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Birmingham, Alabama-based Regions Financial Corporation (RF) is a bank holding company that offers a comprehensive range of financial services, including consumer and commercial banking, wealth management, mortgage services, and insurance products. Valued at a market cap of $23.8 billion, the company serves individuals, small businesses, corporations, and government clients. It is expected to announce its fiscal Q3 earnings for 2025 before the market opens on Friday, Oct. 17.
Before this event, analysts expect this bank holding company to report a profit of $0.60 per share, up 5.3% from $0.57 per share in the year-ago quarter. The company has a solid trajectory of consistently beating Wall Street’s bottom-line estimates in each of the last four quarters. Its earnings of $0.60 per share in the previous quarter topped the consensus estimates by 7.1%.
For the current fiscal year ending in December, analysts expect RF to report a profit of $2.33 per share, up 9.9% from $2.12 per share in fiscal 2024. Its EPS is expected to further grow 9% year-over-year to $2.54 in fiscal 2026.
RF has outpaced the S&P 500 Index's ($SPX) 15.6% uptick over the past 52 weeks, with its shares up 16.3% over the same time period. However, it is trailing behind the Financial Select Sector SPDR Fund’s (XLF) 19.6% return over the same time frame.
Shares of Regions Financial soared 6.1% on Jul. 18, after reporting better-than-expected Q2 results. The company’s adjusted total revenue improved 7% year-over-year to $1.9 billion, exceeding consensus estimates by 3.2%. Moreover, its adjusted EPS came in at $0.60, up 13.2% from the year-ago quarter and 7.1% ahead of analyst expectations. Solid deposit growth, disciplined loan production, and strong performance across fee-based businesses, including Treasury Management and Wealth Management, acted as tailwinds for the company.
Wall Street analysts are moderately optimistic about RF’s stock, with a "Moderate Buy" rating overall. Among 27 analysts covering the stock, 10 recommend "Strong Buy," two indicate "Moderate Buy," 14 suggest "Hold,” and one advises a “Strong Sell” rating. The mean price target for RF is $28.68, implying a 7.7% potential upside from the current levels.
