Bank OZK (OZK)
NASDAQ:OZK
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Bank OZK
(NASDAQ:OZK)
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Rating:75Outperform
Price Target:
$53.00
â–²(10.55% Upside)
Action:ReiteratedDate:03/04/26
The score is driven primarily by strong financial fundamentals (growth, profitability, and conservative leverage) and attractive valuation (low P/E with a solid dividend). This is tempered by mixed/weak near-term technical momentum and ongoing credit/CRE-related uncertainty highlighted on the earnings call despite solid capital return and reserve positioning.
Positive Factors
Conservative, improving leverage and capital
Materially lower leverage and rising tangible equity provide durable loss-absorbing capacity, enabling continued dividends and opportunistic buybacks while weathering CRE stress. Strong capital trends reduce systemic risk and preserve strategic optionality over the next 2–6 months.
Negative Factors
Concentrated CRE and life‑sciences credit stress
Concentration in CRE and life‑sciences creates structural credit risk: recoveries can be protracted, valuations volatile, and sponsor reliance uncertain. This exposure can drive future provisions, restrict lending capacity, and pressure earnings and capital as resolution timelines extend.
Read all positive and negative factors
Positive Factors
Negative Factors
Conservative, improving leverage and capital
Materially lower leverage and rising tangible equity provide durable loss-absorbing capacity, enabling continued dividends and opportunistic buybacks while weathering CRE stress. Strong capital trends reduce systemic risk and preserve strategic optionality over the next 2–6 months.
Read all positive factors
Bank OZK (OZK) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$5.44B
Dividend Yield3.68%
Average Volume (3M)1.30M
Price to Earnings (P/E)7.1
Beta (1Y)1.02
Revenue Growth2.79%
EPS Growth2.11%
CountryUS
Employees3,096
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)1.53
Shares Outstanding113,431,900
10 Day Avg. Volume951,214
30 Day Avg. Volume1,304,706
Financial Highlights & Ratios
PEG Ratio8.75
Price to Book (P/B)0.83
Price to Sales (P/S)1.81
P/FCF Ratio6.94
Enterprise Value/Market Cap1.07
Enterprise Value/Revenue2.08
Enterprise Value/Gross Profit3.75
Enterprise Value/Ebitda5.69
Forecast
1Y Price Target
$54.29Price Target Upside13.25% Upside
Rating ConsensusModerate Buy
Number of Analyst Covering7
EPS Forecast (FY)5.94
Revenue Forecast (FY)$1.74B
Bank OZK Business Overview & Revenue Model
Company Description
Bank OZK provides various retail and commercial banking services. It accepts various deposit products, including non-interest-bearing checking, interest bearing transaction, business sweep, savings, money market, individual retirement, and other a...
How the Company Makes Money
Bank OZK generates revenue primarily through interest income from loans, fees from banking services, and investment income. The main revenue stream comes from the interest earned on loans made to individuals and businesses, particularly in commerc...
Bank OZK Earnings Call Summary
Earnings Call Date:Jan 20, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 21, 2026
Earnings Call Sentiment Positive
The call balanced conservative risk management and active capital returns against ongoing CRE-related credit work. Management emphasized a strong earnings base (near $700M), improved capital ratios, accretive buybacks and a prudent, elevated allowance built through the CRE cycle. They also highlighted improving market liquidity (refinancings and leasing) and early-stage growth in fee-income channels. Offsetting these positives are remaining stressed RESG assets, several higher‑risk loans under active resolution or appraisal-based valuation pressure, and continued uncertainty in the life-sciences segment. Overall, the tone was cautious but constructive: the company appears positioned to absorb near-term CRE volatility while benefiting from improving market conditions and executing strategic diversification over the next 12–24 months.Positive Updates
Near-Record Annual Earnings
Reported nearly $700 million in earnings for the year (described as "almost $700 million" and near-record), demonstrating strong profitability year-over-year.
Negative Updates
Credit Stress — Nonperforming and Foreclosed RESG Assets
Four RESG assets reached foreclosure or title acquisition in the cycle; at the time of the call there were four loans in non-accrual. Management took charge-offs in the quarter, though noted much of those charges had been previously reserved for.
Read all updates
Q4-2025 Updates
Positive
Negative
Near-Record Annual Earnings
Reported nearly $700 million in earnings for the year (described as "almost $700 million" and near-record), demonstrating strong profitability year-over-year.
Read all positive updates
Company Guidance
Management guidance: management said 2026 should look a lot like 2024–2025 while they’re optimistic about 2027, with credit trends and net charge‑offs expected to be similar to the prior two years and the allowance for credit losses (ACL) positioned to absorb remaining stress (ACL was built from roughly $300M to about $632M — noted as ~$680M at 9/30 in the comments — and could modestly decline as previously reserved losses are realized). They reaffirmed mid‑single‑digit loan growth for 2026 (weighted to Q2–Q4), expect incremental noninterest‑income gains in 2026 with more impact in 2027, noted Q4 margin held up (Q1 faces a two‑day NII headwind), and highlighted capital actions: Q4 buybacks of 2.25M shares at $44.45, roughly $100M of buyback authorization remaining (expires end‑June), a raised dividend (62nd consecutive quarterly increase) and nearly $700M of annual earnings.Bank OZK Financial Statement Overview
Summary
Income Statement
80
Positive
Balance Sheet
86
Very Positive
Cash Flow
75
Positive
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 2.81B | 2.77B | 2.25B | 1.38B | 1.19B |
| Gross Profit | 1.56B | 1.48B | 1.40B | 1.17B | 1.18B |
| EBITDA | 934.27M | 1.02B | 930.80M | 777.05M | 796.05M |
| Net Income | 715.48M | 716.46M | 690.78M | 564.14M | 579.00M |
Balance Sheet | |||||
| Total Assets | 40.79B | 38.26B | 34.24B | 27.66B | 26.53B |
| Cash, Cash Equivalents and Short-Term Investments | 0.00 | 3.35B | 5.39B | 4.53B | 5.97B |
| Total Debt | 463.58M | 883.04M | 1.27B | 1.08B | 1.23B |
| Total Liabilities | 34.66B | 32.55B | 29.10B | 22.97B | 21.69B |
| Stockholders Equity | 6.13B | 5.71B | 5.14B | 4.69B | 4.84B |
Cash Flow | |||||
| Free Cash Flow | 731.73M | 738.85M | 852.41M | 735.09M | 494.28M |
| Operating Cash Flow | 837.73M | 834.47M | 881.55M | 764.95M | 528.20M |
| Investing Cash Flow | -2.34B | -3.25B | -5.53B | -2.43B | 140.21M |
| Financing Cash Flow | 1.56B | 3.05B | 5.77B | 644.92M | -1.01B |
Bank OZK Technical Analysis
Positive
47.94
Price Trends
47.01
Positive
46.71
Positive
47.75
Positive
Market Momentum
0.37
Negative
63.41
Neutral
85.81
Negative
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For OZK, the sentiment is Positive. The current price of 47.94 is above the 20-day moving average (MA) of 45.37, above the 50-day MA of 47.01, and above the 200-day MA of 47.75, indicating a bullish trend. The MACD of 0.37 indicates Negative momentum. The RSI at 63.41 is Neutral, neither overbought nor oversold. The STOCH value of 85.81 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for OZK.
Bank OZK Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
75 Outperform | $5.44B | 7.10 | 11.93% | 3.68% | 2.79% | 2.11% | |
74 Outperform | $5.66B | 11.51 | 11.43% | 2.85% | 1.43% | 19.58% | |
71 Outperform | $6.29B | 10.86 | 8.58% | 2.73% | 4.54% | 27.56% | |
69 Neutral | $7.25B | 8.34 | 7.82% | 3.69% | -1.94% | 41.35% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
67 Neutral | $6.26B | 22.44 | 6.53% | 2.89% | 8.73% | 26.19% | |
61 Neutral | $6.11B | 11.61 | 8.60% | 3.77% | 8.83% | 15.49% |
* Financial Sector Average
OZK
Bank OZK
47.94
10.59
28.35%
FNB
F.N.B.
17.69
5.99
51.20%
GBCI
Glacier Bancorp
48.13
10.65
28.42%
HOMB
Home Bancshares
27.99
2.93
11.71%
UBSI
United Bankshares
43.84
12.81
41.27%
VLY
Valley National Bancorp
13.06
5.34
69.08%
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.