It has been about a month since the last earnings report for Hancock Whitney (HWC Quick QuoteHWC - Free Report) . Shares have added about 1% in that time frame, underperforming the S&P 500.

Will the recent positive trend continue leading up to its next earnings release, or is Hancock Whitney due for a pullback? Well, first let's take a quick look at its latest earnings report in order to get a better handle on the recent drivers for Hancock Whitney Corporation before we dive into how investors and analysts have reacted as of late.

Hancock Whitney Q3 Earnings Beat Estimates on NII & Fee Income Growth

Hancock Whitney’s third-quarter 2025 earnings per share of $1.49 exceeded the Zacks Consensus Estimate of $1.41. Further, the bottom line rose 12% from the prior year quarter.

Results benefited from an increase in non-interest income and NII alongside lower provisions. Higher loans were another positive. However, higher adjusted expenses alongside lower deposit balances were headwinds.

Net income was $127.5 million, up 10.3% from the prior-year quarter. Our estimate for the metric was $119.5 million.

Revenues & Expenses Rise

Quarterly total revenues amounted to $385.7 million, up 4.9% year over year. However, the top line lagged the Zacks Consensus Estimate of $387.9 million.

NII (on a tax-equivalent basis) increased 2.9% year over year to $282.3 million. The NIM was 3.49%, which expanded 10 basis points (bps). Our estimates for NII and NIM were pegged at $283.7 million and 3.52%, respectively.

Non-interest income totaled $106 million, up 10.5%. The rise was driven by an increase in almost all components except other income. We had projected non-interest income of $105 million.

Total non-interest expenses (GAAP) increased 4.4% to $212.8 million. We had projected expenses of $217.4 million.

The efficiency ratio decreased to 54.10% from 54.42% in the year-ago quarter. A decline in the efficiency ratio indicates an increase in profitability.

As of Sept. 30, 2025, total loans were $23.6 billion, up marginally from the prior quarter. However, total deposits declined 1.3% on a sequential basis to $28.7 billion. Our estimates for total loans and deposits were pegged at $23.9 billion and $29.4 billion, respectively.

Credit Quality Improves

The provision for credit losses was $12.7 million, down 31.9% from the prior-year quarter. Our estimate for provisions was $16.5 million.

Net charge-offs (annualized) were 0.19% of average total loans, down 11 bps from the prior-year quarter.

Capital Ratios Improve, Profitability Ratios Mixed

As of Sept. 30, 2025, the Tier 1 leverage ratio was 11.46%, up from 11.03% at the end of the year-ago quarter. The common equity Tier 1 ratio was 14.08%, up from 13.78% as of Sept. 30, 2024.

At the end of the third quarter of 2025, the return on average assets was 1.46%, up from 1.32% in the year-ago period. The return on average common equity was 11.58%, up from 11.43% in the prior-year quarter.

Share Repurchase Update

In the reported quarter, Hancock Whitney repurchased 0.66 million shares at an average price of $60.45 per share.

2025 Outlook (Includes the impact of Sabal Trust Deal)

Management expects the period-end loan balance to be up in low single digits and in the fourth quarter as paydowns persist. Overall loan yield is expected to decline sequentially in the fourth quarter of 2025 on the assumption of two rate cuts during the quarter.

Management expects deposit costs to decline in the fourth quarter on a sequential basis, driven by rate cuts.

Deposit balances are anticipated to be up in the low single-digit range. Management expects public deposits to grow in the range of $200-$300 million in the fourth quarter and demand deposits up by roughly $200 million. This implies roughly 3-3.5% year-over-year deposit growth in the fourth quarter.

Management expects $207 million of principal cash flow in the fourth quarter at a 3.53% yield and intends to reinvest it at an even higher yield.

NII (TE) is projected to be up at the lower end of the 3-4% range. Further, modest NIM expansion is expected in the fourth quarter.

Adjusted pre-provision net revenues are expected to rise 5-6%, down from the earlier guidance of 6-7%.

Non-interest income is expected to jump 9-10%. Fee income growth in the fourth quarter would be slower than the growth witnessed in the third quarter of 2025.

Adjusted non-interest expenses are expected to rise 4-5% in 2025 from $816.1 million in 2024, which includes plans to hire additional personnel for revenue generation. Expense growth in the fourth quarter is likely to be higher than the growth witnessed in the third quarter of 2025.

Management expects to maintain an efficiency ratio in the range of 54-56%.

The company expects an effective tax rate of 20-21%.

Management anticipates modest provisions and charge-offs for the year. NCOs to average loans are expected to be in the 15-25 bps range.

Corporate Strategic Objectives (To be achieved by the fourth quarter of 2027)

Management expects adjusted return on assets to be between 1.40% and 1.50%.

Management anticipates tangible common equity to be more than 8%.

Management expects adjusted return on tangible common equity to be more than or equal to 18%.

Management aims for the efficiency ratio to be less than or equal to 55%.

How Have Estimates Been Moving Since Then?

In the past month, investors have witnessed a flat trend in estimates review.

VGM Scores

Currently, Hancock Whitney has a poor Growth Score of F, however its Momentum Score is doing a bit better with a D. However, the stock has a score of B on the value side, putting it in the top 40% for value investors.

Overall, the stock has an aggregate VGM Score of D. If you aren't focused on one strategy, this score is the one you should be interested in.

Outlook

Hancock Whitney has a Zacks Rank #3 (Hold). We expect an in-line return from the stock in the next few months.