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 | $734M | $679M | $736M | $551M | $510M | $521M | $410M | $526M | $498M | $482M | $470M |
| Enterprise Value | $712M | $658M | $741M | $510M | $662M | $521M | $400M | $588M | $493M | $514M | $427M |
| P/E Ratio → | 10.89 | 9.95 | 11.02 | 9.33 | 8.05 | 8.29 | 7.30 | 11.32 | 12.51 | 23.53 | 20.67 |
| P/S Ratio | 3.25 | 3.01 | 3.41 | 2.75 | 2.49 | 2.62 | 2.07 | 3.20 | 3.25 | 3.74 | 4.01 |
| 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 | 10.46 | 9.68 | 13.34 | 7.92 | 5.74 | 5.00 | 7.55 | 17.79 | 12.14 | 14.02 | 23.24 |
| P/OCF | 9.57 | 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 | — | 2.91 | 3.43 | 2.55 | 3.23 | 2.62 | 2.02 | 3.58 | 3.21 | 3.99 | 3.64 |
| EV / EBITDA | 7.81 | 7.21 | 7.96 | 6.10 | 7.47 | 5.82 | 5.09 | 9.22 | 8.93 | 11.33 | 11.19 |
| EV / EBIT | 8.76 | 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 | 9.2% | 10.1% | 9.1% | 10.7% | 12.4% | 12.1% | 13.7% | 8.8% | 8.0% | 4.3% | 4.8% |
| FCF Yield | 9.6% | 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 |
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 2.90% 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.
Key Metrics
Top Statement Risk
MSR valuation volatility
Metrics are mathematically derived from official filings.
Premium Priced for Stability
IBCP trades at 1.54x book and 11.35x trailing earnings, per reported figures, a premium to peers like MBWM at 1.34x, suggesting the market rewards its stable deposit franchise.
The P/B premium over Mercantile Bank implies investors expect superior returns or lower risk, yet IBCP's ROE of 3.6% lags MBWM's 13.2%, indicating the market may be pricing in future improvement or a durable moat. The forward P/E of 10.44 suggests modest earnings growth expectations, but the PEG of 2.16 implies that growth is not cheap, warranting scrutiny of whether the premium is justified.
ROE Muted by Low Leverage
ROE has hovered near 3.6% for ten quarters, as per financial statements, with ROA at 0.3% and equity-to-assets at 9%, indicating a conservative balance sheet that dilutes returns.
The DuPont decomposition shows that a thin NIM of 0.8% and modest fee income (18.6% of revenue in Q2 2026) are insufficient to overcome the low leverage, resulting in subpar ROE relative to peers. The stable but low ROE suggests the bank prioritizes capital strength over return maximization, which may appeal to risk-averse investors but limits earnings power.
NIM Flat, Efficiency Creeps
Net interest margin held at 0.8% for ten straight quarters, as reported in financial statements, while the efficiency ratio rose to 45.8% in Q2 2026 from 39.8% in Q2 2024, signaling cost pressure.
The stable NIM indicates that asset yields and funding costs are moving in tandem, likely due to a sticky deposit base, but the rising efficiency ratio suggests that expense growth is outpacing revenue, possibly from investments in technology or personnel. If revenue remains flat, continued efficiency deterioration could compress pre-provision net revenue, making cost control a key focus.
Conservative Capital, Limited Flexibility
Equity-to-assets ratio stands at 9%, as per balance sheet data, with a debt-to-equity of 0.23, indicating a strong capital position but limited subordinated debt for Tier 2 flexibility.
The low leverage and minimal debt suggest IBCP is well-capitalized relative to regulatory minimums, but the absence of subordinated debt may constrain its ability to optimize capital structure or fund acquisitions. This conservative approach supports dividend stability (yield 2.8%) but may limit growth opportunities, as seen in the modest loan growth funded by securities sales.
Benign Credit, Provision Rising
Provision for credit losses increased to $2.7M in Q2 2026 from $1.1M a year ago, per company data, yet remains modest relative to net income, suggesting stable credit quality.
The rise in provisions may indicate a cautious outlook on the Michigan economy, but the absolute level is low, implying that charge-offs are not yet a concern. Investors should monitor whether this uptick is a one-time adjustment or the start of a trend, especially given the bank's concentration in manufacturing and real estate.
P/E Misleads on Earnings Quality
The P/E ratio of 11.35, as reported, can be distorted by non-cash MSR fair value adjustments, which caused fee income to swing from $17.6M to $8.4M, masking core profitability.
For a mortgage-heavy bank like IBCP, P/E is often misapplied because MSR volatility can inflate or deflate earnings without affecting cash flows. Analysts should instead focus on pre-provision net revenue (PPNR) and tangible book value growth, which better reflect the underlying franchise value. The P/B of 1.54x is more reliable, but even that may be affected by unrealized losses in the securities portfolio, so adjusting for AOCI is advisable.