Truist Financial Corporation (TFC) Beats Stock Market Upswing: What Investors Need to Know
In the latest market close, Truist Financial Corporation (TFC) reached $31.78, with a +0.92% movement compared to the previous day. The stock exceeded the S&P 500, which registered a gain of 0.06% for the day. Elsewhere, the Dow gained 0.33%, while the tech-heavy Nasdaq lost 0.11%.
Shares of the company have appreciated by 10.45% over the course of the past month, outperforming the Finance sector's gain of 9.23% and the S&P 500's gain of 8.22%.
Market participants will be closely following the financial results of Truist Financial Corporation in its upcoming release. The company is predicted to post an EPS of $0.88, indicating a 32.31% decline compared to the equivalent quarter last year. Our most recent consensus estimate is calling for quarterly revenue of $5.63 billion, down 9.25% from the year-ago period.
Looking at the full year, the Zacks Consensus Estimates suggest analysts are expecting earnings of $3.76 per share and revenue of $24.58 billion. These totals would mark changes of -24.19% and +6.71%, respectively, from last year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Truist Financial Corporation. These revisions typically reflect the latest short-term business trends, which can change frequently. Consequently, upward revisions in estimates express analysts' positivity towards the company's business operations and its ability to generate profits.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. We developed the Zacks Rank to capitalize on this phenomenon. Our system takes these estimate changes into account and delivers a clear, actionable rating model.
The Zacks Rank system, which varies between #1 (Strong Buy) and #5 (Strong Sell), carries an impressive track record of exceeding expectations, confirmed by external audits, with stocks at #1 delivering an average annual return of +25% since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 0.67% increase. Truist Financial Corporation currently has a Zacks Rank of #3 (Hold).
Valuation is also important, so investors should note that Truist Financial Corporation has a Forward P/E ratio of 8.38 right now. This represents a discount compared to its industry's average Forward P/E of 8.63.
Also, we should mention that TFC has a PEG ratio of 1.88. The PEG ratio bears resemblance to the frequently used P/E ratio, but this parameter also includes the company's expected earnings growth trajectory. As of the close of trade yesterday, the Banks - Major Regional industry held an average PEG ratio of 1.34.
The Banks - Major Regional industry is part of the Finance sector. At present, this industry carries a Zacks Industry Rank of 86, placing it within the top 35% of over 250 industries.
The Zacks Industry Rank gauges the strength of our industry groups by measuring the average Zacks Rank of the individual stocks within the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
You can find more information on all of these metrics, and much more, on Zacks.com.
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Truist Financial Corporation (TFC) : Free Stock Analysis Report
