Horizon Bancorp [In] (HBNC)
NASDAQ:HBNC
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Horizon Bancorp
(NASDAQ:HBNC)
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Rating:63Neutral
Price Target:
$20.00
▲(11.05% Upside)
Action:ReiteratedDate:05/09/26
The score is held back mainly by weak reported financial statement performance (recent net losses and volatile revenue/margins), partially offset by strong technical momentum, attractive valuation (low P/E plus dividend), and a positive earnings call with reaffirmed guidance and improving capital/funding trends.
Positive Factors
Exceptional deposit gathering
Large, low‑cost deposit inflows materially strengthen funding stability and liquidity. Over 2–6 months this supports loan growth without costly wholesale funding, cushions margin pressure, and gives management runway to deploy assets or reduce expensive liabilities while preserving pricing discipline.
Negative Factors
Recent net losses and weak margins
A sustained swing to net losses and compressed margins undermines return generation and erodes retained earnings, constraining internal capital formation. If earnings do not re-stabilize, the bank may face tougher choices on growth, dividends, or capital actions over the next several quarters.
Read all positive and negative factors
Positive Factors
Negative Factors
Exceptional deposit gathering
Large, low‑cost deposit inflows materially strengthen funding stability and liquidity. Over 2–6 months this supports loan growth without costly wholesale funding, cushions margin pressure, and gives management runway to deploy assets or reduce expensive liabilities while preserving pricing discipline.
Read all positive factors
Horizon Bancorp (HBNC) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$947.17M
Dividend Yield3.5%
Average Volume (3M)348.71K
Price to Earnings (P/E)8.1
Beta (1Y)0.98
Revenue Growth-71.38%
EPS Growth-406.48%
CountryUS
Employees841
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)-3.18
Shares Outstanding51,225,945
10 Day Avg. Volume570,181
30 Day Avg. Volume348,712
Financial Highlights & Ratios
PEG Ratio0.01
Price to Book (P/B)1.26
Price to Sales (P/S)8.38
P/FCF Ratio20.76
Enterprise Value/Market Cap1.33
Enterprise Value/Revenue13.12
Enterprise Value/Gross Profit-52.53
Enterprise Value/Ebitda-6.77
Forecast
1Y Price Target
$20.67Price Target Upside14.75% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering3
EPS Forecast (FY)2.09
Revenue Forecast (FY)$308.49M
Horizon Bancorp Business Overview & Revenue Model
Company Description
Horizon Bancorp, Inc. operates as the bank holding company for Horizon Bank that provides a range of commercial and retail banking services. The company offers various deposits. It also provides commercial, residential real estate, mortgage wareho...
How the Company Makes Money
Horizon Bancorp primarily makes money through its banking subsidiary by earning (1) net interest income and (2) noninterest income. Net interest income is generated from the spread between interest earned on interest-earning assets (such as commer...
Horizon Bancorp Earnings Call Summary
Earnings Call Date:Apr 22, 2026
(Q1-2026)
| % Change Since: |
Next Earnings Date:Jul 29, 2026
Earnings Call Sentiment Positive
The call conveyed a predominantly positive tone: strong profitability (ROA and ROTCE), improved capital (CET1 +40 bps), exceptional deposit gathering, disciplined loan growth with supportive credit metrics, and reiterated 2026 guidance. The few negatives — tactical mortgage/consumer pullback, a small NIM drag from elevated cash, modestly higher nonperforming loans, and expected near-term expense/deposit-cost pressures — are relatively limited and described as manageable. Overall the company's messaging emphasized durable franchise strength, capital optionality and confidence in executing the 2026 plan.Positive Updates
Strong Profitability Metrics
Annualized return on average assets above 1.60% and return on average tangible common equity above 19%, indicating durable, peer-leading profitability.
Negative Updates
Mortgage/Consumer Loan Softness in Q1
Residential and consumer loan balances declined by about $32 million in Q1 as management elected not to purchase lower-yielding mortgage refinances; mortgage origination expected to be flat to mildly up for the year, creating near-term headwinds to loan growth composition.
Read all updates
Q1-2026 Updates
Positive
Negative
Strong Profitability Metrics
Annualized return on average assets above 1.60% and return on average tangible common equity above 19%, indicating durable, peer-leading profitability.
Read all positive updates
Company Guidance
Guidance for 2026 was reaffirmed and calls for mid‑single‑digit period‑end loan and deposit growth (dollars: deposits modestly outpacing loans), non‑FTE net interest income up in the low‑teens YoY, FTE net interest margin targeted at 4.25%–4.35%, average earning assets modestly above $6.0 billion, fee income in the mid‑$40 million range, full‑year expenses in the mid‑$160 million range, and an effective tax rate of 18%–20%; management expects continued rapid capital accretion after Q1 CET1 of 10.82% and total risk‑based capital of 14.77%. For context, Q1 metrics include NIM 4.29%, annualized ROA >1.60%, ROTCE >19%, deposits +$147M (≈11% annualized) including ~$61M noninterest‑bearing, loans held for investment $4.87B with commercial loans +$34.2M, new loan production yield ~6.6% (average loan yield 6.28%; roll‑off just under 6% with ~$150M/qtr coming off at ~6.1%), allowance for credit losses $51.3M (1.05% of loans), nonperforming loans $37M (0.76%), net charge‑offs $0.626M (5 bps annualized), provision $0.391M, investment portfolio principal cash flows expected $75M–$100M at ~4.7% (Q1 reinvestment ~4.8%), average interest‑earning cash ran ~3% of earning assets (expected 2%–3% for the year) which reduced NIM by ~4 bps while deposit beta helped lower interest‑bearing cost ~7 bps in the quarter.Horizon Bancorp Financial Statement Overview
Summary
Income Statement
18
Very Negative
Balance Sheet
46
Neutral
Cash Flow
64
Positive
| Breakdown | TTM | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|---|
Income Statement | ||||||
| Total Revenue | 96.08M | 103.17M | 355.38M | 319.32M | 278.07M | 246.57M |
| Gross Profit | -24.00M | -30.39M | 182.11M | 180.30M | 243.37M | 230.35M |
| EBITDA | -186.34M | -187.62M | 39.65M | 50.97M | 118.68M | 116.32M |
| Net Income | -148.26M | -150.48M | 35.43M | 27.98M | 93.41M | 87.09M |
Balance Sheet | ||||||
| Total Assets | 6.56B | 6.44B | 7.80B | 7.94B | 7.87B | 7.41B |
| Cash, Cash Equivalents and Short-Term Investments | 68.35M | 70.70M | 527.84M | 1.08B | 1.12B | 1.76B |
| Total Debt | 381.83M | 404.49M | 1.35B | 1.04B | 1.01B | 828.27M |
| Total Liabilities | 5.87B | 5.75B | 7.04B | 7.22B | 7.20B | 6.69B |
| Stockholders Equity | 699.03M | 688.25M | 763.58M | 718.81M | 677.38M | 723.21M |
Cash Flow | ||||||
| Free Cash Flow | 86.56M | 41.65M | 1.28M | 81.16M | 87.95M | 104.91M |
| Operating Cash Flow | 90.38M | 45.66M | 6.37M | 88.94M | 94.38M | 106.35M |
| Investing Cash Flow | 917.81M | 1.03B | -52.78M | 329.52M | -1.02B | -344.85M |
| Financing Cash Flow | -918.79M | -906.59M | -186.68M | -15.44M | 455.55M | 582.30M |
Horizon Bancorp Technical Analysis
Positive
18.01
Price Trends
16.92
Positive
17.08
Positive
16.31
Positive
Market Momentum
0.37
Negative
72.35
Negative
84.10
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For HBNC, the sentiment is Positive. The current price of 18.01 is above the 20-day moving average (MA) of 16.87, above the 50-day MA of 16.92, and above the 200-day MA of 16.31, indicating a bullish trend. The MACD of 0.37 indicates Negative momentum. The RSI at 72.35 is Negative, neither overbought nor oversold. The STOCH value of 84.10 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for HBNC.
Horizon Bancorp Risk Analysis
Horizon Bancorp disclosed 41 risk factors in its most recent earnings report. Horizon Bancorp reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Horizon Bancorp Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
77 Outperform | $1.26B | 11.49 | 13.37% | 1.70% | 6.23% | 2.16% | |
76 Outperform | $1.13B | 13.27 | 7.58% | 3.91% | 8.28% | 37.82% | |
76 Outperform | $908.06M | 10.13 | 13.73% | 3.39% | 5.37% | 40.00% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
67 Neutral | $1.02B | 11.20 | 7.46% | 4.73% | 7.25% | 49.05% | |
63 Neutral | $947.17M | 8.07 | -20.89% | 3.50% | -71.38% | -406.48% | |
63 Neutral | $922.08M | 9.68 | 6.81% | 1.79% | 8.98% | ― |
* Financial Sector Average
HBNC
Horizon Bancorp
18.49
3.40
22.54%
CFFN
Capitol Federal Financial
7.85
2.40
44.17%
CPF
Central Pacific Financial
34.79
8.04
30.05%
HFWA
Heritage Financial
27.52
4.31
18.57%
AMAL
Amalgamated Bank
42.07
11.31
36.78%
AMTB
Amerant Bancorp
23.43
5.81
32.96%
Horizon Bancorp Corporate Events
Executive/Board ChangesShareholder Meetings
Horizon Bancorp Shareholders Approve Directors, Pay and Auditor
Positive
May 8, 2026
On May 7, 2026, Horizon Bancorp, Inc. held its Annual Meeting of Shareholders, at which 87.12% of the 51,225,946 eligible common shares were represented in person or by proxy, constituting a quorum and underscoring strong shareholder engagement. S...
Business Operations and StrategyFinancial Disclosures
Horizon Bancorp Reports Strong First Quarter 2026 Results
Positive
Apr 22, 2026
Horizon Bancorp, Inc. on April 22, 2026 reported unaudited first quarter 2026 results that underscored resilient profitability, with annualized return on average assets of 1.62%, return on average tangible common equity of 19.02% and net interest ...
Dividends
Horizon Bancorp Declares Quarterly Cash Dividend to Shareholders
Positive
Mar 18, 2026
On March 17, 2026, Horizon Bancorp, Inc.’s board of directors approved a cash dividend of $0.16 per share for its common shareholders. The dividend will be paid on April 17, 2026, to shareholders of record as of April 3, 2026, underscoring t...
Business Operations and StrategyExecutive/Board Changes
Horizon Bancorp Streamlines Leadership, Eliminates Chief Administration Role
Neutral
Mar 4, 2026
On March 3, 2026, Horizon Bancorp, Inc. said it will eliminate the role of Chief Administration Officer at both the company and Horizon Bank, leading to the departure of Executive Vice President and Chief Administration Officer Mark E. Secor on Ma...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.