estimates at $67.0 million, compared to the estimated $67.1 million.
- The Common Equity Tier 1 ratio stood at 10.2%, matching the estimate.
- The effective tax rate was reported at 20.3%, above the estimated 19.7%.
- Projected total deposit growth for 2025 is expected to be between 1% and 3%, with core customer deposit growth projected at 4% to 5%.
- Total non-interest expense is anticipated to grow by 4% to 5% in 2025, excluding certain impacts from 2024.
- Non-interest income is expected to grow between 1% and 2% in 2025, after adjustments.
- The annual effective tax rate for 2025 is expected to remain between 19% and 21%.
- Despite macro-level uncertainty, the bank cites a strong profitability profile and solid capital position as key strengths for continued growth.
- Analyst recommendations are 2 buys, 9 holds, and 0 sells.
A look at Associated Banc Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 4 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 3 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Associated Banc-Corp, a Midwest banking franchise based in Green Bay, Wisconsin, is positioned well for long-term success according to Smartkarma Smart Scores. With solid scores in Value and Dividend at 4 each, the company showcases attractive attributes for investors seeking stability and income. Additionally, Momentum and Growth scores of 4 and 3, respectively, suggest promising future prospects, indicating a positive trajectory in the market. While Resilience comes in at a score of 3, hinting at a moderate level of resilience, the overall outlook for Associated Banc appears optimistic for the long term.
Associated Banc‘s comprehensive range of financial products and services, coupled with its strategic presence in various states including Wisconsin, Illinois, and Minnesota, positions the company as a strong player in the banking sector. The combination of steady value, generous dividends, growth potential, and market momentum highlights a promising future for Associated Banc. Investors eyeing a blend of stability and growth may find this Midwest bank a compelling option for their long-term investment portfolios.
Disclaimer: This article by Smartkarma is general in nature and 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. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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