Trustmark Q3 revenue, net interest income rise

Overview

• U.S. regional bank reported Q3 net income of $58.1 mln and EPS of $1.00

• Q3 revenue rose 2.4% yr/yr; net interest income up 3.2% yr/yr

• Company completed branch sale-leaseback and restructured securities portfolio, offsetting gains and losses

Outlook

• Company expects recent strategic actions to enhance future earnings capacity

Result Drivers

• NET INTEREST INCOME - Net interest income grew 3.2% yr/yr, supporting Q3 earnings

• CREDIT QUALITY - Co said strong credit quality contributed to results

• LOANS HELD FOR INVESTMENT - Increased $321.0 mln or 2.4% yr/yr, despite elevated payoff activity and a highly competitive lending environment

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 5 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy."

• Wall Street's median 12-month price target for Trustmark Corporation is $50.00, about 8.2% above its October 26 closing price of $46.22

• The stock recently traded at 11 times the next 12-month earnings vs. a P/E of 12 three months ago

Reuters Recommended Reads

• Oct 27 - NBT Bancorp Q3 profit rises on loan growth, higher net interest income

• Oct 27 - UMB Financial Q3 profit rises on record loans

• Oct 27 - Western New England Bancorp Q3 profit nearly doubles on higher net interest income

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)