- Provision expense will likely decline in 2021 as ASB has already built a large reserve for upcoming loan losses.
- The average portfolio yield will likely continue to decline in 2021 despite management’s efforts to implement new floors.
- The branch consolidation plan will likely support earnings as it will cut costs with minimal harm to balance sheet growth.
- The decent dividend yield and potential price downside combine to give an unattractive total expected return for 2021.
For further details see:
Associated Banc-Corp: Lower Provision Expense To Drive Partial Earnings Recovery