Truist Financial: A Combination Of High-Yielding Preferreds And Common Stock Makes The Most Sense

Impact · against what's priced in

The reported earnings for Truist provide no catalyst for the common stock as the market has already priced in a significant deceleration in growth and is ignoring current income momentum. The normalized EPS figures merely confirm the baseline performance the stock is currently trading at, failing to trigger the re-rating to 1.4x price-to-book that the market currently declines.

TFC+0.00

Already priced in

The price assumes

The recent double-digit year-over-year growth in net earnings and non-interest income, which the market treats as a peak rather than a new baseline.