Road Notes: P/E Expansion & Additional Upside to Ests Likely to Unfold; Reit OW

Research evidence excerpt

Road Notes: P/E Expansion & Additional Upside to Ests Likely to Unfold; Reit OW

yield (5.99% in 1Q). Mgmt. reiterated that pipelines remain Market Cap. (mil) US$9,650.5

Book Value/Share US$99.22 very strong across UMBF's various markets and verticals with commercial client

Tang. Book/Share $68.94

sentiment generally cautiously optimistic despite ongoing macro factors. Core Price/Book 127%

deposit growth is expected to keep pace and likely at NIM-accretive levels.

drivers include redeployment of $2.2B in NTM securities cash flow (3.66% 52-Week High / Low US$136.11 / US$98.16 ◦Other Price/Tang.Book 183%

roll-off yield) into higher yielding assets, and upward re-pricing of $3.2B in NTM Avg Daily Vol (000) 630

maturing fixed-rate loans (~8% of loans at a WAR of 4.85%). Div Yield 1.36%

Total Assets ($mil) 70,428

• Ongoing market share gains and additional selective production talent hires/team lift- ROTCE 18.06%

outs across UMBF's various higher P/E fee income businesses (28% of total revenue vs. Shares Out (mil) 76.4

Div (ann) US$1.72 peers at 18%), especially fund services and corporate trust, should result in continued

Fiscal Year End Dec

double-digit overall annual growth (consensus = 8%/7% in 2026E/27E).

• There are no areas of credit concern across UMBF's or the acquired HTLF portfolios.

• Additional M&A remains a very low priority and any future deal would likely be more of

a tuck-in acquisition (e.g. <10% assets) with a solid retail deposit base and low L/D.

• We expand on the above takeaways and other noteworthy items on pages 2-4.

RISKS TO ACHIEVEMENT OF PT & RECOMMENDATION

Slower loan and fee growth, higher NCOs, M&A execution and outsized NIE increases.

COMPANY DESCRIPTION

Based in Kansas City, UMBF operates a host of diversified banking and fee businesses.