Is PRK a good long-term investment after 2024?

Park National (PRK) appears to be a solid long-term investment, and here's why:

1. Stable Financial Performance: PRK has demonstrated strong financial performance, with a reported net income of $38.63 million and a total revenue of $134.51 million in the most recent quarter ending on December 31, 2024. The company's revenue growth rate was 21.63%, indicating a healthy business expansion.
2. Consistent Growth: Over the past 3 years, PRK has shown a compound annual growth rate (CAGR) of 3.82% for revenue, 1.03% for net income, and 1.42% for diluted EPS. Although these rates are modest, they suggest a consistent upward trend in the company's financial metrics.

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PRK Total Revenue, Net Income...

3. Attractive Valuation: PRK's price-to-earnings (P/E) ratio is 15.26, which is relatively moderate and suggests that the stock is not overvalued. The P/S ratio of 4.44 also indicates a reasonable valuation in relation to the company's revenue generation.

PRK P/E(TTM), Price to Book Ratio

4. Dividend Yield: PRK offers a dividend yield of 3.32%, which is a decent return for investors who prioritize income. Dividend yields are particularly attractive for long-term investors as they provide a consistent stream of income.

PRK Dividend Yield (TTM)

5. Recent Analyst Ratings: Despite a downgrade from Piper Sandler in 2023, which lowered the rating to Underweight, other analysts have maintained a positive outlook on PRK. A Hold rating was issued in 2023, indicating that the stock is considered stable despite the recent correction. Additionally, insider acquisitions by Virtu Financial LLC suggest confidence in the company's future.
6. Financial Resilience: PRK's financial resilience is evident from its unutilized funding sources, including $2.74 billion in Fed Funds sold and FHLB borrowing capacity. This financial strength is a positive indicator for long-term investors.

In conclusion, PRK's solid financial performance, consistent growth, attractive valuation, and dividend yield, along with recent analyst ratings and insider activity, make it a promising long-term investment after 2024. However, investors should consider their individual risk tolerance and investment goals before making any investment decisions.