Fulton Financial Corporation (FULT), a regional bank and a component of the SPDR S&P Regional Banking ETF (KRE) portfolio, delivered a strong Q1 2026 result, supporting gains for investors. The bank reported operating earnings per share (EPS) of $0.55, surpassing analyst expectations of $0.47 by about 12.2%.
Meet Samuel – Your Personal Investing Prophet
- Start a conversation with TipRanks’ trusted, data-backed investment intelligence
- Ask Samuel about stocks, your portfolio, or the market and get instant, personalized insights in seconds
Revenue also came in ahead of estimates at about $336.2 million, compared with the $334.08 million consensus forecast. The company’s first-quarter results were released on April 22 after market close.
Fulton Reports Stellar Q1 Earnings Growth
Fulton’s strong Q1 earnings were supported by stronger revenue generation and disciplined cost control, according to the company’s management. Its reported revenue is up 4.2% year-over-year, while operating net income came in at $99.7 million, or $0.55 per share, holding steady compared to the prior quarter.
In addition, Chairman, CEO, and President Curt Myers noted that operating profitability remained firm. He also highlighted an increase in pre-provision net revenue to $141 million. As a result, the efficiency ratio declined to 56.7%, indicating better cost control for the bank. Meanwhile, loan balances grew by $121 million, and deposits rose by $179 million, indicating steady business activity heading into Q2.
The revenue performance comes amid a strong quarter for regional bank stocks within the KRE ETF. Earnings from banks, including The PNC Financial Services Group (PNC), KeyCorp (KEY), and Regions Financial Corporation (RF), also showed stronger commercial lending, as the firms borrowed more and continued using existing credit lines.
FULT Strengthens Outlook for KRE Regional Bank ETF
Fulton shares held steady at $21.86 after the earnings release, although the stock had gained about 7% in the month leading up to the report’s release. For holders of the SPDR S&P Regional Banking ETF, the reaction reflected continued confidence in the stability of regional banks.
Looking ahead, analysts expect Fulton’s revenue to rise to $339.6 million in Q2 2026, up from $336.2 million in Q1. Meanwhile, full-year estimates point to $1.36 billion in revenue and EPS of $2.10, signaling analysts’ expectations for steady growth. The firm’s management also reaffirmed its full-year guidance, adding further support to its trajectory.
Notably, the Q1 results also came shortly after Fulton’s acquisition of Blue Foundry Bank, which expanded its asset base to about $34 billion. Management expects the deal to boost earnings and tangible book value right away, which is positive for shareholders. Combined costs are projected at millions, while cost savings are expected to build through 2026, supporting the long-term outlook for Regional Bank ETFs that hold FULT, including KRE.
Is KRE a Good Stock to Buy?
Based on TipRanks data, the KRE ETF, which holds approximately 149 regional bank stocks, carries a Moderate Buy consensus rating from analysts tracked by TipRanks. Wall Street analysts have assigned a Buy rating to 93 stocks, a Hold to 54, and a Sell to just 2. The ETF has an average 12-month price target of $75.74, implying a 9.37% upside from its current price. For more information on KRE and other ETFs, visit the TipRanks ETF Comparison Center.
