First Horizon National (FHN) Raised to “Strong-Buy” at Zacks Investment Research
Zacks Investment Research upgraded shares of First Horizon National (NYSE:FHN) from a hold rating to a strong-buy rating in a research note issued to investors on Tuesday morning. Zacks Investment Research currently has $23.00 target price on the financial services provider’s stock.
According to Zacks, “Shares of First Horizon have outperformed the industry over the past six months. Yet, the company has a decent earnings surprise history. It surpassed the Zacks Consensus Estimate for earnings in two of the trailing four quarters. First Horizon's focus on cost control and efforts to strengthen its core Tennessee banking franchise bode well for the long term. Moreover, its inorganic growth strategies are likely to support the top line. Recently, First Horizon completed the acquisition of Capital Bank. However, higher legal costs resulting from numerous litigations are likely to weigh on the company’s profitability. Further, high exposure to commercial and commercial real estate loans seems risky. Also, the company's capital deployment activities do not seem sustainable on account of unfavorable debt/equity and dividend payout ratios.”
A number of other research firms have also issued reports on FHN. Vining Sparks raised First Horizon National to a buy rating and set a $25.00 target price on the stock in a report on Monday. Barclays raised their price objective on First Horizon National from $21.00 to $23.00 and gave the stock an equal weight rating in a research report on Tuesday, January 2nd. Royal Bank of Canada reiterated a hold rating and issued a $22.00 price objective on shares of First Horizon National in a research report on Tuesday, December 5th. Morgan Stanley raised their price objective on First Horizon National from $20.00 to $22.00 and gave the stock an equal weight rating in a research report on Wednesday, December 13th. Finally, Keefe, Bruyette & Woods reiterated a buy rating and issued a $20.00 price objective on shares of First Horizon National in a research report on Tuesday, October 3rd. One investment analyst has rated the stock with a sell rating, eight have issued a hold rating, three have assigned a buy rating and three have given a strong buy rating to the company. First Horizon National has an average rating of Buy and an average target price of $22.00.
First Horizon National (NYSE:FHN) traded down $0.03 on Tuesday, reaching $20.58. The company’s stock had a trading volume of 1,931,166 shares, compared to its average volume of 3,373,433. The firm has a market cap of $6,690.00, a price-to-earnings ratio of 18.38, a P/E/G ratio of 2.25 and a beta of 1.03. The company has a debt-to-equity ratio of 0.38, a current ratio of 0.94 and a quick ratio of 0.92. First Horizon National has a 12-month low of $15.84 and a 12-month high of $20.86.
First Horizon National (NYSE:FHN) last released its earnings results on Friday, October 13th. The financial services provider reported $0.32 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.30 by $0.02. The firm had revenue of $337.00 million for the quarter, compared to analyst estimates of $340.48 million. First Horizon National had a return on equity of 9.40% and a net margin of 19.36%. During the same quarter last year, the firm posted $0.27 EPS. equities research analysts expect that First Horizon National will post 1.11 EPS for the current year.
The company also recently disclosed a quarterly dividend, which was paid on Tuesday, January 2nd. Shareholders of record on Friday, November 3rd were given a $0.09 dividend. The ex-dividend date was Thursday, November 2nd. This represents a $0.36 dividend on an annualized basis and a dividend yield of 1.75%. First Horizon National’s dividend payout ratio is currently 32.14%.
In other First Horizon National news, Director R Brad Martin sold 5,449 shares of the firm’s stock in a transaction that occurred on Friday, October 20th. The stock was sold at an average price of $19.25, for a total value of $104,893.25. Following the completion of the sale, the director now owns 482,188 shares in the company, valued at approximately $9,282,119. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available through this hyperlink. 2.09% of the stock is currently owned by company insiders.
Several hedge funds have recently made changes to their positions in the business. Vanguard Group Inc. lifted its position in shares of First Horizon National by 2.3% during the 2nd quarter. Vanguard Group Inc. now owns 19,672,261 shares of the financial services provider’s stock worth $342,691,000 after buying an additional 435,264 shares during the period. State Street Corp lifted its position in shares of First Horizon National by 6.4% during the 2nd quarter. State Street Corp now owns 14,203,778 shares of the financial services provider’s stock worth $247,425,000 after buying an additional 850,609 shares during the period. Fuller & Thaler Asset Management Inc. lifted its position in shares of First Horizon National by 2.2% during the 3rd quarter. Fuller & Thaler Asset Management Inc. now owns 12,296,061 shares of the financial services provider’s stock worth $235,470,000 after buying an additional 264,035 shares during the period. Franklin Resources Inc. lifted its position in shares of First Horizon National by 6.3% during the 2nd quarter. Franklin Resources Inc. now owns 5,884,000 shares of the financial services provider’s stock worth $102,499,000 after buying an additional 349,900 shares during the period. Finally, Parnassus Investments CA lifted its position in shares of First Horizon National by 8.6% during the 3rd quarter. Parnassus Investments CA now owns 5,654,568 shares of the financial services provider’s stock worth $108,285,000 after buying an additional 446,174 shares during the period. Institutional investors own 88.97% of the company’s stock.
About First Horizon National
First Horizon National Corporation (FHN) is a bank holding company. The Company provides financial services through its subsidiary, First Tennessee Bank National Association (the Bank). The Company has four segments: regional banking, fixed income, corporate and non-strategic. The Company’s regional banking segment offers financial products and services, including traditional lending and deposit taking, to retail and commercial customers in Tennessee and other selected markets.
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