Associated Banc-Corp Q3 adjusted EPS beats estimates 

Overview

• US Midwest regional bank's Q3 adjusted EPS beat analyst expectations

• Net interest income rose 24% yr/yr, driven by deposit growth and margin expansion

• Company repurchased $100 mln in common stock during the quarter

Outlook

• Company expects 2026 period end loan growth of 18% to 20% vs 2025

• Associated Banc-Corp sees 2026 period end total deposit growth of 17% to 19%

• Company now expects 2026 net interest income growth of 19% to 21% vs 2025

Result Drivers

• DEPOSIT GROWTH - Co said strong growth in core customer deposits contributed to quarterly results

• NET INTEREST MARGIN - Net interest margin expanded to 3.20%, up 3 basis points from the prior quarter and 16 basis points from the same period last year

• FEE INCOME - Noninterest income rose 7% yr/yr, with increases in service charges, card-based fees, and other fee-based revenue

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", 6 "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 Associated Banc-Corp is $34.00, about 16.5% above its October 21 closing price of $29.18

• The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 10 three months ago

Reuters Recommended Reads

• Oct 20 - KeyCorp Q3 revenue rises 8% to record, profit up 24%

• Oct 19 - Zions Bancorp Q3 EPS rises 20% on improved credit quality

• Oct 22 - Huntington Bancshares Q3 EPS unchanged, net interest income up

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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.)