Citi analyst Keith Horowitz has maintained their bullish stance on TFC stock, giving a Buy rating on August 4.
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Keith Horowitz has given his Buy rating due to a combination of factors that highlight Truist Financial’s potential for growth and stability. One of the primary reasons is the company’s strategic positioning in the Southeast markets, which are considered highly attractive. This positioning is expected to support Truist’s goal of achieving a mid-teens return on tangible common equity (ROTCE), with the current market pricing reflecting a 12% ROTCE run rate.
Additionally, Truist Financial is focusing on fee revenue growth, particularly in treasury management, where they anticipate low double-digit growth. The company has also been strengthening its sales force to enhance product capabilities. Despite some challenges, such as deposit funding pressure and a slow asset repricing process, the expectation of lower short-term rates and stability in deposit market share are seen as positive factors. Overall, these elements contribute to the optimistic outlook and the Buy rating assigned by Horowitz.
In another report released on August 4, RBC Capital also maintained a Buy rating on the stock with a $47.00 price target.
Based on the recent corporate insider activity of 22 insiders, corporate insider sentiment is negative on the stock. This means that over the past quarter there has been an increase of insiders selling their shares of TFC in relation to earlier this year.