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/OSBC
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Old Second Bancorp Inc

Old Second Bancorp Inc

OSBC
$25.58USD↑+0.20%+0.05 today

MARKET CAP

1.3B

P/E (TTM)

15.5x

FWD P/E

—

DAY RANGE

$25 – $26

52W RANGE

$17
$26

AI Summary

Stalk
StalkMedium

OSBC sits at 52-week highs but the active Bullish Exhaustion pattern and extreme overbought readings point to a likely short-term pullback. The medium-term Stage 2 advance—with higher highs and lows above rising EMAs—remains intact, supporting a bullish bias. We will stalk for a clean pullback into the rising 9/20 EMA support band for a low-risk entry under a COMP accumulation approach.

  • ↑Q2 net income $28.2M (EPS $0.54) and ROA 1.65% demonstrate strong profitability
  • ↑Net interest margin improved to 5.23%; tangible book value rose to $14.77
  • ↓Net charge-offs of $9.2M in PowerSports and CRE signal asset quality risks
Full analysis →

The case for & against

Bull & Bear analysis

Bullish

Old Second Bancorp (NASDAQ: OSBC) is a community bank based in Illinois, primarily offering a range of financial services including commercial lending, retail banking, and mortgage services. The bank has recently integrated Evergreen Bank, positioning itself to enhance its operational capabilities and market share amid a competitive financial environment. The company is well-established within its regional market and focuses on strengthening community relationships while navigating challenges posed by interest rate fluctuations and market volatility.

Bull says

  • ↑Q2 net income $28.2M (EPS $0.54) and ROA 1.65% demonstrate strong profitability
  • ↑Net interest margin improved to 5.23%; tangible book value rose to $14.77
  • ↑Evergreen Bank integration enhances service offerings and tangible equity ratio
  • ↑Repurchased 732,000 shares at $21.08 average, underscoring capital return focus
  • ↑Total loans grew by $60.6M in Q2; targeting mid-single-digit growth by 2026
  • ↑High earnings yield, solid book-to-price, manageable leverage, and positive momentum

Bear says

  • ↓Net charge-offs of $9.2M in PowerSports and CRE signal asset quality risks
  • ↓Analyst revisions turned negative, tempering future earnings outlook
  • ↓Rising operational costs (inflation, benefits) may pressure efficiency ratio
  • ↓Fierce competition in commercial lending could compress interest margins
  • ↓Weak profitability factor and high short interest reflect investor skepticism

Investment themes with OSBC

Regional Banks↓ -1.16%

FLG · TCBI · ZION

Earnings Call · Q2 2025 · Mgmt. Guidance

Updated 08-01-2026neutral

Transcript signals

Bull points

  • Net income was $21.8 million, or $0.48 per diluted share in the second quarter, reflecting strong profitability despite some merger-related expenses.
  • The tangible equity ratio increased by 49 basis points from last quarter, from 10.34% to 10.83%, and has increased by 144 basis points over the like period one year ago.
  • We feel really good both about profitability and our balance sheet positioning at this point.

Bear points

  • Second quarter earnings were significantly impacted by a couple of items, including a $531,000 MSR mark-to-market loss and an $810,000 charge in merger-related expenses related to the bank court financial merger.
  • Total cost of deposits was 84 basis points for the second quarter compared to 82 basis points for both the prior quarter and for the second quarter of last year.
  • We recorded a $1.2 million increase in loan charge-offs in the second quarter of 2025, primarily associated with a single C&I credit.
Read full transcript analysis ›