This has been a more challenging quarter for Southeastern banks, with First Horizon (FHN), Synovus (SNV), and Truist (TFC) all coming up a little short where growth is concerned. I don’t believe there’s anything fundamentally wrong with any of these companies, but growth expectations were probably established at too high of a level and the readjustment of expectations has been painful.
Synovus shares are more or less flat since I last wrote about the stock. At that time, I said I liked the stock up into the mid-$40s and the shares exceeded that for a time (approaching $50) before concerns about spreads and near-term loan growth started weighing more heavily. While I am a little concerned about the lack of near-term growth/momentum, I still believe that management is making good decisions for the longer-term performance of the bank, and I think the shares are more attractive now.
Read the full article at Seeking Alpha:
No comments:
Post a Comment