WesBanco Q3 adjusted EPS beats estimates driven by loan growth, higher yields

By Reuters News


Overview

  • U.S. regional bank's Q3 adjusted EPS beat analyst expectations

  • Net interest income for Q3 rose 4.7% yr/yr, driven by loan growth and higher yields

  • Company reported 8.7% annualized loan growth over prior quarter, led by expansion markets


Outlook

  • WesBanco did not provide specific financial guidance for the current or future periods


Result Drivers

  • LOAN GROWTH - Co said organic loan growth more than offset elevated commercial real estate payoffs, with targeted expansion markets generating over $400 mln in new loans

  • LOWER FUNDING COSTS - Co attributed year-over-year net interest margin improvement to lower funding costs

  • RECORD FEE INCOME - Co reported record fee income levels across service charges on deposits, digital banking, and treasury management, plus $2.8 mln in new commercial swap revenue


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 Adjusted EPS

Beat

$0.89

$0.87 (6 Analysts)

Q3 Net Interest Income

$226.90 mln

Q3 Net Interest Margin

3.60%


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 3 "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 Wesbanco, Inc. is $44.00, about 16.9% above its October 20 closing price of $37.63

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


Reuters Recommended Reads

  • Oct 19 - ServisFirst Bancshares Q3 profit jumps on loan growth, wider interest margin

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

  • Oct 21 - Pinnacle Financial Partners Q3 adjusted profit beats estimates on loan, fee income growth


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(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.)

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