Loading...

Horizon Bancorp

Nasdaq:HBNC
Snowflake Description

Undervalued with excellent balance sheet and pays a dividend.

The Snowflake is generated from 30 checks in 5 different areas, read more below.
HBNC
Nasdaq
$726M
Market Cap
  1. Home
  2. US
  3. Banks
Company description

Horizon Bancorp, Inc. operates as the bank holding company for Horizon Bank that provides commercial and retail banking services. The last earnings update was 68 days ago. More info.


Add to Portfolio Compare Print
HBNC Share Price and Events
7 Day Returns
-1.2%
NasdaqGS:HBNC
-0.2%
US Banks
1.1%
US Market
1 Year Returns
-21.7%
NasdaqGS:HBNC
-5.9%
US Banks
4.7%
US Market
HBNC Shareholder Return
  7 Day 30 Day 90 Day 1 Year 3 Year 5 Year
Horizon Bancorp (HBNC) -1.2% 1.2% -1.3% -21.7% 31.5% 74.7%
US Banks -0.2% 2.8% -0.2% -5.9% 45.5% 46.9%
US Market 1.1% 4.3% 2.9% 4.7% 37.7% 43.6%
1 Year Return vs Industry and Market
  • HBNC underperformed the Banks industry which returned -5.9% over the past year.
  • HBNC underperformed the Market in United States of America which returned 4.7% over the past year.
Price Volatility
HBNC
Industry
5yr Volatility vs Market

HBNC Value

 Is Horizon Bancorp undervalued based on future cash flows and its price relative to the stock market?

Value is all about what a company is worth versus what price it is available for. If you went into a grocery store and all the bananas were on sale at half price, they could be considered undervalued.
INTRINSIC VALUE BASED ON FUTURE CASH FLOWS
Here we compare the current share price of Horizon Bancorp to its discounted cash flow analysis.value.

The discounted cash flow value is simply looking at what the company is worth today, based on estimates of how much money it is expected to make in the future.
Raw Data

Below are the data sources, inputs and calculation used to determine the intrinsic value for Horizon Bancorp.

NasdaqGS:HBNC Discounted Cash Flow Data Sources
Data Point Source Value
Valuation Model Excess Returns Model
Stable EPS Weighted future Return on Equity estimates from 4 analysts.
= Stable Book Value * Return on Equity
= $14.91 * 11.2%
$1.68
Book Value of Equity per Share Weighted future Book Value estimates from 5 analysts. $14.91
Discount Rate (Cost of Equity) See below 8.4%
Perpetual Growth Rate 10-Year US Government Bond Rate 2.7%

An important part of a discounted cash flow is the discount rate, below we explain how it has been calculated.

Calculation of Discount Rate/ Cost of Equity for NasdaqGS:HBNC
Data Point Calculation/ Source Result
Risk-Free Rate 10-Year US Govt Bond Rate 2.7%
Equity Risk Premium S&P Global 6%
Banks Unlevered Beta Simply Wall St/ S&P Global 0.59
Re-levered Beta = Unlevered beta (1 + (1- tax rate) (Debt/Equity))
= 0.593 (1 + (1- 21%) (71.56%))
0.952
Levered Beta Levered Beta limited to 0.8 to 2.0
(practical range for a stable firm)
0.95
Discount Rate/ Cost of Equity = Cost of Equity = Risk Free Rate + (Levered Beta * Equity Risk Premium)
= 2.73% + (0.952 * 5.96%)
8.4%

Discounted Cash Flow Calculation for NasdaqGS:HBNC using Excess Returns Model Model

The calculations below outline how an intrinsic value for Horizon Bancorp is arrived at using the Excess Return Model. This approach is used for finance firms where free cash flow is difficult to estimate.

In the Excess Return Model the value of a firm can be written as the sum of capital invested currently in the firm and the present value of excess returns that the firm expects to make in the future.

The model is sensitive to the Return on Equity of the company versus the Cost of Equity, how these are calculated is detailed below the main calculation.

Note the calculations below are per share.

See our documentation to learn about this calculation.

NasdaqGS:HBNC Value of Excess Returns
Calculation Result
Excess Returns = (Stable Return on equity – Cost of equity) (Book Value of Equity per share)
= (11.2% – 8.4%) * $14.91)
$0.42
Terminal Value of Excess Returns = Excess Returns / (Cost of Equity - Expected Growth Rate)
= $0.42 / (8.4% - 2.73%)
$7.48
Value of Equity = Book Value per share + Terminal Value of Excess Returns
= $14.91 + $7.48
$22.38
NasdaqGS:HBNC Discount to Share Price
Calculation Result
Value per share (USD) From above. $22.38
Current discount Discount to share price of $16.11
= -1 x ($16.11 - $22.38) / $22.38
28%

Learn more about our DCF calculations in Simply Wall St’s analysis model .

Current Discount
Amount off the current price Horizon Bancorp is available for.
Intrinsic value
28%
Share price is $16.11 vs Future cash flow value of $22.38
Current Discount Checks
For Horizon Bancorp to be considered undervalued it must be available for at least 20% below the current price. Less than 40% is even better.
  • Horizon Bancorp's share price is below the future cash flow value, and at a moderate discount (> 20%).
  • Horizon Bancorp's share price is below the future cash flow value, but not at a substantial discount (< 40%).
PRICE RELATIVE TO MARKET
We can also value a company based on what the stock market is willing to pay for it. This is similar to the price of fruit (e.g. Mangoes or Avocados) increasing when they are out of season, or how much your home is worth.

The amount the stock market is willing to pay for Horizon Bancorp's earnings, growth and assets is considered below, and whether this is a fair price.
Price based on past earnings
Are Horizon Bancorp's earnings available for a low price, and how does this compare to other companies in the same industry?
Raw Data
NasdaqGS:HBNC PE (Price to Earnings) Ratio Data Sources
Data Point Source Value
Earnings Per Share * Company Filings (2019-03-31) in USD $1.33
NasdaqGS:HBNC Share Price ** NasdaqGS (2019-07-16) in USD $16.11
United States of America Banks Industry PE Ratio Median Figure of 592 Publicly-Listed Banks Companies 12.77x
United States of America Market PE Ratio Median Figure of 3,084 Publicly-Listed Companies 17.98x

* Trailing twelve months (TTM) annual GAAP earnings per share excluding extraordinary items.

** Primary Listing of Horizon Bancorp.

NasdaqGS:HBNC PE (Price to Earnings) Ratio Calculation
Calculation Outcome
PE Ratio

= NasdaqGS:HBNC Share Price ÷ EPS (both in USD)

= 16.11 ÷ 1.33

12.12x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Horizon Bancorp is good value based on earnings compared to the US Banks industry average.
  • Horizon Bancorp is good value based on earnings compared to the United States of America market.
Price based on expected Growth
Does Horizon Bancorp's expected growth come at a high price?
Raw Data
NasdaqGS:HBNC PEG (Price to Earnings to Growth) Ratio Data Sources
Data Point Source Value
PE Ratio See PE Ratio Section 12.12x
Net Income Annual Growth Rate See Future Growth Section.
Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts
21.2%per year
United States of America Banks Industry PEG Ratio Median Figure of 271 Publicly-Listed Banks Companies 1.26x
United States of America Market PEG Ratio Median Figure of 2,125 Publicly-Listed Companies 1.58x

*Line of best fit is calculated by linear regression .

NasdaqGS:HBNC PEG (Price to Earnings to Growth) Ratio Calculation
Calculation Outcome
PEG Ratio

= PE Ratio ÷ Net Income Annual Growth Rate

= 12.12x ÷ 21.2%

0.57x

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Horizon Bancorp is good value based on expected growth next year.
Price based on value of assets
What value do investors place on Horizon Bancorp's assets?
Raw Data
NasdaqGS:HBNC PB (Price to Book) Ratio Data Sources
Data Point Source Value
Book Value per Share Company Filings (2019-03-31) in USD $13.53
NasdaqGS:HBNC Share Price * NasdaqGS (2019-07-16) in USD $16.11
United States of America Banks Industry PB Ratio Median Figure of 592 Publicly-Listed Banks Companies 1.21x
United States of America Market PB Ratio Median Figure of 5,240 Publicly-Listed Companies 1.81x
NasdaqGS:HBNC PB (Price to Book) Ratio Calculation
Calculation Outcome
PB Ratio

= NasdaqGS:HBNC Share Price ÷ Book Value per Share (both in USD)

= 16.11 ÷ 13.53

1.19x

* Primary Listing of Horizon Bancorp.

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Horizon Bancorp is good value based on assets compared to the US Banks industry average.
X
Value checks
We assess Horizon Bancorp's value by looking at:
  1. Is the discounted cash flow value less than 20%, or 40% of the share price? (2 checks) ( Click here or on bar chart for details of DCF calculation. )
  2. Is the PE ratio less than the market average, and/ or less than the Banks industry average (and greater than 0)? (2 checks)
  3. Is the PEG ratio within a reasonable range (0 to 1)? (1 check)
  4. Is the PB ratio less than the Banks industry average (and greater than 0)? (1 check)
  5. Horizon Bancorp has a total score of 5/6, see the detailed checks below.

    Note: We use GAAP Earnings per Share in all our calculations including PE and PEG Ratio.

    Full details on the Value part of the Simply Wall St company analysis model.

HBNC Future Performance

 How is Horizon Bancorp expected to perform in the next 1 to 3 years based on estimates from 4 analysts?

The future performance of a company is measured in the same way as past performance, by looking at estimated growth and how much profit it is expected to make.

Future estimates come from professional analysts. Just like forecasting the weather, they don’t always get it right!
Annual Growth Rate
21.2%
Expected annual growth in earnings.
Earnings growth vs Low Risk Savings
Is Horizon Bancorp expected to grow at an attractive rate?
  • Horizon Bancorp's earnings growth is expected to exceed the low risk savings rate of 2.7%.
Growth vs Market Checks
  • Horizon Bancorp's earnings growth is expected to exceed the United States of America market average.
  • Horizon Bancorp's revenue growth is expected to exceed the United States of America market average.
Annual Growth Rates Comparison
Raw Data
NasdaqGS:HBNC Future Growth Rates Data Sources
Data Point Source Value (per year)
NasdaqGS:HBNC Future Earnings Growth Rate Line of Best Fit* through Consensus Estimate Earnings of 4 Analysts 21.2%
NasdaqGS:HBNC Future Revenue Growth Rate Line of Best Fit* through Consensus Estimate Revenue of 4 Analysts 12.5%
United States of America Banks Industry Earnings Growth Rate Market Cap Weighted Average 2.7%
United States of America Banks Industry Revenue Growth Rate Market Cap Weighted Average 3.9%
United States of America Market Earnings Growth Rate Market Cap Weighted Average 14.1%
United States of America Market Revenue Growth Rate Market Cap Weighted Average 7.5%

*Line of best fit is calculated by linear regression .

Industry and Market average data is calculated daily.

Learn more about our growth rate calculations in Simply Wall St’s analysis model.

Analysts growth expectations
Raw Data
NasdaqGS:HBNC Analysts Growth Expectations Data Sources
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
All numbers in USD Millions and using Trailing twelve months (TTM) annual period rather than quarterly.
NasdaqGS:HBNC Future Estimates Data
Date (Data in USD Millions) Revenue Cash Flow Net Income * Avg. No. Analysts
2020-12-31 221 77 4
2019-12-31 204 64 4
NasdaqGS:HBNC Past Financials Data
Date (Data in USD Millions) Revenue Cash Flow Net Income *
2019-03-31 167 154 51
2018-12-31 166 72 53
2018-09-30 164 76 48
2018-06-30 158 68 43
2018-03-31 151 60 38
2017-12-31 143 49 33
2017-09-30 132 51 31
2017-06-30 130 40 30
2017-03-31 126 35 27
2016-12-31 120 26 24
2016-09-30 118 25 24
2016-06-30 113 31 22

*GAAP earnings excluding extraordinary items.

Super high growth metrics
High Growth Checks
  • Horizon Bancorp's earnings are expected to grow significantly at over 20% yearly.
  • Horizon Bancorp's revenue is expected to grow by 12.5% yearly, however this is not considered high growth (20% yearly).
Past and Future Earnings per Share
The accuracy of the analysts who estimate the future performance data can be gauged below. We look back 3 years and see if they were any good at predicting what actually occurred. We also show the highest and lowest estimates looking forward to see if there is a wide range.
Raw Data
NasdaqGS:HBNC Past and Future Earnings per Share
Data Point Source Value
Past Financials Company Filings (3 months ago) See Below
Future Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below

All data from Horizon Bancorp Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:HBNC Future Estimates Data
Date (Data in USD Millions) EPS * EPS High Estimate EPS Low Estimate Avg. No. Analysts
2020-12-31 1.69 1.76 1.63 5.00
2019-12-31 1.46 1.48 1.42 5.00
NasdaqGS:HBNC Past Financials Data
Date (Data in USD Millions) EPS *
2019-03-31 1.33
2018-12-31 1.39
2018-09-30 1.25
2018-06-30 1.15
2018-03-31 1.05
2017-12-31 0.96
2017-09-30 0.93
2017-06-30 0.89
2017-03-31 0.85
2016-12-31 0.80
2016-09-30 0.86
2016-06-30 0.82

*GAAP earnings excluding extraordinary items.

Performance in 3 years
In the same way as past performance we look at the future estimated return (profit) compared to the available funds. We do this looking forward 3 years.
  • Unable to establish if Horizon Bancorp will efficiently use shareholders’ funds in the future without estimates of Return on Equity.
X
Future performance checks
We assess Horizon Bancorp's future performance by looking at:
  1. Is the annual earnings growth rate expected to beat the low risk savings rate, plus a premium to keep pace with inflation?
  2. Is the annual earnings growth rate expected to beat the average growth rate in earnings of the United States of America market? (1 check)
  3. Is the annual revenue growth rate expected to beat the average growth rate in revenue of the United States of America market? (1 check)
  4. Is the annual earnings growth rate expected to be above 20%? (1 check)
  5. Is the annual revenue growth rate expected to be above 20%? (1 check)
  6. Is the Return on Equity in 3 years expected to be over 20%? (1 check)
Some of the above checks will fail if the company is expected to be loss making in the relevant year.
Horizon Bancorp has a total score of 4/6, see the detailed checks below.

Note 1: We use GAAP Net Income Excluding Exceptional Items for our Earnings in all our calculations.

Full details on the Future part of the Simply Wall St company analysis model.

HBNC Past Performance

  How has Horizon Bancorp performed over the past 5 years?

The past performance of a company can be measured by how much growth it has experienced and how much profit it makes relative to the funds and assets it has available.
Past earnings growth
Below we compare Horizon Bancorp's growth in the last year to its industry (Banks).
Past Earnings growth analysis
We also check if the company has grown in the past 5 years, and whether it has maintained that growth in the year.
  • Horizon Bancorp has delivered over 20% year on year earnings growth in the past 5 years.
  • Horizon Bancorp's 1-year earnings growth exceeds its 5-year average (35.6% vs 24.7%)
  • Horizon Bancorp's earnings growth has not exceeded the US Banks industry average in the past year (35.6% vs 40.7%).
Earnings and Revenue History
Horizon Bancorp's revenue and profit over the past 5 years is shown below, any years where they have experienced a loss will show up in red.
Raw Data

All data from Horizon Bancorp Company Filings, last reported 3 months ago, and in Trailing twelve months (TTM) annual period rather than quarterly.

NasdaqGS:HBNC Past Revenue, Cash Flow and Net Income Data
Date (Data in USD Millions) Revenue Net Income * G+A Expenses R&D Expenses
2019-03-31 167.31 51.13 80.72
2018-12-31 165.86 53.12 81.12
2018-09-30 163.87 47.63 81.72
2018-06-30 157.83 42.74 81.44
2018-03-31 151.21 37.70 79.83
2017-12-31 142.85 33.12 76.33
2017-09-30 132.21 31.07 72.92
2017-06-30 130.24 29.50 72.25
2017-03-31 125.89 26.76 70.58
2016-12-31 119.72 23.87 68.32
2016-09-30 117.95 24.41 65.09
2016-06-30 112.58 22.07 63.07
2016-03-31 104.91 20.44 59.07
2015-12-31 99.92 20.42 56.17
2015-09-30 96.85 19.20 52.81
2015-06-30 91.00 19.86 47.02
2015-03-31 90.96 19.91 58.06
2014-12-31 86.15 17.97 46.93
2014-09-30 84.91 17.10 3.01
2014-06-30 83.26 16.90 1.95
2014-03-31 82.81 17.73 -10.63
2013-12-31 84.73 19.51 43.14
2013-09-30 87.36 20.47 43.15
2013-06-30 89.06 20.54 43.56
2013-03-31 85.75 19.77 42.01
2012-12-31 82.01 19.06
2012-09-30 77.44 17.51 37.20

*GAAP earnings excluding extraordinary items.

Performance last year
We want to ensure a company is making the most of what it has available. This is done by comparing the return (profit) to a company's available funds, assets and capital.
  • Horizon Bancorp has not efficiently used shareholders’ funds last year (Return on Equity less than 20%).
  • Horizon Bancorp used its assets less efficiently than the US Banks industry average last year based on Return on Assets.
  • Unable to establish if Horizon Bancorp improved its use of capital last year versus 3 years ago (Return on Capital Employed) due to insufficient past data.
X
Past performance checks
We assess Horizon Bancorp's performance over the past 5 years by checking for:
  1. Has earnings increased in past 5 years? (1 check)
  2. Has the earnings growth in the last year exceeded that of the Banks industry? (1 check)
  3. Is the recent earnings growth over the last year higher than the average annual growth over the past 5 years? (1 check)
  4. Is the Return on Equity (ROE) higher than 20%? (1 check)
  5. Is the Return on Assets (ROA) above industry average? (1 check)
  6. Has the Return on Capital Employed (ROCE) increased from 3 years ago? (1 check)
The above checks will fail if the company has reported a loss in the most recent earnings report. Some checks require at least 3 or 5 years worth of data.
Horizon Bancorp has a total score of 2/6, see the detailed checks below.

Note: We use GAAP Net Income excluding extraordinary items in all our calculations.

Full details on the Past part of the Simply Wall St company analysis model.

HBNC Health

 How is Horizon Bancorp's financial position? (This company is analysed differently as a bank or financial institution)

This company is a bank or financial institution.

Fundamentally a bank's business is based upon borrowing and lending money, for this reason they typically have high levels of debt and we analyse them differently.
Net Worth
Balance sheet
This treemap shows a more detailed breakdown of Horizon Bancorp's finances. If any of them are yellow this indicates they may be out of proportion and red means they relate to one of the checks below.
Assets
Liabilities and shares
The 'shares' portion represents any funds contributed by the owners (shareholders) and any profits.
Historical Debt
Nearly all companies have debt. Debt in itself isn’t bad, however if the debt is too high, or the company can’t afford to pay the interest on its debts this may have impacts in the future.

The graphic below shows equity (available funds) and debt, we ideally want to see the red area (debt) decreasing.

If there is any debt we look at the companies capability to repay it, and whether the level has increased over the past 5 years.
Raw Data

All data from Horizon Bancorp Company Filings, last reported 3 months ago.

NasdaqGS:HBNC Past Debt and Equity Data
Date (Data in USD Millions) Total Equity Total Debt Cash & Short Term Investments
2019-03-31 609.47 515.96 106.60
2018-12-31 491.99 589.98 74.41
2018-09-30 477.59 515.60 74.87
2018-06-30 470.54 567.14 72.85
2018-03-31 460.42 562.55 67.43
2017-12-31 457.08 603.54 77.40
2017-09-30 392.06 498.61 73.38
2017-06-30 357.26 526.01 66.82
2017-03-31 348.58 360.49 61.05
2016-12-31 340.86 308.11 71.44
2016-09-30 345.74 614.89 89.07
2016-06-30 281.00 534.94 115.73
2016-03-31 261.42 471.33 52.54
2015-12-31 266.83 487.07 51.07
2015-09-30 264.74 412.12 50.59
2015-06-30 202.13 422.16 45.63
2015-03-31 199.49 478.97 41.52
2014-12-31 194.41 388.39 45.13
2014-09-30 189.78 386.11 38.16
2014-06-30 187.34 376.83 52.14
2014-03-31 169.78 271.81 36.44
2013-12-31 164.52 291.58 31.87
2013-09-30 163.46 278.97 41.68
2013-06-30 160.17 319.09 32.51
2013-03-31 162.28 248.14 29.62
2012-12-31 158.97 385.80 33.53
2012-09-30 155.86 373.78 44.90
BANK ANALYSIS

This company is a bank or financial institution, which is analysed accordingly below.

Below we check the amount of loans the bank has, how many of those are bad, and its ability to cover any bad loans.
  • Horizon Bancorp has an acceptable proportion of non-loan assets held.
  • Horizon Bancorp's liabilities are made up of primarily low risk sources of funding.
  • Loans at Horizon Bancorp are broadly funded by customer deposits.
  • Horizon Bancorp's level of assets compared to its equity is low (i.e. an appropriate level of borrowing to fund lending).
  • Horizon Bancorp has a low allowance for bad loans.
  • Horizon Bancorp has an acceptable level of bad loans (less than 2%).
X
Financial health checks
We assess Horizon Bancorp's financial health by checking for:
  1. Are short term assets greater than short term liabilities? (1 check)
  2. Are short term assets greater than long term liabilities? (1 check)
  3. Has the debt to equity ratio increased in the past 5 years? (1 check)
  4. Is the debt to equity ratio over 40%? (1 check)
  5. Is the debt covered by operating cash flow? (1 check)
  6. Are earnings greater than 5x the interest on debt (if company pays interest at all)? (1 check)
  7. Horizon Bancorp has a total score of 5/6, see the detailed checks below.
For companies that are loss making and have been so on average in the past we replace the last 2 checks with:
  1. Does cash and short term investments cover stable operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)
  2. Does cash and short term investments cover growing operating expenses (recurring G&A and R&D) for more than 3 years? (1 check)


Full details on the Health part of the Simply Wall St company analysis model.

HBNC Dividends

 What is Horizon Bancorp's current dividend yield, its reliability and sustainability?

Dividends are regular cash payments to you from the company, similar to a bank paying you interest on a savings account.
Annual Dividend Income
Dividend payments
2.98%
Current annual income from Horizon Bancorp dividends. Estimated to be 3.1% next year.
If you bought $2,000 of Horizon Bancorp shares you are expected to receive $60 in your first year as a dividend.
Dividend Amount
Here we look how much dividend is being paid, if any. Is it above what you can get in a savings account? It is up there with the best dividend paying companies?
  • Horizon Bancorp's pays a higher dividend yield than the bottom 25% of dividend payers in United States of America (1.42%).
  • Horizon Bancorp's dividend is below the markets top 25% of dividend payers in United States of America (3.73%).
Annualized Historical and Future Dividends
It is important to see if the dividend for a company is stable, and not wildly increasing/decreasing each year. This graph shows you the historical rate to count toward your assessment of the stock.

We also check to see if the dividend has increased in the past 10 years.
Raw Data
NasdaqGS:HBNC Annualized Past and Future Dividends
Data Point Source Value
Past Annualized Dividend Yield S&P Global Market Data See Below
Past Dividends per Share Company Filings/ Annualized Dividend Payments See Below
Future Dividends per Share Estimates Average of up to 4 Analyst Estimates (S&P Global) See Below
United States of America Banks Industry Average Dividend Yield Market Cap Weighted Average of 479 Stocks 3%
United States of America Market Average Dividend Yield Market Cap Weighted Average of 2017 Stocks 2.4%
United States of America Minimum Threshold Dividend Yield 10th Percentile 0.8%
United States of America Bottom 25% Dividend Yield 25th Percentile 1.4%
United States of America Top 25% Dividend Yield 75th Percentile 3.7%

Industry and Market average data is calculated daily.

Note all dividend per share amounts are annualized and not quarterly or other period.

NasdaqGS:HBNC Future Dividends Estimate Data
Date (Data in $) Dividend per Share (annual) Avg. No. Analysts
2020-12-31 0.55 6.00
2019-12-31 0.45 6.00
NasdaqGS:HBNC Past Annualized Dividends Data
Date (Data in $) Dividend per share (annual) Avg. Yield (%)
2019-06-19 0.480 2.970
2019-05-09 0.400 2.491
2019-04-24 0.400 2.421
2019-02-28 0.400 2.425
2019-01-29 0.400 2.355
2018-11-09 0.400 2.439
2018-10-29 0.400 2.344
2018-08-07 0.400 2.048
2018-07-25 0.400 1.900
2018-03-21 0.400 1.958
2018-02-28 0.347 1.734
2018-01-24 0.347 1.760
2017-11-08 0.347 1.897
2017-10-25 0.347 1.899
2017-06-13 0.347 1.944
2017-05-09 0.293 1.701
2017-04-25 0.293 1.624
2016-12-22 0.293 1.682
2016-11-09 0.267 1.660
2016-10-26 0.267 2.106
2016-08-09 0.267 2.090
2016-07-27 0.267 2.211
2016-05-06 0.267 2.402
2016-04-25 0.267 2.445
2016-02-29 0.267 2.467
2016-01-25 0.267 2.460
2015-09-17 0.267 2.270
2015-08-10 0.249 2.321
2015-07-23 0.249 2.267
2015-05-04 0.249 2.283
2015-04-22 0.249 2.391
2014-12-17 0.249 2.371
2014-11-07 0.231 2.081
2014-10-22 0.231 2.068
2014-06-20 0.231 2.342
2014-05-09 0.196 2.094
2014-04-21 0.196 2.163
2014-02-28 0.196 1.993
2014-01-22 0.196 2.035
2013-09-20 0.196 1.910
2013-08-08 0.178 1.767
2013-07-18 0.178 1.687
2013-05-08 0.178 1.976
2013-04-17 0.178 2.079
2012-12-18 0.178 1.998
2012-11-08 0.178 2.180
2012-10-17 0.178 2.092
2012-09-21 0.178 2.099
2012-08-08 0.154 1.910
2012-07-18 0.154 1.962
2012-05-10 0.154 2.042
2012-04-18 0.154 2.167
2012-03-23 0.154 2.897
2012-03-12 0.142 2.713
2012-01-18 0.142 2.695
2011-11-14 0.142 2.804
2011-10-20 0.142 2.907
2011-09-16 0.142 2.798
2011-08-12 0.134 2.522
2011-07-21 0.134 2.484
2011-05-12 0.134 2.519
2011-04-20 0.134 2.511
2011-03-11 0.134 2.458
2011-01-19 0.134 2.424
2010-11-12 0.134 2.616
2010-10-20 0.134 2.732
2010-08-16 0.134 3.045
2010-07-19 0.134 3.073
2010-05-13 0.134 3.080
2010-04-22 0.134 3.054
2010-03-15 0.134 3.397
2010-01-21 0.134 3.643
2009-11-12 0.134 4.408
2009-10-23 0.134 4.158
2009-08-14 0.134 4.076
2009-07-23 0.134 4.276
2009-05-15 0.134 3.883
2009-04-24 0.134 4.119
2009-03-23 0.134 5.964
2009-01-23 0.134 5.866
2008-11-13 0.134 5.011
2008-10-23 0.134 3.977
2008-08-13 0.134 3.095
2008-07-21 0.134 3.351

Learn more about our ratios and growth rates in Simply Wall St’s analysis model >

  • Dividends per share have been stable in the past 10 years.
  • Dividends per share have increased over the past 10 years.
Current Payout to shareholders
What portion of Horizon Bancorp's earnings are paid to the shareholders as a dividend.
  • Dividends paid are well covered by earnings (3.3x coverage).
Future Payout to shareholders
  • Insufficient estimate data to determine if a dividend will be paid in 3 years and that it will be sustainable.
X
Income/ dividend checks
We assess Horizon Bancorp's dividend by checking for:
  1. Firstly is the company paying a notable dividend (greater than 0.8%) - if not then the rest of the checks are ignored.
  2. Is current dividend yield above the bottom 25% of dividend payers? (1 check)
  3. Is current dividend yield above the top 25% of dividend payers? (1 check)
  4. Have they paid a dividend for 10 years, and during this period has the dividend been volatile (drop of more than 25%)? (1 check)
  5. If they have paid a dividend for 10 years has it increased in this time? (1 check)
  6. How sustainable is the dividend, can Horizon Bancorp afford to pay it from its earnings today and in 3 years (Payout ratio less than 90%)? (2 checks)
  7. Horizon Bancorp has a total score of 4/6, see the detailed checks below.


Full details on the Dividends part of the Simply Wall St company analysis model.

HBNC Management

 What is the CEO of Horizon Bancorp's salary, the management and board of directors tenure and is there insider trading?

Management is one of the most important areas of a company. We look at unreasonable CEO compensation, how long the team and board of directors have been around for and insider trading.
CEO
Craig Dwight
COMPENSATION $1,163,495
AGE 62
TENURE AS CEO 18 years
CEO Bio

Mr. Craig M. Dwight has been the Chief Executive Officer of Horizon Bancorp, Inc. (formerly, Horizon Bancorp). and its subsidiary, Horizon Bank, N.A. since July 01, 2001. Mr. Dwight served as the President of Horizon Bancorp, Inc. since December 1998. He served as the Chief Administrative Officer of Horizon Bancorp, Inc. since December 1998. He served as Senior Lender and Vice President of Horizon Bank, N.A. since 1997. He served as an Executive Vice President of Horizon Bancorp, Inc. and the Horizon Bank N.A. since October 1998. He has been the Chairman of Horizon Bank, N.A. since January 2003 and Horizon Bancorp, Inc. since July 01, 2014. He has been a Director of Horizon Bancorp, Inc. since December 15, 1998 and Horizon Bank N.A. since 1998. He served as President of the Horizon Bank from 1998 to January 2003. Mr. Dwight has extensive knowledge and experience in banking, credit underwriting, balance sheet management, liquidity management, finance, accounting and banking rules and regulations. In addition, Mr. Dwight has considerable knowledge of the local business, municipal and not-for-profit communities. Mr. Dwight has served in leadership roles with a considerable number of local not-for-profit organizations, including leading several fund raising campaigns. He has a business degree with a concentration in accounting.

CEO Compensation
  • Craig's compensation has been consistent with company performance over the past year, both up more than 20%.
  • Craig's remuneration is lower than average for companies of similar size in United States of America.
Management Team Tenure

Average tenure and age of the Horizon Bancorp management team in years:

5.5
Average Tenure
59
Average Age
  • The average tenure for the Horizon Bancorp management team is over 5 years, this suggests they are a seasoned and experienced team.
Management Team

Craig Dwight

TITLE
Chairman & CEO
COMPENSATION
$1M
AGE
62
TENURE
18 yrs

Jim Neff

TITLE
President
COMPENSATION
$722K
AGE
59
TENURE
1.5 yrs

Mark Secor

TITLE
Executive VP & CFO
COMPENSATION
$515K
AGE
53
TENURE
10.5 yrs

Kathie DeRuiter

TITLE
Executive Vice President
COMPENSATION
$451K
AGE
57
TENURE
5.5 yrs

Dennis Kuhn

TITLE
Executive Vice President
COMPENSATION
$430K
AGE
59
TENURE
1.8 yrs

Dona Lucker

TITLE
Shareholder Relations Officer & Executive Assistant
TENURE
4.5 yrs

Todd Etzler

TITLE
Corporate Secretary & General Counsel

Daniel Buresh

TITLE
Asst. Chief Accounting Officer & Asst. Treasurer
AGE
60
TENURE
20.5 yrs
Board of Directors Tenure

Average tenure and age of the Horizon Bancorp board of directors in years:

8.1
Average Tenure
64
Average Age
  • The tenure for the Horizon Bancorp board of directors is about average.
Board of Directors

Craig Dwight

TITLE
Chairman & CEO
COMPENSATION
$1M
AGE
62
TENURE
5 yrs

Robert Dabagia

TITLE
Chairman Emeritus
COMPENSATION
$75K
AGE
80
TENURE
6.1 yrs

Susan Aaron

TITLE
Director
COMPENSATION
$65K
AGE
64
TENURE
24.5 yrs

Peter Pairitz

TITLE
Director
COMPENSATION
$62K
AGE
63
TENURE
18.5 yrs

Steven Reed

TITLE
Director
COMPENSATION
$68K
AGE
56
TENURE
5.2 yrs

Daniel Hopp

TITLE
Lead Director
COMPENSATION
$70K
AGE
71
TENURE
6 yrs

Spero Valavanis

TITLE
Director
COMPENSATION
$62K
AGE
66
TENURE
19.5 yrs

James Dworkin

TITLE
Director
COMPENSATION
$62K
AGE
70
TENURE
15.8 yrs

Lawrence Burnell

TITLE
Director
COMPENSATION
$64K
AGE
64
TENURE
10.2 yrs

Michele Magnuson

TITLE
Director
COMPENSATION
$60K
AGE
59
TENURE
3 yrs
Who owns this company?
Recent Insider Trading
  • More shares have been bought than sold by Horizon Bancorp individual insiders in the past 3 months.
Recent Insider Transactions
Announced Type Name Entity Role Start End Shares Max Price ($) Value ($)
07. Jun 19 Buy James Neff Individual 07. Jun 19 07. Jun 19 800 $15.73 $12,584
30. May 19 Buy James Neff Individual 29. May 19 29. May 19 3,500 $15.77 $55,195
07. Dec 18 Buy James Neff Individual 06. Dec 18 06. Dec 18 3,000 $16.25 $48,750
20. Nov 18 Buy Steven Reed Individual 19. Nov 18 19. Nov 18 1,100 $17.01 $18,711
29. Aug 18 Sell Larry Middleton Individual 27. Aug 18 28. Aug 18 -2,500 $20.79 $-51,720
15. Aug 18 Sell Dennis Kuhn Individual 14. Aug 18 14. Aug 18 -591 $20.90 $-12,352
X
Management checks
We assess Horizon Bancorp's management by checking for:
  1. Is the CEO's compensation unreasonable compared to market cap? (1 check)
  2. Has the CEO's compensation increased more than 20% whilst the EPS is down more then 20%? (1 check)
  3. Is the average tenure of the management team less than 2 years? (1 check)
  4. Is the average tenure of the board of directors team less than 3 years? (1 check)
  5. Horizon Bancorp has a total score of 0/6, this is not included on the snowflake, see the detailed checks below.


Note: We use the top 6 management executives and board members in our calculations.

Note 2: Insider trading include any internal stakeholders and these transactions .

Full details on the Management part of the Simply Wall St company analysis model.

HBNC News

Simply Wall St News

Shareholders Are Loving Horizon Bancorp, Inc.'s (NASDAQ:HBNC) 3.0% Yield

(NASDAQ:HBNC) be an attractive dividend share to own for the long haul? Investors are often drawn to strong companies with the idea of reinvesting the dividends. Unfortunately, it's common for investors to be enticed in by the seemingly attractive yield, and lose money when the company has to cut its dividend payments. In this case, Horizon Bancorp likely looks attractive to investors, given its 3.0% dividend yield and a payment history of over ten years. It would not be a surprise to discover that many investors buy it for the dividends. Before you buy any stock for its dividend however, you should always remember Warren Buffett's two rules: 1) Don't lose money, and 2) Remember rule #1. … Dividend Growth Potential While dividend payments have been relatively reliable, it would also be nice if earnings per share (EPS) were growing, as this is essential to maintaining the dividend's purchasing power over the long term. … Conclusion To summarise, shareholders should always check that Horizon Bancorp's dividends are affordable, that its dividend payments are relatively stable, and that it has decent prospects for growing its earnings and dividend.

Simply Wall St -

Is It Time To Consider Buying Horizon Bancorp, Inc. (NASDAQ:HBNC)?

Let’s take a look at Horizon Bancorp’s outlook and value based on the most recent financial data to see if there are any catalysts for a price change. … What does the future of Horizon Bancorp look like? … With a positive outlook on the horizon, it seems like this growth has not yet been fully factored into the share price.

Simply Wall St -

Read This Before Buying Horizon Bancorp, Inc. (NASDAQ:HBNC) Shares

See our latest analysis for Horizon Bancorp Horizon Bancorp Insider Transactions Over The Last Year In the last twelve months, the biggest single sale by an insider was when the Chairman &amp; CEO, Craig Dwight, sold US$71k worth of shares at a price of US$20.90 per share. … Does Horizon Bancorp Boast High Insider Ownership? … So What Do The Horizon Bancorp Insider Transactions Indicate?

Simply Wall St -

Do You Know What Horizon Bancorp, Inc.'s (NASDAQ:HBNC) P/E Ratio Means?

Check out our latest analysis for Horizon Bancorp How Do I Calculate A Price To Earnings Ratio? … The formula for P/E is: Price to Earnings Ratio = Price per Share ÷ Earnings per Share (EPS) Or for Horizon Bancorp: P/E of 12.33 = $16.39 ÷ $1.33 (Based on the trailing twelve months to March 2019.) Is A High Price-to-Earnings Ratio Good? … The exact same company would hypothetically deserve a higher P/E ratio if it had a strong balance sheet, than if it had a weak one with lots of debt, because a cashed up company can spend on growth.

Simply Wall St -

Is Horizon Bancorp, Inc.'s (NASDAQ:HBNC) CEO Paid Enough Relative To Peers?

Craig Dwight became the CEO of Horizon Bancorp, Inc. … This report will, first, examine the CEO compensation levels in comparison to CEO compensation at companies of similar size. … How Does Craig Dwight's Compensation Compare With Similar Sized Companies?

Simply Wall St -

Horizon Bancorp (NASDAQ:HBNC) Shareholders Booked A 70% Gain In The Last Five Years

To wit, the Horizon Bancorp share price has climbed 70% in five years, easily topping the market return of 51% (ignoring dividends). … One way to examine how market sentiment has changed over time is to look at the interaction between a company's share price and its earnings per share (EPS). … During five years of share price growth, Horizon Bancorp achieved compound earnings per share (EPS) growth of 6.6% per year.

Simply Wall St -

Are You An Income Investor? Don't Miss Out On Horizon Bancorp, Inc. (NASDAQ:HBNC)

(NASDAQ:HBNC) has pleased shareholders over the past 10 years, by paying out dividends. … Let's take a look at Horizon Bancorp in more detail. … View our latest analysis for Horizon Bancorp

Simply Wall St -

Do Directors Own Horizon Bancorp, Inc. (NASDAQ:HBNC) Shares?

Insiders often own a large chunk of younger, smaller, companies while huge companies tend to have institutions as shareholders. … We also tend to see lower insider ownership in companies that were previously publicly owned. … We can zoom in on the different ownership groups, to learn more about HBNC

Simply Wall St -

Why Horizon Bancorp, Inc. (NASDAQ:HBNC) May Not Be As Risky Than You Think

As a small-cap bank with a market capitalisation of US$673m, Horizon Bancorp, Inc.’s (NASDAQ:HBNC) profit and value are directly affected by economic activity. … Risk associate with repayment is measured by the level of bad debt which is an expense written off Horizon Bancorp’s bottom line. … Today we will analyse Horizon Bancorp’s level of bad debt and liabilities in order to understand the risk involved with investing in the bank.

Simply Wall St -

What You Should Know About Horizon Bancorp, Inc.’s (NASDAQ:HBNC) Liquidity

As a small-cap finance stock with a market capitalisation of US$649m, the risk and profitability of Horizon Bancorp, Inc. … The Basel III reforms are aimed at banking regulations to improve financial institutions’ ability to absorb shocks caused by economic stress which could expose banks like Horizon Bancorp to vulnerabilities. … High liquidity and low leverage could position Horizon Bancorp favourably at the face of macro headwinds.

Simply Wall St -

HBNC Company Info

Description

Horizon Bancorp, Inc. operates as the bank holding company for Horizon Bank that provides commercial and retail banking services. The company offers demand and time deposits. Its loan portfolio comprises commercial, residential real estate, mortgage warehouse, and consumer loans. The company also provides corporate and individual trust and agency, investment management, and real estate investment trust services; and sells various insurance products. It operates through a network of 63 full service offices and 3 loan and deposit production offices in Northern and Central regions of Indiana, as well as Southern, Central, and Great Lakes bay regions of Michigan. Horizon Bancorp, Inc. was founded in 1873 and is headquartered in Michigan City, Indiana.

Details
Name: Horizon Bancorp, Inc.
HBNC
Exchange: NasdaqGS
Founded: 1873
$725,799,754
45,052,747
Website: http://www.horizonbank.com
Address: Horizon Bancorp, Inc.
515 Franklin Street,
Michigan City,
Indiana, 46360,
United States
Listings
Exchange Symbol Ticker Symbol Security Exchange Country Currency Listed on
NasdaqGS HBNC Common Stock Nasdaq Global Select US USD 03. Aug 1987
Number of employees
Current staff
Staff numbers
716
Horizon Bancorp employees.
Industry
Regional Banks
Banks
Company Analysis and Financial Data Status
Area Date (UTC time)
Company Analysis updated: 2019/07/16 23:37
End of day share price update: 2019/07/16 00:00
Last estimates confirmation: 2019/07/09
Last earnings filing: 2019/05/09
Last earnings reported: 2019/03/31
Last annual earnings reported: 2018/12/31


All dates and times in UTC. All financial data provided by Standard & Poor’s Capital IQ.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.