Regions Financial (RF)
hasn’t been setting any records lately for revenue, pre-provision
profit, or loan growth, but Regions’ focus on cleaning up its credit and
improving its cost efficiency has still produced some solid benefits
for shareholders. Among its peer group (and regional banks in general),
Regions has been a good performer over the last few years, doubling over
the last two years and meaningfully outperforming the likes of Synovus (SNV), BB&T (BBT), Wells Fargo (WFC), BancorpSouth (BXS), and First Horizon (FHN).
Competition
is heating up in several markets important to Regions, but the bank
still has room to benefit from further efficiency improvements while
also starting to think a little more about lending growth again. Whole
bank acquisition is likely off the table at current valuations, but
mid-single-digit long-term earnings growth can still support a share
price closer to $20.
Read more here:
Quality Over Quantity Paying Off For Regions Financial
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