Latest Ratios: P/E Ratio 10.9x · EV/EBITDA 7.8x · ROE 14.3%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $737M | $679M | $736M | $551M | $510M | $521M | $410M | $526M | $498M | $482M | $470M |
| Enterprise Value | $715M | $658M | $741M | $510M | $662M | $521M | $400M | $588M | $493M | $514M | $427M |
| P/E Ratio → | 10.94 | 9.95 | 11.02 | 9.33 | 8.05 | 8.29 | 7.30 | 11.32 | 12.51 | 23.53 | 20.67 |
| P/S Ratio | 2.34 | 2.15 | 2.33 | 1.94 | 2.28 | 2.52 | 1.91 | 2.76 | 2.92 | 3.49 | 3.79 |
| P/B Ratio | 1.48 | 1.35 | 1.62 | 1.36 | 1.47 | 1.31 | 1.05 | 1.50 | 1.47 | 1.82 | 1.89 |
| P/FCF | 10.50 | 9.68 | 13.34 | 7.92 | 5.74 | 5.00 | 7.55 | 17.79 | 12.14 | 14.02 | 23.24 |
| P/OCF | 9.61 | 8.86 | 11.66 | 7.29 | 5.39 | 4.73 | 6.99 | 15.25 | 11.10 | 12.48 | 19.85 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 2.09 | 2.34 | 1.80 | 2.95 | 2.51 | 1.87 | 3.08 | 2.88 | 3.73 | 3.44 |
| EV / EBITDA | 7.84 | 7.21 | 7.96 | 6.10 | 7.47 | 5.82 | 5.09 | 9.22 | 8.93 | 11.33 | 11.19 |
| EV / EBIT | 8.80 | 8.09 | 8.92 | 6.93 | 8.51 | 6.74 | 5.76 | 10.19 | 10.03 | 13.38 | 12.97 |
| EV / FCF | — | 9.37 | 13.42 | 7.34 | 7.44 | 4.99 | 7.37 | 19.91 | 12.00 | 14.97 | 21.08 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 69.6% | 69.6% | 66.9% | 68.3% | 88.7% | 96.3% | 86.5% | 85.6% | 88.9% | 92.5% | 95.5% |
| Operating Margin | 25.8% | 25.8% | 26.3% | 26.0% | 34.7% | 37.3% | 32.4% | 30.3% | 28.8% | 27.8% | 26.5% |
| Net Profit Margin | 21.7% | 21.7% | 21.1% | 20.8% | 28.3% | 30.4% | 26.2% | 24.3% | 23.3% | 14.8% | 18.3% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 14.3% | 14.3% | 15.5% | 15.7% | 17.0% | 16.0% | 15.2% | 13.5% | 13.2% | 8.0% | 9.1% |
| ROA | 1.3% | 1.3% | 1.3% | 1.2% | 1.3% | 1.4% | 1.4% | 1.3% | 1.3% | 0.8% | 0.9% |
| ROIC | 10.2% | 10.2% | 11.2% | 10.0% | 10.8% | 11.5% | 10.7% | 9.8% | 9.7% | 8.9% | 8.3% |
| ROCE | 11.4% | 11.4% | 12.5% | 13.5% | 16.2% | 15.4% | 15.1% | 14.1% | 13.6% | 12.4% | 11.1% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.23 | 0.23 | 0.27 | 0.32 | 0.65 | 0.27 | 0.28 | 0.37 | 0.19 | 0.34 | 0.18 |
| Debt / EBITDA | 1.28 | 1.28 | 1.34 | 1.54 | 2.55 | 1.22 | 1.38 | 2.01 | 1.18 | 1.99 | 1.18 |
| Net Debt / Equity | — | -0.04 | 0.01 | -0.10 | 0.44 | -0.00 | -0.03 | 0.18 | -0.02 | 0.12 | -0.18 |
| Net Debt / EBITDA | -0.24 | -0.24 | 0.05 | -0.48 | 1.71 | -0.01 | -0.13 | 0.98 | -0.10 | 0.72 | -1.15 |
| Debt / FCF | — | -0.31 | 0.08 | -0.58 | 1.71 | -0.00 | -0.18 | 2.11 | -0.14 | 0.95 | -2.16 |
| Interest Coverage | 0.91 | 0.91 | 0.83 | 0.88 | 4.00 | 9.30 | 4.28 | 2.19 | 2.81 | 4.21 | 4.78 |
Net cash position: cash ($138M) exceeds total debt ($117M)
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.03 | 0.03 | 0.03 | 0.18 | 0.22 | 0.38 | 0.34 | 0.20 | 0.18 | 0.25 | 0.32 |
| Quick Ratio | 0.03 | 0.03 | 0.03 | 0.18 | 0.22 | 0.38 | 0.34 | 0.20 | 0.18 | 0.25 | 0.32 |
| Cash Ratio | 0.03 | 0.03 | 0.03 | 0.04 | 0.02 | 0.03 | 0.03 | 0.02 | 0.02 | 0.02 | 0.04 |
| Asset Turnover | — | 0.06 | 0.06 | 0.05 | 0.04 | 0.04 | 0.05 | 0.05 | 0.05 | 0.05 | 0.05 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.9% | 3.2% | 2.7% | 3.5% | 3.6% | 3.5% | 4.3% | 3.1% | 2.8% | 1.9% | 1.5% |
| Payout Ratio | 31.5% | 31.5% | 30.0% | 32.7% | 29.3% | 28.9% | 31.4% | 35.6% | 35.3% | 43.8% | 32.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 9.1% | 10.1% | 9.1% | 10.7% | 12.4% | 12.1% | 13.7% | 8.8% | 8.0% | 4.3% | 4.8% |
| FCF Yield | 9.5% | 10.3% | 7.5% | 12.6% | 17.4% | 20.0% | 13.2% | 5.6% | 8.2% | 7.1% | 4.3% |
| Buyback Yield | 1.7% | 1.8% | 0.0% | 0.9% | 0.8% | 3.3% | 3.5% | 5.0% | 2.5% | 0.0% | 3.6% |
| Total Shareholder Yield | 4.6% | 5.0% | 2.7% | 4.4% | 4.4% | 6.8% | 7.8% | 8.1% | 5.4% | 1.9% | 5.1% |
| Shares Outstanding | — | $21M | $21M | $21M | $21M | $22M | $22M | $23M | $24M | $22M | $22M |
Regional economic concentration risk
According to current market data, IBCP trades at a P/B of 1.50, which appears to command a premium relative to peers like MBWM at 1.28, suggesting that investors may be pricing in the durability of its specialized mortgage servicing rights portfolio despite broader regional economic headwinds.
The valuation premium implies an expectation of superior long-term returns on tangible equity that may not be fully supported by the current 3.3% ROE. Investors should monitor whether this multiple reflects a genuine franchise advantage or an over-optimistic assessment of the bank's ability to navigate the cyclicality of the Michigan housing market.
As reported in financial statements, the bank's ROE has remained constrained in the 3.1% to 4.4% range over the last ten quarters, indicating that the combination of a thin 0.8% NIM and high operating costs is currently limiting the bank's overall profitability potential.
The decomposition of profitability suggests that the bank's reliance on non-interest income, which has fluctuated significantly, is failing to offset the structural pressure on net interest margins. This trend warrants further investigation into whether the current cost structure is too rigid to allow for meaningful margin expansion in a high-rate environment.
Based on the provided quarterly data, the efficiency ratio has fluctuated between 39.8% and 46.5%, suggesting that management is struggling to achieve operating leverage as the high fixed costs of a 59-branch network collide with stagnant revenue growth in the current interest rate cycle.
The inability to consistently lower the efficiency ratio below 40% indicates that the bank's cost base is largely inelastic to changes in loan demand. This lack of operating leverage may continue to weigh on earnings unless the bank can successfully scale its digital or LPO-based lending channels to dilute the impact of its physical footprint.
As indicated by the quarterly data, IBCP has maintained a consistent equity-to-assets ratio of approximately 0.09, providing a stable capital buffer that appears sufficient to absorb potential credit losses within its Michigan-centric commercial and industrial loan portfolio during periods of regional economic stress.
The steady growth of the equity base from $415.6 million to $510.6 million over the last two years suggests a conservative capital allocation strategy that prioritizes long-term solvency over aggressive growth. While this provides a fortress-like quality to the balance sheet, it may also limit the bank's ability to generate higher ROE through increased leverage.
Investors frequently misapply the P/E ratio to IBCP, which obscures the underlying volatility of non-cash MSR valuation adjustments that can artificially inflate or deflate earnings in any given quarter, making the P/TBV a more reliable metric for assessing the bank's true franchise value.
Because the P/E ratio is highly sensitive to the accounting treatment of mortgage servicing rights, it fails to capture the core earnings power of the bank's lending operations. Analysts should prioritize P/TBV and PPNR to strip away the noise created by CECL provisioning and MSR mark-to-market swings.
Includes 30+ ratios · 30 years · Updated daily
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Quick answers to the most common questions about buying IBCP stock.
Independent Bank Corporation's current P/E ratio is 10.9x. The historical average is 14.2x. This places it at the 28th percentile of its historical range.
Independent Bank Corporation's current EV/EBITDA is 7.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 13.6x.
Independent Bank Corporation's return on equity (ROE) is 14.3%. The historical average is 8.7%.
Based on historical data, Independent Bank Corporation is trading at a P/E of 10.9x. This is at the 28th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
Independent Bank Corporation's current dividend yield is 2.89% with a payout ratio of 31.5%.
Independent Bank Corporation has 69.6% gross margin and 25.8% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
Independent Bank Corporation's Debt/EBITDA ratio is 1.3x, indicating moderate leverage. A ratio below 2x is generally considered financially healthy.