On Aug 3, 2016, the Zacks Investment Research upgraded Gulfport-based Hancock Holding Company to a Zacks Rank #1 (Strong Buy).
Q2 Earnings Beat & Encouraging Outlook Drive the Upgrade
On Jul 20, 2016, Hancock reported second-quarter 2016 earnings of 59 cents which comfortably outpaced the Zacks Consensus Estimate of 44 cents. Further the figure improved 25% year over year.
Results surpassed expectations primarily driven by an improvement in the top line. Further, growth in loans and deposits acted as tailwinds. However, an energy-led rise in provisions and increase in operating expenses were the major headwinds.
Further, Hancock’s 2016 outlook remains upbeat. Management expects core revenues to improve in the near term, as and when revenue initiatives undertaken in the prior quarters mature. Core revenue growth is anticipated within 9–10% range. Notably, expenses are expected to rise approximately 2%.
Additionally, loans are anticipated to grow 5–7%. The improvement in loans is expected to be driven by the continued development across the company’s footprints, while ongoing payoffs and pay-downs in the energy portfolio will marginally offset the rise.
Notably, based on current expectations, the company now expects provision for loan losses to be in $105–$145 million range.
Moreover, Hancock has been witnessing rising earnings estimates, indicating analysts’ bullish stance on the stock. Over the last 30 days, the Zacks Consensus Estimate increased 24.2% to $1.85 for 2016 and 5.5% to $2.30 for 2017.
Other Stocks that Warrant a Look
Some similarly-ranked Southeast bank stocks include CenterState Banks, Inc. , Southern National Bancorp of Virginia Inc. and State Bank Financial Corporation .
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 >>
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Hancock Upped to Strong Buy on Solid Q2 Results & Outlook
On Aug 3, 2016, the Zacks Investment Research upgraded Gulfport-based Hancock Holding Company to a Zacks Rank #1 (Strong Buy).
Q2 Earnings Beat & Encouraging Outlook Drive the Upgrade
On Jul 20, 2016, Hancock reported second-quarter 2016 earnings of 59 cents which comfortably outpaced the Zacks Consensus Estimate of 44 cents. Further the figure improved 25% year over year.
Results surpassed expectations primarily driven by an improvement in the top line. Further, growth in loans and deposits acted as tailwinds. However, an energy-led rise in provisions and increase in operating expenses were the major headwinds.
Further, Hancock’s 2016 outlook remains upbeat. Management expects core revenues to improve in the near term, as and when revenue initiatives undertaken in the prior quarters mature. Core revenue growth is anticipated within 9–10% range. Notably, expenses are expected to rise approximately 2%.
Additionally, loans are anticipated to grow 5–7%. The improvement in loans is expected to be driven by the continued development across the company’s footprints, while ongoing payoffs and pay-downs in the energy portfolio will marginally offset the rise.
Notably, based on current expectations, the company now expects provision for loan losses to be in $105–$145 million range.
Moreover, Hancock has been witnessing rising earnings estimates, indicating analysts’ bullish stance on the stock. Over the last 30 days, the Zacks Consensus Estimate increased 24.2% to $1.85 for 2016 and 5.5% to $2.30 for 2017.
Other Stocks that Warrant a Look
Some similarly-ranked Southeast bank stocks include CenterState Banks, Inc. , Southern National Bancorp of Virginia Inc. and State Bank Financial Corporation .
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 >>