Regions Financial (RF) appears an attractive pick, as it has been recently upgraded to a Zacks Rank #2 (Buy). This rating change essentially reflects an upward trend in earnings estimates -- one of the most powerful forces impacting stock prices.The sole determinant of the Zacks rating is a company's changing earnings picture. The Zacks Consensus Estimate -- the consensus of EPS estimates from the sell-side analysts covering the stock -- for the current and following years is tracked by the system.The power ...

Core Viewpoint - Regions Financial Corporation (RF) has shown significant stock performance, with an 81.8% increase over the past year, outperforming its industry and peers [1][4]. Price Performance - RF shares reached a 52-week high of $27.32 before closing at $27.28 [1]. Factors Driving RF Stock - Regulatory changes following the recent U.S. presidential elections are expected to ease restrictions on banks, potentially increasing Regions Financial's fee income [4][5]. - The Federal Reserve's interest rate cuts are anticipated to stabilize funding costs, supporting net interest income (NII) growth, which has seen a CAGR of 7.3% over the past five years [6]. - Management projects modest NII growth from $1.23 billion in Q3 2024 [6]. Liquidity and Capital Distribution - As of September 30, 2024, Regions Financial reported total debt of $7.52 billion and liquidity sources of $62 billion, indicating a strong liquidity profile [7]. - The bank has increased its quarterly common stock dividend by 4% to 25 cents per share and has a share repurchase program of up to $2.5 billion, with $193 million repurchased in the first nine months of 2024 [8][9]. Loan Growth - Regions Financial has experienced a CAGR of 3.4% in loan balances over the past five years, with expectations for future growth driven by its strategic market presence [10]. Valuation Perspective - Despite the stock's recent rally, RF is considered inexpensive relative to the industry, with a forward P/E multiple of 12.05X compared to the industry's 13.44X [11]. - The stock is viewed as undervalued, with positive estimate revisions for the current and next year [15][17].

Table of Contents or UNITED STATES SECURITIES AND EXCHANGE COMMISSION Washington, D.C. 20549 Form10-Q ☒ Quarterly report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the quarterly period ended September 30, 2024 ☐ Transition report pursuant to Section 13 or 15(d) of the Securities Exchange Act of 1934 For the transition period from to Commission File Number: 001-34034 | --- | --- | --- | |-----------------------------------------------------------------------------------------| ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.While many investors like to look for moment ...

Financial Data and Key Metrics Changes - The company reported strong third quarter earnings of $446 million, resulting in earnings per share of $0.49 [6] - Total revenue grew on both a reported and adjusted basis, with improvements in net interest income and fee revenue [6] - Adjusted noninterest expense increased modestly quarter-over-quarter, while average loans remained stable and ending loans declined slightly [6][10] Business Line Data and Key Metrics Changes - Average consumer loans remained stable, with modest growth in credit cards offset by declines in other categories [10] - Adjusted noninterest income increased by 9%, driven by improvements in service charges, capital markets, and wealth management [14] - Capital markets revenue increased by 35% due to higher M&A advisory fees and increased securities underwriting [14] Market Data and Key Metrics Changes - Average deposits declined slightly, while ending deposits remained stable during the quarter [7] - The percentage of noninterest-bearing deposits remained stable in the low 30% range [11] - The company expects real GDP to be in the 2% range in 2025, indicating a cautiously optimistic economic outlook [24] Company Strategy and Development Direction - The company is focused on understanding customer needs and providing tailored solutions, positioning itself to support clients as macroeconomic conditions improve [7] - Investments are being made in talent, technology, and products to benefit from improving macroeconomic conditions [8] - The company aims to generate positive operating leverage in 2025 by managing expenses and focusing on revenue generation [37] Management's Comments on Operating Environment and Future Outlook - Management noted that corporate customers remain cautiously optimistic, with hesitance in capital expenditures until political and economic uncertainties are resolved [7] - Credit metrics have stabilized, and overall credit performance continued to improve during the quarter [16] - The company expects to maintain its common equity Tier 1 ratio and provide capital flexibility for strategic growth objectives [18] Other Important Information - The company recognized $14 million in expenses related to ongoing litigation with Visa [15] - Nonperforming loans as a percentage of total loans declined to 0.85% [17] - The company transferred $2.5 billion of available-for-sale securities to held-to-maturity to reduce volatility [18] Q&A Session Summary Question: Insights on NII momentum and future margin expectations - Management remains confident in achieving a margin closer to 3.60 in the future, despite a potential step back in the fourth quarter [19][20] Question: Loan demand and growth catalysts - Management indicated that while pipelines are softer, modest growth in loans is expected in 2025 as economic clarity improves [22][23] Question: Confidence in expense management and operating leverage - Management expressed confidence in maintaining expense estimates and achieving positive operating leverage in 2025 [25][26] Question: Credit charge-offs outlook - Management expects charge-offs to remain in the 40 to 50 basis points range, with good consumer credit performance [29][30] Question: Deposit pricing and growth implications - Management anticipates continued decline in deposit costs and is positioned to grow deposits while balancing loan growth [31][48] Question: Investment in capital markets and private credit - Management is monitoring developments in private credit but currently has no specific plans for investment in that area [50]

For the quarter ended September 2024, Regions Financial (RF) reported revenue of $1.79 billion, down 3.6% over the same period last year. EPS came in at $0.57, compared to $0.49 in the year-ago quarter.The reported revenue compares to the Zacks Consensus Estimate of $1.79 billion, representing a surprise of +0.26%. The company delivered an EPS surprise of +7.55%, with the consensus EPS estimate being $0.53.While investors closely watch year-over-year changes in headline numbers -- revenue and earnings -- an ...

Regions Financial Corporation’s (RF) third-quarter 2024 adjusted earnings per share of 57 cents beat the Zacks Consensus Estimate of 53 cents. This compares favorably with earnings of 49 cents per share in the year-ago quarter.Find the latest earnings estimates and surprises on the Zacks Earnings Calendar.A decrease in non-interest expenses and an increase in non-interest income supported RF’s results. Also, Regions Financial’s strong capital position indicates its availability of adequate capital to use to ...

Regions Financial (RF) came out with quarterly earnings of $0.57 per share, beating the Zacks Consensus Estimate of $0.53 per share. This compares to earnings of $0.49 per share a year ago. These figures are adjusted for non-recurring items. This quarterly report represents an earnings surprise of 7.55%. A quarter ago, it was expected that this holding company for Regions Bank would post earnings of $0.49 per share when it actually produced earnings of $0.52, delivering a surprise of 6.12%. Over the last fo ...

Exhibit 99.2 Regions Financial Corporation and Subsidiaries Financial Supplement (unaudited) Third Quarter 2024 Regions Financial Corporation and Subsidiaries Financial Supplement (unaudited) to Third Quarter 2024 Earnings Release Table of Contents | --- | --- | |-----------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------------|-------| | | Page | | | | | Fina ...

Momentum investing revolves around the idea of following a stock's recent trend in either direction. In the 'long' context, investors will be essentially be "buying high, but hoping to sell even higher." With this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving that way. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.Even though momentum is a popular stock char ...