Truist Financial Corporation (TFC) Stock Drops Despite Market Gains: Important Facts to Note
In the latest market close, Truist Financial Corporation (TFC) reached $36.93, with a -0.81% movement compared to the previous day. This change lagged the S&P 500's 1.12% gain on the day. Elsewhere, the Dow gained 0.61%, while the tech-heavy Nasdaq added 1.54%.
The the stock of company has risen by 3.39% in the past month, lagging the Finance sector's gain of 4.07% and overreaching the S&P 500's gain of 2.06%.
Investors will be eagerly watching for the performance of Truist Financial Corporation in its upcoming earnings disclosure. The company's earnings report is set to be unveiled on April 22, 2024. It is anticipated that the company will report an EPS of $0.78, marking a 28.44% fall compared to the same quarter of the previous year. At the same time, our most recent consensus estimate is projecting a revenue of $5.65 billion, reflecting a 7.48% fall from the equivalent quarter last year.
For the full year, the Zacks Consensus Estimates project earnings of $3.35 per share and a revenue of $22.08 billion, demonstrating changes of -6.69% and -5.62%, respectively, from the preceding year.
Additionally, investors should keep an eye on any recent revisions to analyst forecasts for Truist Financial Corporation. These latest adjustments often mirror the shifting dynamics of short-term business patterns. As such, positive estimate revisions reflect analyst optimism about the company's business and profitability.
Our research reveals that these estimate alterations are directly linked with the stock price performance in the near future. To capitalize on this, we've crafted the Zacks Rank, a unique model that incorporates these estimate changes and offers a practical rating system.
The Zacks Rank system, stretching from #1 (Strong Buy) to #5 (Strong Sell), has a noteworthy track record of outperforming, validated by third-party audits, with stocks rated #1 producing an average annual return of +25% since the year 1988. Over the last 30 days, the Zacks Consensus EPS estimate has witnessed a 1.05% decrease. Truist Financial Corporation currently has a Zacks Rank of #3 (Hold).
With respect to valuation, Truist Financial Corporation is currently being traded at a Forward P/E ratio of 11.11. This represents no noticeable deviation compared to its industry's average Forward P/E of 11.11.
Also, we should mention that TFC has a PEG ratio of 1.59. 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 1.58.
The Banks - Major Regional industry is part of the Finance sector. Currently, this industry holds a Zacks Industry Rank of 71, positioning it in the top 29% of all 250+ industries.
The strength of our individual industry groups is measured by the Zacks Industry Rank, which is calculated based on the average Zacks Rank of the individual stocks within these 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
