Market Overview - U.S. stocks experienced a significant decline due to escalating trade tensions and disappointing labor data, leading to a broad sell-off on Wall Street [1][10] - The Dow Jones Industrial Average fell by 542.40 points (1.23%) to close at 43,588.58, while the S&P 500 decreased by 1.60% to 6,238.01, and the Nasdaq Composite dropped by 2.24% to 20,650.13 [3] Employment Data - Nonfarm payrolls increased by only 73,000 in July, significantly below consensus expectations, and June's job creation was revised down from 147,000 to just 14,000, indicating a deeper slowdown in the labor market [2] - These labor market developments have raised the likelihood of a Federal Reserve interest rate cut in September [2] Investment Opportunities - In the current market environment, value stocks are highlighted as attractive investment options due to their potential safety margin during periods of uncertainty [3][10] - Companies such as CVS Health Corporation (CVS), Integer Holdings Corporation (ITGR), Associated Banc-Corp (ASB), and F.N.B. Corporation (FNB) are noted for their low Price to Cash Flow (P/CF) ratios, indicating strong financial health [4][10] Valuation Metrics - The P/CF ratio is emphasized as a reliable valuation metric, as it reflects a company's cash flow generation relative to its market price, providing a clearer picture of financial health compared to earnings metrics [5][6] - Positive cash flow is crucial for a company's liquidity, enabling it to manage debt, reinvest, and undertake shareholder-friendly actions [7] Stock Selection Criteria - A comprehensive approach to identifying value stocks includes considering multiple metrics such as price-to-book ratio, price-to-earnings ratio, and price-to-sales ratio, alongside a favorable Zacks Rank and Value Score [8][11][12] - Specific parameters for selecting true-value stocks include a P/CF ratio less than or equal to the industry median, a minimum stock price of $5, and a Zacks Rank of 1 or 2 [9][13] Company Highlights - CVS Health has a Zacks Rank of 2, with projected sales growth of 3.9% and EPS growth of 14.6% for the current financial year, and shares have increased by 8.1% over the past year [14] - Integer Holdings also holds a Zacks Rank of 2, with expected sales growth of 7.8% and EPS growth of 20.2%, although shares have decreased by 3.4% in the past year [15] - Associated Banc-Corp, with a Zacks Rank of 2, anticipates sales growth of 11.5% and EPS growth of 8.4%, with shares rising by 19.2% in the past year [16] - F.N.B. Corporation, also ranked 2, expects sales growth of 6.2% and EPS growth of 2.2%, with shares increasing by 9.6% over the past year [17]

Core Viewpoint - F.N.B. Corporation (FNB) is identified as a potential stock pick due to a recent "golden cross" event and positive earnings outlook, suggesting a bullish trend ahead [1][4]. Technical Analysis - A "golden cross" occurs when a short-term moving average (50-day) crosses above a long-term moving average (200-day), indicating a potential bullish breakout [2]. - The formation of a golden cross involves three stages: a downtrend followed by a crossover of moving averages, and finally an upward price movement [3]. Stock Performance - FNB shares have increased by 7.8% over the past four weeks, indicating positive momentum [4]. - The company holds a 2 (Buy) rating on the Zacks Rank, reinforcing the bullish outlook for FNB [4]. Earnings Outlook - There have been no cuts to earnings estimates for the current quarter, with three revisions higher in the past 60 days, leading to an increase in the Zacks Consensus Estimate [4]. - The combination of the technical indicator and positive earnings revisions suggests that investors should consider adding FNB to their watchlist [5].

Group 1 - First National Bank has promoted Brian Mancos to Director of Human Resources and Corporate Services, succeeding Charles Casalnova [1][2] - Mancos has over a decade of experience as Senior Corporate Counsel at FNB and will report directly to Vincent J. Delie, the Chairman, President, and CEO [2][4] - Delie emphasized the company's focus on internal talent development and Mancos' unique qualifications to enhance the company's culture of collaboration and innovation [4] Group 2 - F.N.B. Corporation is a diversified financial services company with total assets of nearly $50 billion and approximately 350 banking offices across several states and the District of Columbia [5][6] - The company operates in major metropolitan areas including Pittsburgh, Baltimore, Cleveland, Washington D.C., and several cities in North Carolina and South Carolina [5] - FNB offers a comprehensive range of services including commercial banking, consumer banking, and wealth management solutions [6]

Core Insights - F.N.B. Corporation has introduced business deposit products to its eStore Common application, allowing customers to apply for both business and personal banking products through a single universal process, enhancing digital innovation in the financial services industry [1][2][4] Group 1: Product Offering - The eStore Common app now includes business deposit products, such as the Business First bundled checking solution, which offers advanced reporting tools and fraud mitigation services [4] - FNB plans to add business loan products to the eStore Common app in 2026, further expanding its offerings [4] Group 2: Customer Experience - The application process is streamlined, with most applications taking approximately seven minutes to complete, resulting in a 30% time savings for customers applying for multiple products simultaneously [3] - The eStore Common app features data prefilling technology and allows for easy document uploads, enhancing the overall customer experience [6] Group 3: Digital Strategy and Growth - FNB's digital platform, powered by AI and a data warehouse, automates personalized product recommendations and account opening processes, contributing to a 108% increase in eStore Common app submissions between Q1 and Q2 of 2025 [5] - The company is leveraging AI and automation to provide personalized, data-driven recommendations for additional products and services, indicating a strong focus on digital-first banking [5] Group 4: Company Overview - F.N.B. Corporation is headquartered in Pittsburgh, Pennsylvania, and operates in seven states and the District of Columbia, with total assets nearing $50 billion and approximately 350 banking offices [8] - The company offers a comprehensive range of financial services, including commercial banking, consumer banking, and wealth management solutions [9][10]

Core Viewpoint - F.n.b. reported strong Q2 2025 earnings that exceeded analyst expectations, showcasing profitability and capital growth driven by a wider net interest margin, increased loans and deposits, and record fee income [1][5][12] Financial Performance - Non-GAAP earnings per share (EPS) for Q2 2025 were $0.36, surpassing the $0.34 estimate and reflecting a 5.9% year-over-year increase [2] - GAAP revenue reached $438 million, exceeding the forecast of $424.17 million and marking an 8.4% increase from $403.8 million in Q2 2024 [2] - Net income available to common shareholders (GAAP) was $130.7 million in Q2 2025 [5] - Average loan and lease balances rose to $34.5 billion, up 3.7%, while average deposits grew 7.3% to $37.1 billion [5] Profitability Metrics - The net interest margin (non-GAAP) expanded to 3.19%, up from 3.09% in the previous year, indicating improved lending profitability [6] - Non-interest income reached a record $91.0 million, with capital markets income increasing by 34.1% year-over-year [7] Strategic Developments - The bank is focusing on expanding its market reach through both traditional branches and digital channels, alongside investing in new technology platforms [4] - The acquisition of Raptor Partners introduced a new advisory product line, enhancing fee income diversity [7] - Continued investment in technology includes AI-driven digital onboarding and a Clicks-to-Bricks approach to streamline customer interactions [8] Credit Quality and Capital - Credit quality remained robust, although the provision for credit losses (GAAP) increased by 26.8% compared to Q2 2024 [11] - The Common Equity Tier 1 (CET1) regulatory capital ratio was 10.8%, well above regulatory minimums, with tangible book value per share climbing 12.8% to $11.14 [12] Future Guidance - Management maintained full-year guidance for 2025, projecting net interest income between $1.345 billion and $1.385 billion and non-interest income between $350 million and $370 million [13] - Loan growth pipelines are expected to pick up seasonally in the second half of 2025, with ongoing investments in technology and compliance being key areas to monitor [14]

Core Insights - F.N.B. Corporation (FNB) reported second-quarter 2025 earnings of 36 cents per share, exceeding the Zacks Consensus Estimate of 33 cents and up from adjusted earnings of 34 cents in the prior-year quarter [1][10] - The company's net income available to common stockholders was $130.7 million, reflecting a year-over-year increase of 5.7% [2] Financial Performance - Quarterly net revenues reached $438.2 million, an increase of 8.5% from the same quarter last year, surpassing the Zacks Consensus Estimate of $420.8 million [3] - Net interest income (NII) was $347.2 million, up 9.9% year over year, driven by growth in earning assets and lower interest-bearing deposit costs, with a net interest margin (NIM) of 3.19%, expanding 10 basis points [4] - Non-interest income totaled $91 million, a 3.5% increase, with growth in most components except for service charges and mortgage banking operations [5] - Non-interest expenses rose to $246.2 million, an 8.7% increase year over year, with adjusted expenses rising 9% when excluding one-time costs from the previous year [5] Loan and Deposit Growth - At the end of the second quarter, net loans and leases were $34.2 billion, up 1.3% sequentially, while total deposits increased to $37.7 billion, up 1.4% [6] Credit Quality - The provision for credit losses was $25.6 million, a significant increase of 26.7% from the prior-year quarter, with the ratio of non-performing loans and other real estate owned (OREO) to total loans and OREO increasing to 0.34% [7] Capital and Profitability Ratios - As of June 30, 2025, the Tier I leverage ratio improved to 8.78% from 8.63% a year ago, and the common equity Tier 1 (CET1) ratio increased to 10.8% from 10.2% [8] - Return on total average assets was 1.07%, slightly up from 1.06% in the prior-year period, while return on average equity decreased to 8.09% from 8.20% [9] Share Repurchase Activity - During the reported quarter, F.N.B. Corp repurchased 0.7 million shares at an average price of $13.85 [11] Future Outlook - The company's solid liquidity position is expected to support future growth, with anticipated benefits from increased fee income and diverse revenue streams, although rising expenses and significant commercial loan exposures may pose challenges [12]

Financial Data and Key Metrics Changes - The company reported net income available to common shareholders of $130.7 million, or $0.36 per share, with a linked quarter revenue growth of 6.5% [5][19] - Pre-provision net revenue rose 16% from the prior quarter to $192 million, with total revenues reaching a quarterly record of $438 million [5][19] - The CET1 ratio approached 11%, tangible common equity stood at 8.5%, and tangible book value per share increased by 13% year over year to $11.14 [5][25] Business Line Data and Key Metrics Changes - Net interest income was $347 million, while non-interest income reached a record $91 million, more than doubling over the last ten years [5][24] - Average loans and leases totaled $34.5 billion, reflecting a 5.3% annualized linked quarter increase, driven by consumer and commercial loan growth [20] - Non-interest expense totaled $246.2 million, with increases primarily due to strategic hiring and technology investments [24][25] Market Data and Key Metrics Changes - Average total deposits grew to over $37 billion, with a loan-to-deposit ratio of 91.9%, down slightly from the last quarter [6][21] - The company maintained a non-interest-bearing demand deposit level of 26% [6][21] - The cumulative total deposit beta since interest rate cuts began in September was 28% at quarter end [21] Company Strategy and Development Direction - The company is focused on organic growth and diversifying revenue streams, particularly in non-interest income [8][9] - Recent expansions into public finance and corporate investment banking services are part of the strategy to enhance high-value business lines [9] - The integration of the eStore common application into the branch origination platform aims to improve customer onboarding and experience [9][10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for a pickup in commercial loan growth in 2025, supported by a strong short-term commercial loan pipeline [20] - The company is closely monitoring the impact of tariffs and geopolitical events on its loan portfolio while managing strong liquidity and capital positions [12][17] - Management highlighted the importance of maintaining a disciplined approach to credit risk management amid a volatile economic environment [12][17] Other Important Information - The company repurchased 725,000 shares at a weighted average price of $13.85 during the quarter [6] - The efficiency ratio remained favorable at 54.8%, with expectations for positive operating leverage in the second half of 2025 [25] - The company has created a generative AI task force to explore new use cases and ensure responsible risk management around AI usage [12] Q&A Session Summary Question: Margin guidance and expectations - Management indicated that the margin is expected to be flattish to slightly up in the next two quarters, with a significant contribution from growth in earning assets and lower cost of funds [33][34] Question: Expense guidance and investments - The increase in guidance was primarily due to the down payment assistance program, with expectations for higher commissions tied to revenue performance [38][39] Question: Deposit cost perspective and competition - Management noted that total interest-bearing deposit costs are expected to remain stable until the Fed moves, with confidence in their ability to gather deposits due to a diverse geographic footprint [48][49] Question: Future loan growth composition - The company anticipates a shift towards commercial loan growth while the mortgage lending business is expected to taper off, with a focus on high-quality deposits [91][92] Question: Capital management strategy - The company views its capital position as a buffer for funding loan growth, with active share repurchase programs and potential dividend considerations [111][113]

Financial Data and Key Metrics Changes - The company reported a net income available to common shareholders of $130.7 million, or $0.36 per share, with a linked quarter revenue growth of 6.5% [4][18] - Pre-provision net revenue rose 16% from the prior quarter to $192 million, and the CET1 ratio approached 11% [4][24] - The tangible common equity ratio stood at 8.5%, with tangible book value per share increasing by 13% year over year to $11.14 [4][24] Business Line Data and Key Metrics Changes - Net interest income reached a record $347 million, while non-interest income totaled $91 million, marking the highest level in the company's history [4][22] - Average loans and leases totaled $34.5 billion, reflecting a 5.3% annualized linked quarter increase, driven by consumer loans and commercial loans [19] - Non-interest income grew significantly, with capital markets income showing strong performance due to record debt capital markets income [22] Market Data and Key Metrics Changes - Average total deposits grew to over $37 billion, with a non-interest bearing demand deposit level maintained at 26% [5][20] - The loan-to-deposit ratio ended the quarter at 91.9%, down slightly from the last quarter [5][20] - The company experienced organic growth across its diverse geographic footprint, with average annualized loan growth totaling 5.3% [5][20] Company Strategy and Development Direction - The company is focused on expanding its capabilities to gain market share, particularly in non-interest income and diversifying revenue streams [6][10] - Recent expansions into public finance and corporate investment banking services are part of the strategy to enhance high-value business lines [7][10] - The integration of the eStore common application into the branch origination platform is aimed at improving customer onboarding and experience [8][10] Management's Comments on Operating Environment and Future Outlook - Management expressed optimism for a pickup in commercial loan growth in 2025, supported by a strong increase in the short-term commercial loan pipeline [19] - The company is closely monitoring the economic environment, including tariff impacts and geopolitical events, while maintaining strong liquidity and capital positions [11][12] - Management highlighted the importance of maintaining a disciplined approach to credit risk management, resulting in improved asset quality metrics [12][13] Other Important Information - The efficiency ratio remained favorable at 54.8%, with expectations for positive operating leverage in the second half of 2025 [24] - The company is actively managing its capital position, with a CET1 ratio of 10.8% and ongoing share repurchase activities [24][100] - The down payment assistance program costs are expected to taper off after fulfilling commitments from a settlement agreement [23][94] Q&A Session Summary Question: Margin guidance for the third quarter - Management indicated expectations for a flattish to slightly up margin in the next two quarters, with a significant increase in net interest income contributing to this outlook [31][32] Question: Increase in expenses due to the Payment Assistance Program - The increase in expenses was primarily due to the down payment assistance program, which is expected to stabilize in the coming quarters [37][38] Question: Deposit cost perspective and competition - Management noted that total interest-bearing deposit costs are expected to remain stable until the Federal Reserve makes a move, with confidence in their ability to gather deposits due to a diverse geographic footprint [46][47] Question: Future loan growth composition - The company anticipates a shift towards commercial loan growth while tapering off residential mortgage lending, with a strong short-term pipeline in commercial lending [80][84] Question: Confidence in deposit growth - Management expressed confidence in deposit growth, supported by a strong pipeline of commercial deposit prospects and a focus on non-interest bearing deposits [114]

Financial Performance - Net income available to common shareholders increased by 121% linked-quarter to $1307 million or $036 per diluted common share[10] - Revenue grew by 65% linked-quarter driven by record net interest income and non-interest income[10] - Pre-provision net revenue totaled $1920 million a 165% increase from the prior quarter[10] Balance Sheet and Asset Quality - Average total loans and leases increased by $4517 million or 53% annualized linked-quarter[10] - Average total deposits increased by $1556 million or 17% annualized linked-quarter with non-interest-bearing deposits stable at 26% of total deposits[10] - The ratio of non-performing loans and OREO to total loans and OREO decreased 14 basis points to 034% from the prior quarter[10] - Allowance for Credit Losses totaled $4321 million or 125% of loans stable with the prior quarter[10] Capital and Shareholder Returns - Record tangible book value of $1114 per share with year-over-year growth of $126 or 128%[10] - Record capital metrics CET1 ratio of 108% and tangible common equity to tangible assets of 85%[10] - The company repurchased 07 million shares of common stock at a weighted average share price of $1385 during the second quarter of 2025[10] Guidance - The company expects mid-single-digit growth for both spot loans and spot deposits[65]

F.N.B. Corporation Reports Second Quarter Earnings Record Revenue of $438 Million Grew 6.5% Linked-Quarter With Increased Profitability Driving Record Capital Levels PITTSBURGH, PA – July 17, 2025 – F.N.B. Corporation (NYSE: FNB) reported earnings for the second quarter of 2025 with net income available to common shareholders of $130.7 million, or $0.36 per diluted common share. Comparatively, second quarter of 2024 net income available to common shareholders totaled $123.0 million ($123.7 million on an ope ...