Truist Financial (NYSE:TFC) Shares Gap Down on Disappointing Earnings

Truist Financial Corporation (NYSE:TFC)’s share price gapped down before the market opened on Wednesday after the company announced weaker than expected quarterly earnings. The stock had previously closed at $49.14, but opened at $47.83. Truist Financial shares last traded at $50.0480, with a volume of 7,001,500 shares.

The insurance provider reported $1.00 earnings per share (EPS) for the quarter, missing analysts’ consensus estimates of $1.09 by ($0.09). The business had revenue of $5.30 billion for the quarter, compared to the consensus estimate of $5.32 billion. Truist Financial had a return on equity of 9.03% and a net margin of 17.09%.Truist Financial’s quarterly revenue was up 3.6% on a year-over-year basis. During the same quarter in the previous year, the company posted $0.91 earnings per share.

Truist Financial Dividend Announcement

The business also recently announced a quarterly dividend, which was paid on Monday, December 1st. Investors of record on Friday, November 14th were paid a dividend of $0.52 per share. The ex-dividend date of this dividend was Friday, November 14th. This represents a $2.08 annualized dividend and a yield of 4.1%. Truist Financial’s dividend payout ratio is currently 55.91%.

Truist Financial announced that its board has approved a share repurchase program on Tuesday, December 16th that authorizes the company to repurchase $10.00 billion in shares. This repurchase authorization authorizes the insurance provider to purchase up to 15.7% of its stock through open market purchases. Stock repurchase programs are usually a sign that the company’s management believes its stock is undervalued.

Trending Headlines about Truist Financial

Here are the key news stories impacting Truist Financial this week:

• Positive Sentiment: TD Cowen raised its price target on TFC to $60 and maintained a “buy” rating, implying roughly ~19% upside from current levels — supportive analyst sentiment that can lift the stock. Benzinga
• Positive Sentiment: Some outlets report Truist delivered an adjusted Q4 EPS beat (reported $1.12 vs. the Zacks consensus $1.09), and year-over-year EPS improvement — this stronger-than-expected profitability on an adjusted basis is a near-term positive for shares. Zacks: Earnings Beat
• Neutral Sentiment: Truist posted its full Q4 release, slide deck and earnings call materials — useful for investors who want to dig into line-item trends (NII, fees, loan growth and provisioning). PR Newswire: Q4 Release
• Neutral Sentiment: Company updated Q1 and FY‑2026 revenue guidance with ranges slightly below consensus (Q1: ~$5.1–5.2B vs. consensus ~$5.2B; FY: $21.3–21.5B vs. ~$21.4B) — guidance is broadly in line but offers limited upside visibility. Slide Deck
• Negative Sentiment: Other reports show a weaker headline EPS (MarketBeat cited $1.00, missing estimates) and revenue slightly shy of expectations — conflicting presentations of GAAP vs. adjusted results can pressure sentiment. MarketBeat: Q4 Results
• Negative Sentiment: Analysts and coverage note rising operating expenses and higher credit provisions offsetting NII/fee gains, and commentary that growth is muted — Seeking Alpha highlighted a downgrade and skepticism that buybacks will offset slower underlying growth. Those factors are weighing on the stock. Seeking Alpha: Downgrade

Analyst Ratings Changes

A number of equities analysts have recently issued reports on TFC shares. Citigroup increased their price objective on shares of Truist Financial from $60.00 to $63.00 and gave the stock a “buy” rating in a research report on Wednesday, December 31st. Barclays lowered Truist Financial from an “equal weight” rating to an “underweight” rating and increased their price target for the stock from $47.00 to $56.00 in a report on Monday, January 5th. TD Cowen boosted their price objective on Truist Financial from $59.00 to $60.00 and gave the company a “buy” rating in a report on Thursday. Evercore ISI raised Truist Financial from a “hold” rating to an “outperform” rating and upped their target price for the stock from $49.00 to $58.00 in a research report on Tuesday, January 6th. Finally, The Goldman Sachs Group reissued a “buy” rating and issued a $58.00 price target on shares of Truist Financial in a research report on Tuesday, January 6th. Six investment analysts have rated the stock with a Buy rating, seven have issued a Hold rating and one has assigned a Sell rating to the company. Based on data from MarketBeat, Truist Financial has an average rating of “Hold” and an average price target of $53.20.

Insider Buying and Selling at Truist Financial

In related news, Director K. David Jr. Boyer sold 5,160 shares of Truist Financial stock in a transaction that occurred on Tuesday, November 25th. The stock was sold at an average price of $46.45, for a total transaction of $239,682.00. Following the transaction, the director owned 10,153 shares of the company’s stock, valued at $471,606.85. The trade was a 33.70% decrease in their ownership of the stock. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this link. 0.17% of the stock is owned by corporate insiders.

Hedge Funds Weigh In On Truist Financial

Several large investors have recently bought and sold shares of the stock. Richardson Financial Services Inc. raised its holdings in shares of Truist Financial by 33.3% in the fourth quarter. Richardson Financial Services Inc. now owns 2,065 shares of the insurance provider’s stock valued at $102,000 after purchasing an additional 516 shares during the last quarter. Venturi Wealth Management LLC grew its position in Truist Financial by 9.1% in the 4th quarter. Venturi Wealth Management LLC now owns 13,058 shares of the insurance provider’s stock worth $643,000 after purchasing an additional 1,090 shares in the last quarter. Premier Path Wealth Partners LLC increased its stake in Truist Financial by 3.8% in the 4th quarter. Premier Path Wealth Partners LLC now owns 14,203 shares of the insurance provider’s stock valued at $699,000 after buying an additional 516 shares during the last quarter. Douglas Lane & Associates LLC lifted its position in shares of Truist Financial by 2.0% during the 4th quarter. Douglas Lane & Associates LLC now owns 1,167,167 shares of the insurance provider’s stock worth $57,436,000 after buying an additional 23,339 shares in the last quarter. Finally, Kennebec Savings Bank lifted its position in shares of Truist Financial by 2.2% during the 4th quarter. Kennebec Savings Bank now owns 10,763 shares of the insurance provider’s stock worth $530,000 after buying an additional 230 shares in the last quarter. 71.28% of the stock is currently owned by institutional investors.

Truist Financial Price Performance

The stock has a market cap of $64.35 billion, a PE ratio of 13.20, a P/E/G ratio of 0.95 and a beta of 0.89. The company has a debt-to-equity ratio of 0.70, a quick ratio of 0.86 and a current ratio of 0.87. The business has a 50 day moving average price of $48.65 and a two-hundred day moving average price of $46.14.

Truist Financial Company Profile

Truist Financial Corporation is an American bank holding company that provides a broad range of financial services through its primary subsidiary, Truist Bank, and other operating units. The company offers traditional retail banking products and services such as deposit accounts, consumer and residential mortgage lending, and credit and debit card services. Truist also serves commercial clients with middle-market and corporate lending, treasury and payment solutions, and specialty finance products.

Beyond core banking, Truist operates wealth management, asset management, insurance and capital markets businesses.