Company Overview - First Busey (BUSE) shares increased by 5.7% to close at $20.47, following a notable trading volume that exceeded typical levels, contrasting with an 8.9% loss over the past four weeks [1] - The stock surge was influenced by a broader market increase, particularly after President Trump's announcement of a 90-day tariff pause for non-retaliating nations, which positively impacted investor sentiment [2] Earnings Expectations - First Busey is projected to report quarterly earnings of $0.53 per share, reflecting a year-over-year increase of 12.8% [2] - Expected revenues for the upcoming report are $138.14 million, representing a 24.7% increase compared to the same quarter last year [2] Earnings Estimate Revisions - The consensus EPS estimate for First Busey has been revised 0.5% higher in the last 30 days, indicating a positive trend that typically correlates with stock price appreciation [4] - Empirical research suggests that trends in earnings estimate revisions are strongly linked to near-term stock price movements, highlighting the importance of monitoring these revisions [3] Industry Context - First Busey operates within the Zacks Banks - Midwest industry, where Park National (PRK) also resides, having closed 7.4% higher at $153.62, despite a -6% return over the past month [4] - Park National's consensus EPS estimate remains unchanged at $2.20, indicating a year-over-year change of 2.3%, and it currently holds a Zacks Rank of 2 (Buy) [5]

Core Viewpoint - First Busey (BUSE) has been upgraded to a Zacks Rank 2 (Buy), indicating a positive outlook on its earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Price Impact - The Zacks rating system emphasizes the importance of earnings estimate revisions, which are strongly correlated with near-term stock price movements [4][6]. - An increase in earnings estimates typically leads to higher fair value calculations by institutional investors, resulting in buying or selling pressure that affects stock prices [4]. Company Performance and Outlook - For the fiscal year ending December 2025, First Busey is projected to earn $2.55 per share, reflecting a 22.6% increase from the previous year [8]. - Over the past three months, the Zacks Consensus Estimate for First Busey has risen by 2.9%, indicating a positive trend in earnings expectations [8]. Zacks Rating System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with only the top 20% receiving a 'Strong Buy' or 'Buy' rating, highlighting their potential for market-beating returns [9][10]. - The upgrade of First Busey to a Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, suggesting a favorable outlook for the stock's performance in the near term [10].

Core Viewpoint - First Busey Corporation has successfully completed its acquisition of CrossFirst Bankshares, enhancing its market presence and operational scale in the banking sector [1][2]. Transaction Details - The merger was effective on March 1, 2025, with CrossFirst shareholders receiving 0.6675 shares of Busey common stock for each share of CrossFirst [5]. - CrossFirst shareholders will own approximately 36.5% of the combined company on a fully-diluted basis [7]. - The combined entity will operate under the Busey brand, with a total of approximately $20 billion in assets, $17 billion in deposits, and $15 billion in loans [2]. Operational Strategy - Busey will maintain CrossFirst Bank as a separate subsidiary until its merger with Busey Bank, expected in June 2025 [2]. - The merger aims to extend Busey's regional operating model into high-growth metro markets, enhancing commercial banking relationships and wealth management opportunities [3]. Leadership and Governance - The Board of Directors will consist of 13 members, with eight from Busey and five from CrossFirst [5]. - Key leadership includes Van Dukeman as Chairman and CEO, and Mike Maddox as Vice Chairman and President [6]. Financial Position - Busey Bank had total assets of $12.01 billion as of December 31, 2024, while CrossFirst Bank had total assets of $7.7 billion [9]. - The combined company will leverage Busey's strong balance sheet, characterized by exceptional credit quality and diversified revenue streams [4]. Market Recognition - Busey Bank has been recognized among the World's Best Banks for 2024 by Forbes and has received multiple accolades for its workplace culture and community engagement [12].

Company Overview - First Busey Corporation is a financial holding company with total assets of $12.05 billion as of December 31, 2024[17]. - Busey Bank operates 50 banking centers in Illinois, eight in Missouri, three in southwest Florida, and one in Indianapolis, Indiana[18]. - As of December 31, 2024, Busey Bank managed $13.83 billion in assets under care through its Wealth Management business[21]. - Busey has a total of 1,509 full-time equivalents as of December 31, 2024, with the majority (1,202) located in Illinois[41]. Mergers and Acquisitions - The company completed the acquisition of Merchants and Manufacturers Bank Corporation on April 1, 2024, expanding its market presence[23]. - A merger agreement with CrossFirst Bankshares, Inc. is planned for March 1, 2025, which will create a combined entity with approximately $20 billion in assets[24]. - Following the merger, Busey stockholders will own approximately 63.5% of the combined company, while CrossFirst stockholders will own about 36.5%[26]. - Busey incurred one-time pretax acquisition-related expenses of $3.9 million in 2024 related to the CrossFirst merger[28]. - Busey completed the acquisition of Merchants and Manufacturers Bank Corporation on April 1, 2024, enhancing its service offerings and expanding its presence in the suburban Chicago market[29]. Market Position and Competition - As of June 30, 2024, Busey Bank ranked fourth in total deposits among 355 financial institutions in Illinois, with a market share ranking of 1 in Champaign and 2 in Macon and Madison counties[36]. - Busey Bank faces substantial competition for deposits from various financial institutions, influencing its strategies for attracting customers through competitive rates and quality service[35]. - Busey operates in a highly competitive environment, facing challenges from both traditional banks and fintech companies, which could impact its market share and profitability[185][186]. Financial Performance - Net interest income (GAAP) for 2024 was $322,611,000, slightly up from $320,621,000 in 2023[130]. - Total noninterest income (GAAP) increased to $139,682,000 in 2024 from $121,214,000 in 2023, representing a growth of approximately 15.2%[130]. - Adjusted net income (Non-GAAP) for 2024 was $119,805,000, compared to $126,012,000 in 2023, indicating a decrease of about 4.3%[132]. - Average total assets (GAAP) decreased to $12,051,871,000 in 2024 from $12,246,218,000 in 2023[132]. - Return on average assets (GAAP) for 2024 was 0.94%, down from 1.00% in 2023[132]. - Total noninterest expense (GAAP) rose to $300,399,000 in 2024 from $285,532,000 in 2023, an increase of approximately 5.0%[136]. Regulatory Compliance - Busey crossed the $10 billion asset threshold in 2020, which subjects it to additional regulatory requirements under the Dodd-Frank Act[51]. - The Durbin Amendment, applicable to Busey Bank since July 1, 2022, has reduced earnings on covered debit transactions due to maximum permissible interchange fees[51]. - Busey Bank is well-capitalized as of December 31, 2024, exceeding Federal Reserve requirements and meeting Basel III Rule standards[70]. - The Basel III Rule requires a Common Equity Tier 1 Capital ratio of 7% including a capital conservation buffer, with Busey Bank maintaining compliance[65]. - Busey Bank is under the oversight of the CFPB for consumer banking transactions, ensuring compliance with consumer laws[54]. - The Volcker Rule does not materially affect Busey's operations as it does not engage in prohibited activities[53]. Risk Management - The liquidity risk management framework is crucial for Busey Bank, especially in light of recent financial industry stress events[94]. - Busey Bank established a risk committee in 2018 to oversee risk matters in preparation for future growth, despite not being required to do so yet[56]. - The effectiveness of Busey's risk management framework is critical, especially in light of the planned CrossFirst merger, as new risks may emerge during integration[205]. - The company has established rigorous underwriting standards to mitigate credit risks, but elevated interest rates and inflation could lead to increased non-performing loans and higher provisions for credit losses[170][171]. Economic and Market Risks - Economic uncertainties, including inflation and geopolitical tensions, may adversely affect the company's financial condition and growth prospects[156]. - The company anticipates that prolonged elevated interest rates followed by easing cycles could create financial volatility impacting its operations[159]. - Busey is facing heightened regulatory scrutiny due to its growing asset size and complexity, particularly with the planned acquisition of CrossFirst, which may increase compliance burdens[165]. Technological and Operational Challenges - The company must continuously invest in technological innovations to remain competitive and meet evolving customer expectations, or risk losing market share[186][187]. - Ongoing technological investments enhance operational efficiency but also introduce cybersecurity risks, necessitating robust security protocols and incident response plans[207][210]. - Busey has implemented AI-powered tools for fraud detection, enhancing its ability to manage cybersecurity threats proactively[210]. Community and Social Responsibility - The Community Reinvestment Act (CRA) requires Busey Bank to meet the credit needs of the entire community, including low- and moderate-income neighborhoods, with regular assessments impacting its activities[111]. - Busey Bank's CRA ratings can significantly impact its ability to engage in acquisitions and maintain its financial holding company status[111].

Core Viewpoint - The article emphasizes the importance of value investing and highlights First Busey (BUSE) as a strong candidate for value investors due to its attractive valuation metrics and earnings outlook [2][4][7] Company Analysis - First Busey (BUSE) has a Zacks Rank of 2 (Buy) and an A grade for Value, indicating strong potential for value investors [4][7] - The stock is currently trading at a P/E ratio of 9.37, significantly lower than the industry average of 11.98 [4] - BUSE's Forward P/E has fluctuated between 8.83 and 12.76 over the past 52 weeks, with a median of 10.59 [4] Valuation Metrics - BUSE has a P/B ratio of 1, which is attractive compared to the industry average P/B of 2.16 [5] - The P/B ratio for BUSE has ranged from 0.89 to 1.21 in the past year, with a median of 1.01 [5] - The P/CF ratio for BUSE stands at 9.33, well below the industry average of 15.65, indicating potential undervaluation [6] - Over the past 52 weeks, BUSE's P/CF has varied between 7.13 and 10.66, with a median of 9.20 [6] Investment Outlook - The combination of BUSE's favorable valuation metrics and strong earnings outlook positions it as one of the strongest value stocks in the market [7]

Company Overview - First Busey (BUSE) is headquartered in Champaign and operates in the Finance sector, with a stock price change of 6.28% since the beginning of the year [3] - The company currently pays a dividend of $0.25 per share, resulting in a dividend yield of 3.99%, which is higher than the Banks - Midwest industry's yield of 2.9% and the S&P 500's yield of 1.54% [3] Dividend Performance - The current annualized dividend of $1 represents a 4.2% increase from the previous year, with First Busey having increased its dividend three times over the past five years, averaging an annual increase of 2.11% [4] - The company's current payout ratio is 46%, indicating that it paid out 46% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - For the fiscal year, First Busey anticipates solid earnings growth, with the Zacks Consensus Estimate for 2025 projected at $2.61 per share, reflecting a year-over-year earnings growth rate of 25.48% [5] Investment Appeal - First Busey is considered an attractive dividend play and a compelling investment opportunity, currently holding a Zacks Rank of 2 (Buy) [7]

Company Performance - First Busey (BUSE) has shown a year-to-date performance increase of approximately 6.3%, outperforming the Finance sector's average return of 5.6% [4] - The Zacks Consensus Estimate for First Busey's full-year earnings has risen by 5.3% over the past quarter, indicating improved analyst sentiment and earnings outlook [3] - First Busey is ranked 10 in the Zacks Industry Rank within the Banks - Midwest industry, which has an average gain of 4.4% this year, further highlighting its strong performance [5] Sector and Industry Context - The Finance sector, which includes 870 companies, currently holds the 1 position in the Zacks Sector Rank, reflecting overall strength [2] - Palomar (PLMR), another Finance stock, has significantly outperformed the sector with a year-to-date return of 18.4% [4] - The Insurance - Property and Casualty industry, to which Palomar belongs, is ranked 86 and has seen a 5% increase this year, contrasting with the stronger performance of First Busey in its respective industry [6]

Core Viewpoint - The article emphasizes the importance of value investing and highlights specific stocks, First Busey (BUSE) and Eagle Bancorp Montana (EBMT), as strong value opportunities based on their financial metrics [2][9]. Company Analysis: First Busey (BUSE) - BUSE has a Zacks Rank of 2 (Buy) and an A for Value, indicating strong potential as a value stock [4]. - The stock's P/E ratio is 9.73, significantly lower than the industry average of 12.22, suggesting it may be undervalued [4]. - BUSE's P/B ratio stands at 0.99, compared to the industry's average of 2.20, further indicating attractive valuation [5]. - The P/S ratio for BUSE is 2.08, which is comparable to the industry's average of 2.09, showing consistent sales performance [6]. - The P/CF ratio is 9.37, much lower than the industry's average of 17.57, highlighting strong cash flow relative to its valuation [7]. Company Analysis: Eagle Bancorp Montana (EBMT) - EBMT also holds a Zacks Rank of 2 (Buy) and a Value grade of A, marking it as a strong value investment [8]. - The P/B ratio for EBMT is 0.69, significantly lower than the industry average of 2.20, indicating potential undervaluation [8]. Summary of Value Metrics - Both BUSE and EBMT exhibit strong value characteristics, with low P/E, P/B, and P/CF ratios compared to their industry averages, suggesting they are likely undervalued stocks with solid earnings outlooks [9].

All investors love getting big returns from their portfolio, whether it's through stocks, bonds, ETFs, or other types of securities. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.Cash flow can come from bond interest, interest from other types of investments, and of course, dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric that measures a dividend ...

F I R S T B U S E Y C O R P O R A T I O N A N N O U N C E S 2 0 2 4 F O U R T H Q U A R T E R E A R N I N G S Q 4 | 2 0 2 4 January 28, 2025 First Busey Corporation Announces 2024 Fourth Quarter Earnings CHAMPAIGN, IL – (GLOBE NEWSWIRE) – First Busey Corporation (Nasdaq: BUSE) Net Income of $28.1 million Diluted EPS of $0.49 FOURTH QUARTER 2024 HIGHLIGHTS For additional information, please refer to the 4Q24 Earnings Investor Presentation. MESSAGE FROM OUR CHAIRMAN & CEO Fourth Quarter Financial Results Net ...