Last Updated: 19 Sep 2024
Executive Summary
First Busey Corp. (BUSE) is a mid-sized regional bank holding company with a market capitalization of $1.51 billion. The company has a strong financial position with a healthy balance sheet and a track record of consistent earnings growth. BUSE is currently trading at a discount to its peers and has a favorable analyst rating.
Company Overview
First Busey Corp. is the banking holding company for Busey Bank, which offers retail and commercial banking products and services to individual, corporate, institutional, and government clients in the United States. The company is headquartered in Champaign, Illinois, and has a network of over 50 branches and 100 ATMs in Illinois, Indiana, and Missouri.
Fundamental Analysis
Earnings: BUSE has a history of consistent earnings growth. In the past five years, the company's earnings per share (EPS) have grown at an average annual rate of 10%.
Revenue: BUSE's revenue has also grown steadily in recent years. In the past five years, the company's revenue has grown at an average annual rate of 5%.
Profitability: BUSE has a strong track record of profitability. The company's net income margin has averaged 10% over the past five years.
Balance Sheet: BUSE has a healthy balance sheet with a low level of debt. The company's debt-to-equity ratio is 0.5, which is below the industry average.
Technical Analysis
Price: BUSE is currently trading at $26.75, which is below its 52-week high of $28.97. The stock has been in a downtrend since early 2023.
Moving Averages: BUSE's 50-day moving average is $26.2 and its 200-day moving average is $24.04. The stock is currently trading below both of its moving averages.
Relative Strength Index (RSI): The RSI is a momentum indicator that measures the magnitude of recent price changes. BUSE's RSI is currently 35, which is in the oversold range. This suggests that the stock may be due for a rebound.
Short Term Outlook
In the short term, BUSE is likely to continue trading in a range between $25 and $28. The stock is currently oversold and may be due for a rebound. However, the overall market trend is negative, which could weigh on BUSE's share price.
Long Term Outlook
In the long term, BUSE is expected to continue to grow its earnings and revenue. The company has a strong competitive position in its markets and is well-positioned to benefit from the growing demand for banking services.
Analyst Recommendations
Analysts are generally bullish on BUSE. The average analyst rating is "Buy" and the average analyst target price is $31.33.
Conclusion
First Busey Corp. is a solid investment for long-term investors. The company has a strong financial position, a track record of consistent earnings growth, and a favorable analyst rating. The stock is currently trading at a discount to its peers and is expected to continue to grow in the future.
