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Truist Financial Corporation (TFC) Q2 Earnings: How Key Metrics Compare to Wall Street Estimates

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Truist Financial Corporation (TFC - Free Report) reported $5.92 billion in revenue for the quarter ended June 2023, representing a year-over-year increase of 4.7%. EPS of $0.95 for the same period compares to $1.20 a year ago.

The reported revenue compares to the Zacks Consensus Estimate of $5.94 billion, representing a surprise of -0.37%. The company delivered an EPS surprise of -3.06%, with the consensus EPS estimate being $0.98.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Truist Financial Corporation performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

  • Net interest margin: 2.91% versus 3% estimated by seven analysts on average.
  • Average balance - Total earning assets: $506.08 billion compared to the $503.09 billion average estimate based on six analysts.
  • Efficiency Ratio: 63.3% versus 60.92% estimated by five analysts on average.
  • Net charge-offs as a percentage of average loans and leases: 0.54% versus 0.37% estimated by five analysts on average.
  • Total Nonperforming assets: $1.58 billion versus $1.43 billion estimated by four analysts on average.
  • Total nonaccrual loans and leases: $1.52 billion versus the four-analyst average estimate of $1.36 billion.
  • Tier 1 Capital Ratio: 11.1% compared to the 10.84% average estimate based on three analysts.
  • Tier 1 Leverage Ratio: 8.8% versus the three-analyst average estimate of 8.63%.
  • Total Capital Ratio: 13.2% versus 12.93% estimated by two analysts on average.
  • Total Noninterest Income: $2.29 billion versus the seven-analyst average estimate of $2.30 billion.
  • Net Interest Income: $3.68 billion versus the six-analyst average estimate of $3.71 billion.
  • Net interest income (FTE): $3.68 billion compared to the $3.74 billion average estimate based on six analysts.
View all Key Company Metrics for Truist Financial Corporation here>>>

Shares of Truist Financial Corporation have returned +13% over the past month versus the Zacks S&P 500 composite's +3.6% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

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