Company Overview - First Busey (BUSE) is based in Champaign and operates in the Finance sector, with a year-to-date share price change of -15.15% [3] - The company currently pays a dividend of $0.25 per share, resulting in a dividend yield of 5%, which is significantly higher than the Banks - Midwest industry's yield of 3.6% and the S&P 500's yield of 1.68% [3] Dividend Analysis - First Busey's current annualized dividend of $1 represents a 4.2% increase from the previous year [4] - Over the past five years, the company has increased its dividend three times, averaging an annual increase of 2.21% [4] - The company's payout ratio stands at 46%, indicating that it distributes 46% of its trailing 12-month earnings per share as dividends [4] Earnings Growth Expectations - The Zacks Consensus Estimate for First Busey's earnings in 2025 is projected at $2.54 per share, reflecting a year-over-year earnings growth rate of 22.12% [5] Investment Considerations - First Busey is positioned as a compelling investment opportunity due to its strong dividend profile and current Zacks Rank of 3 (Hold) [7]

Company Overview - First Busey (BUSE) is expected to report quarterly earnings of $0.53 per share, reflecting a year-over-year increase of +12.8% [3] - Revenues are anticipated to reach $138.14 million, which is a 24.7% increase from the same quarter last year [3] Earnings Expectations - The consensus EPS estimate has been revised 0.54% higher in the last 30 days, indicating a positive reassessment by analysts [4] - The Most Accurate Estimate for First Busey matches the Zacks Consensus Estimate, resulting in an Earnings ESP of 0% [10][11] Earnings Surprise History - In the last reported quarter, First Busey exceeded the expected earnings of $0.52 per share by delivering $0.53, resulting in a surprise of +1.92% [12] - Over the past four quarters, the company has beaten consensus EPS estimates three times [13] Industry Comparison - Huntington Bancshares (HBAN), another player in the Zacks Banks - Midwest industry, is expected to report earnings of $0.31 per share, a year-over-year increase of +10.7% [17] - Revenues for Huntington Bancshares are projected to be $1.9 billion, up 7.3% from the previous year [17] - The consensus EPS estimate for Huntington Bancshares has been revised down by 1.8% over the last 30 days, resulting in an Earnings ESP of -2.16% [18]

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].