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Old National Bancorp names new CFO, finalizes executive transitions

Published 05/09/2024, 14:18
ONB
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Old National Bancorp (NASDAQ:ONB), a financial institution based in Evansville, Indiana, announced the appointment of John V. Moran IV as Senior Executive Vice President and Chief Financial Officer, effective August 31, 2024. Moran succeeds Brendon B. Falconer, who mutually agreed to terminate his employment with the company as of the same date.

Moran, 48, who has been serving as Interim CFO since April 1, 2024, previously held the position of Chief Strategy Officer since 2021 and has a background in corporate development and strategy. His experience includes serving as Executive Vice President and CFO of NBT Bancorp (NASDAQ:NBTB) from 2019 to 2021.

With his appointment, Moran entered into an amended and restated employment agreement with Old National Bancorp. His compensation includes an annual base salary of $600,000, an annual incentive compensation plan with a target bonus of 80% of his base salary, an annual long-term equity award of 75% of his base salary, and other employee benefits. Additionally, Moran received a one-time restricted stock award of $400,000, which will vest over three years.

The company also disclosed the terms of the separation agreement with Falconer, who will receive a cash payment of $2,645,552, representing his pro-rated target bonus for 2024, two times the sum of his 2024 annual base salary and target bonus, and the value of certain executive benefits. The separation was not due to any disagreements over the company's financial reporting or operations.

Falconer's restricted stock awards will vest on a pro-rated basis, and his performance share units will be earned based on the company's achievement of performance goals. He will also receive benefits under the company's 401(k) plan and executive deferred compensation plan. Falconer remains bound by post-employment restrictive covenants.

The information is based on a press release statement filed with the Securities and Exchange Commission.

In other recent news, Old National Bancorp has been making significant strides in the financial sector with its second-quarter results for 2024 exceeding expectations. The company reported GAAP earnings of $0.37 per common share and an adjusted EPS of $0.46. This strong performance is largely attributed to the successful integration with CapStar Bank, which has expanded Old National Bancorp's reach into southeastern markets.

Furthermore, Old National Bancorp declared a quarterly cash dividend of $0.14 per common share, along with dividends for its preferred stock.

Analyst firms Piper Sandler, Citi, and RBC Capital have all provided positive feedback on Old National Bancorp's performance. Piper Sandler reaffirmed its Overweight rating, while Citi and RBC Capital raised their respective price targets, citing the bank's strong fundamentals and growth trajectory.

In addition to these financial results, Old National Bancorp plans to continue its focus on expanding its wealth management, treasury management, and capital markets businesses.

InvestingPro Insights

As Old National Bancorp (NASDAQ:ONB) welcomes John V. Moran IV as the new CFO, the company's financial health and market performance remain pivotal for investors. According to InvestingPro data, Old National Bancorp has a market capitalization of $6.16 billion and a Price/Earnings (P/E) ratio of 11.35, which is adjusted to 12.32 over the last twelve months as of Q2 2024. This suggests a valuation that may be appealing to value investors. Additionally, the company's Price/Book ratio as of the same period stands at 1.07, indicating that the stock is potentially trading near its book value.

InvestingPro Tips highlight that despite analysts revising their earnings downwards for the upcoming period and the company's weak gross profit margins, Old National Bancorp has maintained dividend payments for an impressive 42 consecutive years. This consistent dividend history may be of particular interest to income-focused investors. Furthermore, the company has seen a strong return over the last three months, with a 17.88% total price return, and analysts predict profitability for the current year. Moreover, the company has been profitable over the last twelve months, which could instill confidence in investors regarding its capacity to sustain earnings.

For those seeking more insights, there are additional InvestingPro Tips available at https://www.investing.com/pro/ONB, which can provide further guidance on the potential opportunities and risks associated with Old National Bancorp's stock.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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