Fulton Financial Q3 net income rises sequentially on lower acquisition expenses

Overview

• U.S. regional bank's Q3 net income rose from prior quarter

• Net interest income for Q3 increased compared to previous quarter

• Company repurchased $56.1 mln of shares in Q3

Outlook

• Company did not provide specific financial guidance for future quarters or full year

Result Drivers

• HIGHER INTEREST INCOME - Co attributed net interest income growth to increased interest income from loans and securities, and lower interest expense on borrowings

• LOWER ACQUISITION EXPENSES - Co said decrease in acquisition-related expenses reduced non-interest expense

• DEPOSIT GROWTH - Co said deposit growth was driven by commercial deposits and seasonal municipal trends

Company press release:

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 2 "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 Fulton Financial Corporation is $26.00, about 14.9% above its October 20 closing price of $22.63

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 11 three months ago

Reuters Recommended Reads

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• Oct 20 - East West Bancorp Q3 revenue beats estimates on loan and deposit growth

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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.)