Associated Banc-Corp (ASB) AI Stock Analysis

• Market Cap: $4.33B
• Dividend Yield: 3.56%
• Average Volume (3M): 1.57M
• Price to Earnings (P/E): 28.2
• Beta (1Y): 1.15
• Revenue Growth: -1.44%
• EPS Growth: -21.65%
• Country: US
• Employees: 4,006
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.74
• Shares Outstanding: 165,922,440
• 10 Day Avg. Volume: 1,641,742
• 30 Day Avg. Volume: 1,574,183
• PEG Ratio: -0.82
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 1.73
• P/FCF Ratio: 6.78
• Enterprise Value/Market Cap: 1.89
• Enterprise Value/Revenue: 3.82
• Enterprise Value/Gross Profit: 7.53
• Enterprise Value/Ebitda: 24.07
• 1Y Price Target: $29.83
• Price Target Upside: 14.20% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 7
• EPS Forecast (FY): 2.69
• Revenue Forecast (FY): $1.49B

• Rating: 76 Outperform
• Price Target: $30.00 ▲(14.85% Upside)

Associated Banc-Corp's overall stock score reflects strong financial performance and strategic growth initiatives. The positive earnings call and corporate events, including a significant merger, bolster the outlook. However, the high P/E ratio suggests some valuation concerns, which are mitigated by a solid dividend yield.

Positive Factors

Strategic Merger

The merger with American National is expected to enhance Associated Banc-Corp's market position, expanding its presence in strategic Midwest markets and potentially increasing its market share.

Leadership Promotions

Leadership promotions and strategic initiatives are likely to enhance profitability and market presence, supporting long-term growth and operational efficiency.

Record Net Interest Income

Record net interest income indicates strong core business performance, reflecting effective interest rate management and loan growth, which supports future revenue stability.

Negative Factors

CRE Lending Uncertainty

Uncertainty in CRE lending could impact future revenue streams and increase risk exposure, affecting long-term financial stability.

Flat Delinquencies

Flat delinquency rates indicate potential issues in credit quality, which could lead to increased provisions and impact profitability.

Decreased Gross Profit Margin

A decrease in gross profit margin suggests rising costs or pricing pressures, which could affect long-term profitability if not addressed.

Associated Banc-Corp Business Overview & Revenue Model

Company Description

Associated Banc-Corp (ASB) is a diversified financial services holding company headquartered in Green Bay, Wisconsin. It operates primarily through its banking subsidiary, Associated Bank, which offers a wide range of financial products and services to individual and commercial customers. The company's offerings include personal banking, business banking, wealth management, and investment services, catering to various sectors such as retail, real estate, and healthcare. With a strong presence in the Midwest, ASB emphasizes providing tailored financial solutions to enhance customer experiences and foster long-term relationships.

How the Company Makes Money

Associated Banc-Corp generates revenue through several key streams. The primary source is net interest income, which is earned from the interest on loans and investments minus the interest paid on deposits and borrowings. The bank provides a variety of loan products, including commercial loans, residential mortgages, and consumer loans, which contribute significantly to its interest income. Additionally, Associated Banc-Corp earns non-interest income from fees associated with services such as wealth management, investment advisory, and transaction services. This includes service charges on deposit accounts, asset management fees, and commissions from investment products. The company also benefits from partnerships with other financial institutions and service providers, which enhance its product offerings and customer reach. Overall, the balance between interest and non-interest income allows the company to maintain a diversified revenue model.

Associated Banc-Corp Financial Statement Overview

Summary

Associated Banc-Corp demonstrates resilience with stable profitability and effective cash management despite negative revenue growth. Healthy margins and a solid balance sheet support the score, though improvements in revenue growth and return on equity are needed.

Income Statement

The income statement shows a decline in revenue growth rate at -11.65% TTM, indicating a challenging period. However, the company maintains a decent gross profit margin of 55.28% and a net profit margin of 7.51% TTM, suggesting operational efficiency. The EBIT and EBITDA margins are moderate at 10.30% and 15.79% TTM, respectively, reflecting stable profitability despite revenue pressures.

Balance Sheet

The balance sheet is relatively strong with a debt-to-equity ratio of 0.95 TTM, indicating manageable leverage. The return on equity is modest at 3.01% TTM, suggesting room for improvement in generating returns for shareholders. The equity ratio is stable, reflecting a solid capital structure.

Cash Flow

The cash flow statement shows a positive free cash flow growth rate of 6.03% TTM, indicating improved cash generation. The operating cash flow to net income ratio is low at 0.014 TTM, suggesting potential inefficiencies in converting income to cash. However, the free cash flow to net income ratio is strong at 92.21% TTM, highlighting effective cash management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	2.15B	2.10B	2.02B	1.42B	1.12B	1.41B
Gross Profit	1.09B	944.38M	1.01B	1.20B	1.14B	1.08B
EBITDA	340.84M	236.97M	300.36M	528.51M	506.75M	435.42M
Net Income	176.03M	123.14M	182.96M	366.12M	350.99M	306.77M
Balance Sheet
Total Assets	44.46B	43.02B	41.02B	39.41B	35.10B	33.42B
Cash, Cash Equivalents and Short-Term Investments	1.29B	5.57B	4.52B	3.34B	5.36B	3.80B
Total Debt	4.21B	3.16B	2.81B	5.17B	2.22B	2.43B
Total Liabilities	39.59B	38.42B	36.84B	35.39B	31.08B	29.33B
Stockholders Equity	4.87B	4.61B	4.17B	4.02B	4.02B	4.09B
Cash Flow
Free Cash Flow	573.41M	535.26M	380.93M	783.86M	477.27M	495.14M
Operating Cash Flow	604.74M	580.25M	442.74M	846.57M	529.55M	550.02M
Investing Cash Flow	-2.30B	-2.22B	-1.44B	-5.25B	-1.58B	-793.74M
Financing Cash Flow	2.02B	1.73B	1.30B	4.00B	1.36B	371.02M

Associated Banc-Corp Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 26.12
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For ASB, the sentiment is Positive. The current price of 26.12 is above the 20-day moving average (MA) of 25.35, above the 50-day MA of 25.26, and above the 200-day MA of 23.84, indicating a bullish trend. The MACD of 0.25 indicates Negative momentum. The RSI at 59.14 is Neutral, neither overbought nor oversold. The STOCH value of 63.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for ASB.

Associated Banc-Corp Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
TCBI	79 Outperform	$4.26B	15.30	8.60%	―	5.19%	3454.95%
ABCB	77 Outperform	$5.23B	13.24	10.34%	1.05%	2.20%	20.88%
ASB	76 Outperform	$4.33B	28.15	3.78%	3.56%	-1.44%	-21.65%
SFBS	72 Outperform	$3.95B	15.46	15.24%	1.85%	3.97%	24.91%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
IBOC	67 Neutral	$4.13B	9.85	14.31%	2.02%	0.99%	4.94%
BANF	64 Neutral	$3.65B	15.55	14.11%	1.71%	6.55%	12.94%

Associated Banc-Corp Corporate Events

Associated Banc-Corp Announces Leadership Promotions and Initiatives

In 2025, Associated Banc-Corp announced several leadership promotions and strategic initiatives aimed at enhancing profitability and market presence. The company has focused on growing its commercial and industrial loans, reducing reliance on residential mortgages, and improving its digital banking services. These efforts are part of a broader strategy to drive growth and profitability, with significant investments in leadership and infrastructure to support these goals.

Associated Banc-Corp Announces Merger with American National

On November 30, 2025, Associated Banc-Corp entered into a merger agreement with American National Corporation, whereby American National will merge into Associated, with the latter surviving. This merger, unanimously approved by both companies’ boards, involves a stock exchange and aims to consolidate American National’s banking subsidiary into Associated’s, enhancing Associated’s market position. The merger is subject to customary closing conditions, regulatory approvals, and shareholder agreements, with an expected impact on governance as American National’s executives will join Associated’s board.

Associated Banc-Corp Announces Merger with American National

On December 1, 2025, Associated Banc-Corp and American National Corporation announced an agreement for American National to merge into Associated Banc-Corp, with the latter continuing as the surviving entity. This merger, valued at approximately $604 million, is expected to close in the second quarter of 2026 and aims to expand Associated’s presence in strategic Midwest markets, making it the #2 bank in the Omaha MSA and #10 in the Minneapolis/St. Paul MSA by deposit market share.