Truist Financial Corporation (TFC) Stock Declines While Market Improves: Some Information for Investors
Truist Financial Corporation (TFC) closed the most recent trading day at $35.24, moving -1.12% from the previous trading session. This change lagged the S&P 500's 0.04% gain on the day. Elsewhere, the Dow gained 0.16%, while the tech-heavy Nasdaq lost 0.28%.
The the stock of company has fallen by 4.99% in the past month, lagging the Finance sector's gain of 3.66% and the S&P 500's gain of 5.01%.
Investors will be eagerly watching for the performance of Truist Financial Corporation in its upcoming earnings disclosure. The company is predicted to post an EPS of $0.79, indicating a 27.52% decline compared to the equivalent quarter last year. Simultaneously, our latest consensus estimate expects the revenue to be $5.65 billion, showing a 7.44% drop compared to the year-ago quarter.
For the full year, the Zacks Consensus Estimates project earnings of $3.37 per share and a revenue of $22.34 billion, demonstrating changes of -6.13% and -4.48%, respectively, from the preceding year.
It is also important to note the recent changes to analyst estimates for Truist Financial Corporation. These revisions help to show the ever-changing nature of near-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.
Our research demonstrates that these adjustments in estimates directly associate with imminent stock price performance. To exploit this, we've formed the Zacks Rank, a quantitative model that includes these estimate changes and presents a viable rating system.
Ranging from #1 (Strong Buy) to #5 (Strong Sell), the Zacks Rank system has a proven, outside-audited track record of outperformance, with #1 stocks returning an average of +25% annually since 1988. Over the last 30 days, the Zacks Consensus EPS estimate has moved 1.23% lower. Truist Financial Corporation is currently a Zacks Rank #3 (Hold).
From a valuation perspective, Truist Financial Corporation is currently exchanging hands at a Forward P/E ratio of 10.59. This indicates a premium in contrast to its industry's Forward P/E of 10.57.
We can also see that TFC currently has a PEG ratio of 1.51. The PEG ratio is similar to the widely-used P/E ratio, but this metric also takes the company's expected earnings growth rate into account. As of the close of trade yesterday, the Banks - Major Regional industry held an average PEG ratio of 1.52.
The Banks - Major Regional industry is part of the Finance sector. This industry currently has a Zacks Industry Rank of 29, which puts it in the top 12% of all 250+ industries.
The Zacks Industry Rank evaluates the power of our distinct industry groups by determining the average Zacks Rank of the individual stocks forming the groups. Our research shows that the top 50% rated industries outperform the bottom half by a factor of 2 to 1.
Don't forget to use Zacks.com to keep track of all these stock-moving metrics, and others, in the upcoming trading sessions.
Want the latest recommendations from Zacks Investment Research? Today, you can download 7 Best Stocks for the Next 30 Days. Click to get this free report
Truist Financial Corporation (TFC) : Free Stock Analysis Report
