Back to top

Image: Bigstock

Truist Financial Corporation (TFC) Stock Sinks As Market Gains: What You Should Know

Read MoreHide Full Article

Truist Financial Corporation (TFC - Free Report) closed the most recent trading day at $27.97, moving -0.99% from the previous trading session. This change lagged the S&P 500's daily gain of 0.02%. Elsewhere, the Dow lost 0.2%, while the tech-heavy Nasdaq added 0.22%.

Heading into today, shares of the company had lost 6.86% over the past month, lagging the Finance sector's loss of 1.61% and the S&P 500's loss of 2.86% in that time.

Truist Financial Corporation will be looking to display strength as it nears its next earnings release, which is expected to be October 19, 2023. The company is expected to report EPS of $0.82, down 33.87% from the prior-year quarter. Meanwhile, our latest consensus estimate is calling for revenue of $5.68 billion, down 2.86% from the prior-year quarter.

For the full year, our Zacks Consensus Estimates are projecting earnings of $3.67 per share and revenue of $23.36 billion, which would represent changes of -26.01% and +1.43%, respectively, from the prior year.

Any recent changes to analyst estimates for Truist Financial Corporation should also be noted by investors. These recent revisions tend to reflect the evolving nature of short-term business trends. As a result, we can interpret positive estimate revisions as a good sign for the company's business outlook.

Our research shows that these estimate changes are directly correlated with near-term stock prices. Investors can capitalize on this by using the Zacks Rank. This model considers these estimate changes and provides a simple, actionable rating system.

The Zacks Rank system ranges from #1 (Strong Buy) to #5 (Strong Sell). It has a remarkable, outside-audited track record of success, with #1 stocks delivering an average annual return of +25% since 1988. The Zacks Consensus EPS estimate has moved 0.07% lower within the past month. Truist Financial Corporation currently has a Zacks Rank of #4 (Sell).

Digging into valuation, Truist Financial Corporation currently has a Forward P/E ratio of 7.69. This valuation marks a discount compared to its industry's average Forward P/E of 7.99.

Meanwhile, TFC's PEG ratio is currently 1.72. This popular metric is similar to the widely-known P/E ratio, with the difference being that the PEG ratio also takes into account the company's expected earnings growth rate. TFC's industry had an average PEG ratio of 1.35 as of yesterday's close.

The Banks - Major Regional industry is part of the Finance sector. This group has a Zacks Industry Rank of 167, putting it in the bottom 34% of all 250+ industries.

The Zacks Industry Rank gauges the strength of our individual 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

See More Zacks Research for These Tickers

Normally $25 each - click below to receive one report FREE:

Truist Financial Corporation (TFC) - free report >>

Published in