Horizon Bancorp stock hits 52-week high at $18.92 amid growth

Horizon Bancorp (NASDAQ:HBNC) stock has reached a new 52-week high, touching $18.92, signaling a strong performance period for the company. This milestone reflects a significant uptrend in the bank's stock value, with an impressive 1-year change of 66.1%. Investors have shown increased confidence in Horizon Bancorp's financial health and growth prospects, contributing to the stock's robust gains over the past year. The achievement of this 52-week high marks a noteworthy event for the company and its shareholders, as it encapsulates the positive sentiment and potential for future growth.

In other recent news, Horizon Bancorp, Inc. reported significant growth in its third-quarter earnings for 2024. The positive trajectory was credited to a 10% annual increase in average loans and expansions in net interest income and fee income. Despite a strategic reduction in consumer loans, particularly in indirect auto lending, the company saw strong deposit growth.

The company's management also outlined strategic actions for the future, including a $325 million securities sale and the planned divestiture of the mortgage warehouse business. These actions are expected to contribute to profitability and simplify operations. Furthermore, Horizon Bancorp's commercial loan portfolio experienced a notable increase, while nonperforming loans remained stable.

Looking ahead, Horizon Bancorp anticipates a stable total loan balance for 2025, with growth in commercial loans offsetting declines in indirect auto loans. The company also expects stable loan balances and growth in net interest income moving into 2025. These recent developments suggest Horizon Bancorp's focus on growth and profitability for the future.

InvestingPro Insights

Horizon Bancorp's recent achievement of a new 52-week high is further supported by data from InvestingPro. The stock's strong performance is reflected in its impressive 74.43% total return over the past year, significantly outpacing the 66.1% change mentioned in the article. This upward momentum is also evident in the short term, with a 16.44% return over the last month and an 18.69% return over the last three months.

InvestingPro Tips highlight that HBNC has maintained dividend payments for 38 consecutive years, demonstrating a commitment to shareholder returns. This consistency aligns with the company's current dividend yield of 3.45%, which may be attractive to income-focused investors. Additionally, analysts have revised their earnings expectations upwards for the upcoming period, suggesting potential for continued positive performance.

It's worth noting that HBNC is trading at a high earnings multiple with a P/E ratio of 38.41, which investors should consider when evaluating the stock's valuation. For a more comprehensive analysis, InvestingPro offers 13 additional tips for Horizon Bancorp, providing deeper insights into the company's financial health and market position.

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