Please ensure Javascript is enabled for purposes of website accessibility

Associated Banc-Corp: 9 Critical Numbers

By John Maxfield - Apr 15, 2013 at 3:37PM

You’re reading a free article with opinions that may differ from The Motley Fool’s Premium Investing Services. Become a Motley Fool member today to get instant access to our top analyst recommendations, in-depth research, investing resources, and more. Learn More

If you own stock in Associated Banc-Corp or are thinking about buying it, then at the very least, you should know these nine critical numbers.

Given that you clicked on this article, it seems safe to assume you either own stock in Associated Banc-Corp. (NASDAQ: ASBC) or are considering buying shares in the near future. If so, then you've come to the right place. The table below reveals the nine most critical numbers that investors need to know about Associated Banc-Corp stock before deciding whether to buy, sell, or hold it.

While Associated is a relatively new company, founded in 1970 when three banks in Northeastern Wisconsin merged, it traces its roots back to 1861 through its branch in Neenah, Wisconsin -- click here to read more about the history of Associated. Following a number of later mergers and acquisitions -- the most significant of which was the merger with First Financial (which itself was a consolidation of multiple Wisconsin-based lenders) -- Associated has grown into a major banking powerhouse in the region. At the end of last year, it boasted $23.5 billion in assets on its balance sheet.

As you can see in the table above, Associated struggles on a number of fronts relative to the 100-plus banks analyzed for this series. Its net interest margin of 3.3% comes in below the sample's average by 40 basis points. Its efficiency ratio comes in markedly higher. And finally, its return on equity under performs its peers despite the fact that it uses more leverage.

On the other side of the equation, Associated derives a healthy 34% of its revenue from noninterest sources, suggesting that it could perform comparatively better if interest rates remain depressed. The bank has also consistently grown its tangible book value over the last few years. And lastly, its net income, while still well below its pre-financial crisis peak, has mounted an impressive reascent over the last three years.

Invest Smarter with The Motley Fool

Join Over 1 Million Premium Members Receiving…

  • New Stock Picks Each Month
  • Detailed Analysis of Companies
  • Model Portfolios
  • Live Streaming During Market Hours
  • And Much More
Get Started Now

Related Articles

Motley Fool Returns

Motley Fool Stock Advisor

Market-beating stocks from our award-winning service.

Stock Advisor Returns
S&P 500 Returns

Calculated by average return of all stock recommendations since inception of the Stock Advisor service in February of 2002. Returns as of 05/17/2022.

Discounted offers are only available to new members. Stock Advisor list price is $199 per year.

Premium Investing Services

Invest better with The Motley Fool. Get stock recommendations, portfolio guidance, and more from The Motley Fool's premium services.