%OldNationalBancorp (NASDAQ: $ONB) is a small-cap bank stock that quietly and consistently outperforms its much larger peers on Wall Street.
Headquartered in Chicago, Old National Bancorp operates a network of 200 retail %Bank branches across the U.S. Midwest.
The company is primarily situated in Illinois, Indiana, Iowa and Kentucky.
A going concern for nearly 200 years, Old National Bancorp focuses on retail banking, offering chequing and savings accounts, home mortgages, small business loans, and credit cards.
Analysts who cover the banking industry frequently use words like “sleepy” and “pokey” to describe Old National Bancorp. However, there’s nothing sleepy about its returns.
In the last 12 months, ONB stock has gained 33%, including 10% growth so far in 2025. The share price has nearly doubled in the five years since the Covid-19 pandemic struck.
Old National Bancorp’s stock has trounced the 12% return of %BankofAmerica (NYSE: $BAC), the second largest U.S. lender, over the past year.
With a market capitalization of $8.59 billion U.S., ONB stock is firmly in the small-cap sector. However, management at the bank is taking steps to grow the business.
Last November, Old National Bancorp announced its purchase of Minnesota-based Bremer Bank for $1.4 billion U.S.
The deal closed on May 1 of this year and created a unified Midwest bank that now has $70 billion U.S. of assets under management (AUM).
Other reasons ONB stock is attractive include a price-to-earnings ratio of 13.50 and a healthy dividend yield of 2.41%.
Old National Bancorp currently pays a quarterly dividend of $0.14 U.S. per share. The lender has consistently paid a quarterly dividend for more than 30 years.
While not flashy or exciting, ONB stock is the kind of rock-solid security that can help lift the portfolios of long-term buy and hold investors.
