A month has gone by since the last earnings report for Hancock Whitney (HWC Quick QuoteHWC - Free Report) . Shares have lost about 0.7% in that time frame, underperforming the S&P 500.

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

Hancock Whitney Q1 Earnings Top Estimates on Higher NII, Expenses Rise Y/Y

Hancock Whitney’s first-quarter 2026 adjusted earnings per share of $1.52 beat the Zacks Consensus Estimate of $1.48. Further, the bottom line rose 10.1% from the prior-year quarter.

Results were supported by higher net interest income and modest loan growth. However, the quarter was significantly impacted by a securities portfolio restructuring loss. Deposits also declined modestly. Additionally, higher expenses and increased provisions acted as headwinds.

Results excluded a one-time charge related to a net loss on the securities portfolio restructure. After considering this, net income was $47.4 million, down 60.3% from the prior-year quarter. Our estimate for the metric was $117.8 million and did not include this one-time charge.

Revenues Decline, Expenses Rise

Quarterly total revenues were $292.6 million, which missed the Zacks Consensus Estimate of $389 million. The top line declined 19.8% year over year. 

NII (on a tax-equivalent basis) increased 5.4% year over year to $287.6 million. The net interest margin was 3.55%, which expanded 12 basis points (bps). Our estimates for NII and NIM were $285 million and 3.47%, respectively.

Non-interest income was $7.5 million, plunging 92.1% year over year. The decline was primarily due to a net loss on securities transactions. Excluding this, adjusted non-interest income of $106.1 million grew almost 12%. We had projected non-interest income of $103.9 million

Total non-interest expenses (GAAP) increased 7.7% to $220.7 million. We had projected expenses of $221.4 million. 

The efficiency ratio increased to 55.43% from 55.22% in the year-ago quarter. An increase in the efficiency ratio indicates a decrease in profitability.

Loans Rise & Deposits Decline Sequentially

As of March 31, 2026, total loans were $24 billion, up marginally from the prior quarter. Total deposits were $29 billion, slightly down from the previous quarter. Our estimates for total loans and deposits were $24.2 billion and $29.3 billion, respectively.

Credit Quality Deteriorates

The provision for credit losses was $13.2 million, up 25.9% from the prior-year quarter. Our estimate for provisions was $16.6 million.

Net charge-offs (annualized) were 0.19% of average total loans, up 1 bp from the prior-year quarter.

Capital & Profitability Ratios Decline

As of March 31, 2026, the Tier 1 leverage ratio was 10.89%, down from 11.55% at the end of the year-ago quarter. The common equity Tier 1 ratio was 13.30%, down from 14.48% as of March 31, 2025.

At the end of the first quarter of 2026, the return on average assets was 0.54%, down from 1.41% in the year-ago period. The return on average common equity was 4.31%, down from 11.59% in the prior-year quarter.

Share Repurchase Update

In the reported quarter, the company repurchased 1.4 million shares at an average price of $67.55 per share.

2026 Outlook (Includes the impact of the bond portfolio restructuring)

Management expects period-end loans to be up mid-single-digits on a year-over-year basis.

Deposit balances are anticipated to be up in the low single-digit range from the previous year.

NII (TE) is projected to increase 5-6% year over year. Further, modest NIM expansion is expected in the year (assuming no rate cuts in 2026).

Adjusted pre-provision net revenues (PPNR) are expected to rise 4.5-5.5% from 2025.

Adjusted noninterest income is expected to increase 4-5% year over year.

Adjusted non-interest expenses are expected to rise 5-6% from 2025. This includes the impact from organic growth initiatives of 135 bps and the impact from one full year of expenses related to Sabal Trust acquisition of 50 bps.

Management expects to maintain an efficiency ratio in the range of 54-55%.

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

NCOs to average loans are expected to be in the 15-25 bps range.

The bond portfolio restructuring that the company completed in January 2026 is expected to support NII growth by $24 million, NIM by 7 bps and earnings by 23 cents per share, on an annual basis.

Corporate Strategic Objectives (To be achieved by the fourth quarter of 2028)

Management expects adjusted return on assets to be greater than or equal to 1.50%.

The tangible common equity is expected between 9-9.5%.

The adjusted return on tangible common equity is expected to be more than or equal to 15%.

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 upward trend in fresh estimates.

VGM Scores

At this time, Hancock Whitney has a poor Growth Score of F, however its Momentum Score is doing a lot better with a B. Following the exact same course, the stock was allocated a score of B on the value side, putting it in the second quintile 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

Estimates have been broadly trending upward for the stock, and the magnitude of these revisions looks promising. It comes with little surprise Hancock Whitney has a Zacks Rank #2 (Buy). We expect an above average return from the stock in the next few months.