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Why Huntington Bancshares (HBAN) Is Getting Attention Now

Simply Wall St · 1d ago

Huntington Bancshares (HBAN) is drawing attention as investors weigh an upcoming October 22 earnings report that is expected to show lower profit per share alongside higher revenue, while management also pushes into international corporate banking.

Over the past year, Huntington Bancshares has seen its share price drift lower in recent months, with the 90 day share price return down 16.33% and the year-to-date share price return down 12.64%. At the same time, the 1 year total shareholder return remains slightly positive at 2.30%, and the 3 year total shareholder return stands at a much higher 79.18%, pointing to fading near-term momentum following a strong multi-year run.

Scan how Huntington Bancshares compares with other regional financial institutions under pressure, and see which peers look stronger on balance sheet and earnings resilience using the list of solid balance sheet and fundamentals (25 results).

Huntington Bancshares now trades well below both analyst targets and some intrinsic value estimates after a sharp pullback into the earnings print. The key question is whether that gap reflects opportunity or lingering risk that the market has not fully priced in.

Most Popular Narrative: 21% Undervalued

Putting the narrative fair value of about $19.38 next to Huntington Bancshares' last close at $15.27 highlights a clear gap that the most followed thesis tries to explain through fee income growth, partnerships and disciplined risk appetite.

The expansion into Texas through the Veritex acquisition, together with the Cadence partnership and build-out in the Carolinas, is widening Huntington Bancshares’ footprint in higher population growth markets and is supported by sequential loan and deposit growth, which can underpin future revenue and earnings. Value-added fee businesses at Huntington Bancshares, including payments, wealth management, capital markets and loan and deposit fees, are still growing faster than the balance sheet, with recent double digit growth in several of these areas, which can increase noninterest income and support net margins as funding costs stay elevated.

See why 49 investors see Huntington Bancshares as 21% undervalued.

Result: Fair Value of $19.38 (UNDERVALUED)

Still, the story can break if partnership integrations drag out with higher costs than planned, or if deposit competition continues to squeeze net interest income more than expected.

Find out about the key risks to this Huntington Bancshares narrative.

Next Steps

Mixed signals around Huntington Bancshares can feel messy, so move quickly, review both sides of the story and weigh the 5 key rewards and 1 important warning sign

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This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.