(OZK) Bank Ozk - Ratings and Ratios

Bank OZK, operating as a full-service Arkansas state-chartered bank, provides comprehensive retail and commercial banking services across the United States. Established in 1903 and headquartered in Little Rock, Arkansas, the bank offers a diverse range of deposit services, including non-interest-bearing checking, interest-bearing transaction accounts, business sweep accounts, savings, money market, individual retirement, and other deposit products, along with time and reciprocal deposits. Its trust and wealth services encompass personal trusts, custodial accounts, investment management, and retirement accounts, as well as corporate trust services such as trustee, paying agent, and registered transfer agent services. Additionally, the bank delivers treasury management solutions, including ACH, wire transfer, transaction reporting, wholesale lockbox, remote deposit capture, credit line transfers, reconciliation, positive pay, commercial card services, and zero balance and investment sweep accounts.

The bank’s lending portfolio includes real estate loans, consumer loans, small business loans, indirect recreational vehicle and marine loans, equipment financing, agricultural loans, commercial and industrial loans, government-guaranteed loans, lines of credit, homebuilder financing, and mortgage products. It also provides structured financing services, including business aviation and subscription-based financing solutions. Formerly known as Bank of the Ozarks, the bank rebranded as Bank OZK in July 2018 to reflect its expanded national presence and modernized branding. With a strong focus on community banking and a growing footprint in key markets, Bank OZK has established itself as a prominent regional bank with a reputation for disciplined credit underwriting and a customer-centric approach. Web URL: https://www.ozk.com

As of the latest data, Bank OZK trades under the ticker symbol OZK on the NASDAQ exchange, classified as a common stock in the Regional Banks sub-industry. With a market capitalization of approximately $4.7 billion, the bank demonstrates financial strength and stability. Its current price-to-earnings (P/E) ratio of 6.78 and forward P/E of 7.06 suggest a valuation that may appeal to value investors, while its price-to-book (P/B) ratio of 0.88 indicates a potential undervaluation relative to its book value. The price-to-sales (P/S) ratio of 3.15 reflects its revenue generation capabilities, and a return on equity (RoE) of 12.56 highlights its efficient use of shareholder capital.

3-Month Forecast: - Technical Outlook: - The stock is currently trading above its 20-day SMA (40.28) but slightly below its 50-day (43.64) and 200-day (43.94) SMAs, indicating a neutral to slightly bearish short-term trend. - The Average True Range (ATR) of 1.83 suggests moderate volatility, with potential price swings of 3-5% over the next quarter. - Fundamental Outlook: - The bank’s low P/E ratio (6.78) and P/B ratio (0.88) position it as a value play, particularly in a rising interest rate environment that could benefit net interest margins. - A forward P/E of 7.06 indicates expectations of stable earnings growth, supported by its strong RoE of 12.56. - The P/S ratio of 3.15 reflects its ability to generate revenue, though investors should monitor loan growth and credit quality metrics for sustained performance. - Overall Forecast: - Neutral with a slight upside bias. The stock is likely to trade in a range between $38 and $48 over the next three months, driven by its attractive valuation metrics and stable earnings expectations. - Upside potential is supported by strong fundamental performance, while downside risk is mitigated by its low valuation multiples.