Comparing Midland States Bancorp (MSBI) and Its Peers

Midland States Bancorp (NASDAQ:MSBI) is one of 920 public companies in the “Banks” industry, but how does it compare to its rivals? We will compare Midland States Bancorp to similar companies based on the strength of its profitability, institutional ownership, valuation, dividends, risk, earnings and analyst recommendations.

Dividends

Midland States Bancorp pays an annual dividend of $1.32 per share and has a dividend yield of 4.0%. Midland States Bancorp pays out 58.1% of its earnings in the form of a dividend. As a group, “Banks” companies pay a dividend yield of 9.4% and pay out 28.9% of their earnings in the form of a dividend. Midland States Bancorp has raised its dividend for 1 consecutive years. Midland States Bancorp lags its rivals as a dividend stock, given its lower dividend yield and higher payout ratio.

Profitability

This table compares Midland States Bancorp and its rivals’ net margins, return on equity and return on assets.

	Net Margins	Return on Equity	Return on Assets
Midland States Bancorp	12.80%	16.82%	1.16%
Midland States Bancorp Competitors	15.72%	9.53%	0.93%

Insider and Institutional Ownership

60.9% of Midland States Bancorp shares are owned by institutional investors. Comparatively, 47.8% of shares of all “Banks” companies are owned by institutional investors. 8.6% of Midland States Bancorp shares are owned by insiders. Comparatively, 9.8% of shares of all “Banks” companies are owned by insiders. Strong institutional ownership is an indication that endowments, large money managers and hedge funds believe a company is poised for long-term growth.

Risk and Volatility

Midland States Bancorp has a beta of 0.66, suggesting that its stock price is 34% less volatile than the S&P 500. Comparatively, Midland States Bancorp’s rivals have a beta of 0.61, suggesting that their average stock price is 39% less volatile than the S&P 500.

Valuation and Earnings

This table compares Midland States Bancorp and its rivals gross revenue, earnings per share and valuation.

	Gross Revenue	Net Income	Price/Earnings Ratio
Midland States Bancorp	$476.05 million	-$124.28 million	14.69
Midland States Bancorp Competitors	$54.70 billion	$2.41 billion	16.82

Midland States Bancorp’s rivals have higher revenue and earnings than Midland States Bancorp. Midland States Bancorp is trading at a lower price-to-earnings ratio than its rivals, indicating that it is currently more affordable than other companies in its industry.

Analyst Recommendations

This is a summary of current ratings and price targets for Midland States Bancorp and its rivals, as provided by MarketBeat.com.

	Sell Ratings	Hold Ratings	Buy Ratings	Strong Buy Ratings	Rating Score
Midland States Bancorp	0	6	0	0	2.00
Midland States Bancorp Competitors	7458	30171	27726	1451	2.35

Midland States Bancorp currently has a consensus price target of $32.50, suggesting a potential downside of 2.52%. As a group, “Banks” companies have a potential upside of 15.99%. Given Midland States Bancorp’s rivals stronger consensus rating and higher probable upside, analysts clearly believe Midland States Bancorp has less favorable growth aspects than its rivals.

Summary

Midland States Bancorp rivals beat Midland States Bancorp on 11 of the 15 factors compared.

About Midland States Bancorp

Midland States Bancorp, Inc. operates as a financial holding company for Midland States Bank that provides various banking products and services to individuals, businesses, municipalities, and other entities. It operates through Banking, Wealth Management, and Other segments. The company provides a range of financial products and services to consumers and businesses, including commercial loans to finance agricultural equipment and production; and commercial real estate loans for owner occupied offices, warehouses and production facilities, office buildings, hotels, mixed-use residential and commercial facilities, retail centers, multifamily properties, and assisted living facilities. In addition, it offers construction and land development loans, such as real estate investment properties and residential developments, and lesser extent loans; and residential real estate loans, which includes first and second mortgage loans, and home equity lines of credit consisting of loans secured by first or second mortgages on primarily owner occupied primary residences. The company also provides consumer installment loans for the purchase of cars, boats and other recreational vehicles, as well as for the purchase of major appliances and other home improvement projects; and commercial equipment leasing programs for manufacturing, construction, transportation, and healthcare industries. Further, it offers merchant services; deposit products, including checking, time, savings, money market, and certificates of deposit, as well as sweep accounts; letters of credit; and trust and wealth management services, such as financial and estate planning, trustee and custodial, investment management, tax, insurance, and business planning, corporate retirement plan consulting and administration, and retail brokerage services. The company was founded in 1881 and is headquartered in Effingham, Illinois.