Truist Financial (NYSE:TFC) Sets New 12-Month High – Here’s Why

Truist Financial Corporation (NYSE:TFC) hit a new 52-week high on Monday . The stock traded as high as $50.57 and last traded at $50.4950, with a volume of 1998156 shares. The stock had previously closed at $50.08.

Wall Street Analyst Weigh In

Several brokerages have commented on TFC. Baird R W downgraded Truist Financial from a “strong-buy” rating to a “hold” rating in a research report on Thursday, December 11th. TD Cowen raised shares of Truist Financial from a “hold” rating to a “buy” rating and set a $55.00 target price for the company in a research note on Tuesday, October 21st. Raymond James Financial reaffirmed an “outperform” rating on shares of Truist Financial in a research note on Tuesday, October 7th. Keefe, Bruyette & Woods boosted their price objective on shares of Truist Financial from $49.00 to $53.00 and gave the company a “market perform” rating in a research report on Wednesday, December 17th. Finally, Robert W. Baird restated a “neutral” rating and issued a $52.00 target price on shares of Truist Financial in a research note on Thursday, December 11th. One research analyst has rated the stock with a Strong Buy rating, five have issued a Buy rating and ten have assigned a Hold rating to the company’s stock. According to MarketBeat, the company presently has a consensus rating of “Hold” and an average price target of $49.93.

Truist Financial Stock Performance

The business has a 50-day moving average price of $45.69 and a 200-day moving average price of $44.73. The firm has a market capitalization of $64.67 billion, a price-to-earnings ratio of 13.59, a P/E/G ratio of 1.08 and a beta of 0.90. The company has a quick ratio of 0.86, a current ratio of 0.86 and a debt-to-equity ratio of 0.70.

Truist Financial (NYSE:TFC) last issued its quarterly earnings results on Friday, October 17th. The insurance provider reported $1.04 earnings per share for the quarter, topping the consensus estimate of $0.99 by $0.05. The business had revenue of $5.24 billion during the quarter, compared to the consensus estimate of $5.20 billion. Truist Financial had a return on equity of 8.73% and a net margin of 16.84%.The company’s quarterly revenue was up 1.9% on a year-over-year basis. During the same quarter last year, the company earned $0.97 earnings per share. As a group, sell-side analysts forecast that Truist Financial Corporation will post 4 earnings per share for the current year.

Truist Financial Dividend Announcement

The company also recently declared a quarterly dividend, which was paid on Monday, December 1st. Shareholders of record on Friday, November 14th were paid a dividend of $0.52 per share. This represents a $2.08 annualized dividend and a yield of 4.1%. The ex-dividend date was Friday, November 14th. Truist Financial’s payout ratio is presently 55.91%.

Truist Financial announced that its Board of Directors has approved a share buyback plan on Tuesday, December 16th that permits the company to repurchase $10.00 billion in outstanding shares. This repurchase authorization permits the insurance provider to buy up to 15.7% of its stock through open market purchases. Stock repurchase plans are typically an indication that the company’s leadership believes its shares are undervalued.

Insider Buying and Selling at Truist Financial

In other news, Director K. David Jr. Boyer sold 5,160 shares of the business’s stock in a transaction dated Tuesday, November 25th. The stock was sold at an average price of $46.45, for a total value of $239,682.00. Following the completion of the transaction, the director owned 10,153 shares of the company’s stock, valued at $471,606.85. The trade was a 33.70% decrease in their position. The sale was disclosed in a filing with the SEC, which is available through the SEC website. 0.17% of the stock is owned by insiders.

Institutional Inflows and Outflows

Several large investors have recently made changes to their positions in the business. Wealth Preservation Advisors LLC acquired a new stake in shares of Truist Financial in the 1st quarter valued at approximately $25,000. Aspect Partners LLC raised its position in Truist Financial by 71.5% in the second quarter. Aspect Partners LLC now owns 643 shares of the insurance provider’s stock worth $28,000 after acquiring an additional 268 shares in the last quarter. Valley Wealth Managers Inc. purchased a new position in Truist Financial in the third quarter worth $28,000. Princeton Global Asset Management LLC acquired a new stake in Truist Financial in the second quarter valued at $30,000. Finally, Capital A Wealth Management LLC boosted its position in shares of Truist Financial by 1,189.5% during the 2nd quarter. Capital A Wealth Management LLC now owns 735 shares of the insurance provider’s stock worth $32,000 after purchasing an additional 678 shares in the last quarter. 71.28% of the stock is owned by institutional investors and hedge funds.

About Truist Financial

Truist Financial Corporation is an American bank holding company that provides a broad range of financial services through its primary subsidiary, Truist Bank, and other operating units. The company offers traditional retail banking products and services such as deposit accounts, consumer and residential mortgage lending, and credit and debit card services. Truist also serves commercial clients with middle-market and corporate lending, treasury and payment solutions, and specialty finance products.

Beyond core banking, Truist operates wealth management, asset management, insurance and capital markets businesses.