Fifth Third Bancorp (FITB)
NASDAQ:FITB
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Fifth Third Bancorp
(NASDAQ:FITB)
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Rating:68Neutral
Price Target:
$51.00
â–²(14.50% Upside)
Action:DowngradedDate:03/11/26
The score is driven by solid underlying financial performance and constructive 2026 guidance tied to the Comerica integration and expected synergies, supported by reasonable valuation and a ~3.3% dividend yield. These positives are tempered by weak near-term technical momentum and execution/capital sensitivity risks around the merger and cash-flow volatility.
Positive Factors
Strong profitability & efficiency
Consistent high returns and an efficient cost base indicate durable operating leverage. A mid-50s efficiency ratio and robust PPNR enable the bank to absorb integration costs, support reinvestment and capital returns, and sustain long-term shareholder returns even through cycles.
Negative Factors
Volatile cash generation
Sharp FCF declines and year-to-year variability weaken the bank’s ability to consistently fund dividends, buybacks, and M&A without relying on external financing. Persistent cash conversion volatility raises execution risk during economic stress and curtails financial flexibility.
Read all positive and negative factors
Positive Factors
Negative Factors
Strong profitability & efficiency
Consistent high returns and an efficient cost base indicate durable operating leverage. A mid-50s efficiency ratio and robust PPNR enable the bank to absorb integration costs, support reinvestment and capital returns, and sustain long-term shareholder returns even through cycles.
Read all positive factors
Fifth Third Bancorp (FITB) vs. SPDR S&P 500 ETF (SPY)
Market Cap
$40.17B
Dividend Yield3.14%
Average Volume (3M)10.30M
Price to Earnings (P/E)12.3
Beta (1Y)1.04
Revenue Growth0.15%
EPS Growth11.62%
CountryUS
Employees18,786
SectorFinancial
Sector Strength70
IndustryBanks - Regional
Share Statistics
EPS (TTM)1.04
Shares Outstanding901,819,030
10 Day Avg. Volume11,520,712
30 Day Avg. Volume10,304,371
Financial Highlights & Ratios
PEG Ratio1.00
Price to Book (P/B)1.43
Price to Sales (P/S)2.42
P/FCF Ratio8.17
Enterprise Value/Market Cap1.02
Enterprise Value/Revenue3.17
Enterprise Value/Gross Profit4.85
Enterprise Value/Ebitda11.28
Forecast
1Y Price Target
$57.17Price Target Upside28.36% Upside
Rating ConsensusStrong Buy
Number of Analyst Covering16
EPS Forecast (FY)3.37
Revenue Forecast (FY)$12.90B
Fifth Third Bancorp Business Overview & Revenue Model
Company Description
Fifth Third Bancorp operates as a diversified financial services company in the United States. The company's Commercial Banking segment offers credit intermediation, cash management, and financial services; lending and depository products; and cas...
How the Company Makes Money
Fifth Third Bancorp primarily makes money through (1) net interest income and (2) noninterest income. Net interest income is earned from the spread between interest income on interest-earning assets (such as commercial and industrial loans, commer...
Fifth Third Bancorp Key Performance Indicators (KPIs)
Any
Assets by Segment
Breaks down the company's assets across different segments, providing insight into asset allocation, growth opportunities, and potential risks tied to specific business areas.
Breaks down the company's assets across different segments, providing insight into asset allocation, growth opportunities, and potential risks tied to specific business areas.
Data provided by:
The Fly
The FlyFifth Third Bancorp Earnings Call Summary
Earnings Call Date:Jan 20, 2026
(Q4-2025)
| % Change Since: |
Next Earnings Date:Apr 17, 2026
Earnings Call Sentiment Positive
The call highlighted strong underlying operating performance across revenue, NII, efficiency and credit metrics, significant digital and branch expansion momentum, and a clearly outlined merger with Comerica expected to deliver meaningful expense and revenue synergies. Management acknowledged near-term integration costs, some deposit mix and utilization headwinds, and capital/AOCI sensitivity tied to the transaction. Overall, the positives — strong profitability, accelerating payment and wealth businesses, and materially accretive merger economics with early closing and conversion timing benefits — outweigh the identified lowlights and near-term risks.Positive Updates
Strong Profitability and Efficiency
Reported EPS of $1.04 ($1.08 excluding certain items); adjusted return on equity 14.5%; adjusted return on assets 1.41%; adjusted efficiency ratio 54.3%; adjusted PPNR over $1 billion (a 6% increase YoY); return on average tangible common equity (ex-AOCI) 16.2%; tangible book value per share grew 21% YoY.
Negative Updates
Modest Core Deposit Growth and Funding Mix
Average core deposits increased only 1% YoY, driven by 5% consumer DDA growth but offset by slower interest-bearing product growth. Interest-bearing deposit cost was 2.28% in Q4 (down 40 bps YoY), and management notes a need to remix deposits given Comerica's lower retail deposit concentration.
Read all updates
Q4-2025 Updates
Positive
Negative
Strong Profitability and Efficiency
Reported EPS of $1.04 ($1.08 excluding certain items); adjusted return on equity 14.5%; adjusted return on assets 1.41%; adjusted efficiency ratio 54.3%; adjusted PPNR over $1 billion (a 6% increase YoY); return on average tangible common equity (ex-AOCI) 16.2%; tangible book value per share grew 21% YoY.
Read all positive updates
Company Guidance
Guidance for 2026 assumes the Comerica close on Feb. 1 with systems conversion around end‑Q3 (now targeted for Labor Day), and management expects full‑year net interest income of $8.6–$8.8 billion with NIM ~15 bps higher on close (driven by 4–5 bps accretion on retained securities, 4–5 bps from securities repositioning, 3–4 bps from cash‑flow hedge repositioning and 2–3 bps from funding/mix), full‑year average loans in the mid‑$170 billion range, adjusted noninterest income $4.0–$4.4 billion, and adjusted noninterest expense $7.0–$7.3 billion (ex‑CDI amortization and ~$1.3 billion acquisition charges). They expect to realize 37.5% of the $850 million annualized expense synergies in 2026 (≈$319M), though integration progress could push in‑year saves toward ~$400M with ~$40M of reinvestment; CDI amortization from the deal is roughly $20M/month (stepping down in year two), and guidance assumes forward curve cuts of 25 bps in March and July. Management sees adjusted revenue and PPNR (ex‑CDI) up ~40–45% vs. 2025 with 100–200 bps of positive operating leverage, net charge‑offs of 30–40 bps, pro forma CET1 near a 10.5% target post‑close, and plans to resume regular share repurchases in 2026.Fifth Third Bancorp Financial Statement Overview
Summary
Income Statement
78
Positive
Balance Sheet
72
Positive
Cash Flow
58
Neutral
| Breakdown | Dec 2025 | Dec 2024 | Dec 2023 | Dec 2022 | Dec 2021 |
|---|---|---|---|---|---|
Income Statement | |||||
| Total Revenue | 12.87B | 13.05B | 12.36B | 9.08B | 7.95B |
| Gross Profit | 8.40B | 7.72B | 7.91B | 7.54B | 7.88B |
| EBITDA | 3.62B | 3.41B | 3.45B | 3.53B | 3.87B |
| Net Income | 2.52B | 2.31B | 2.35B | 2.45B | 2.77B |
Balance Sheet | |||||
| Total Assets | 214.38B | 212.93B | 214.57B | 207.45B | 211.12B |
| Cash, Cash Equivalents and Short-Term Investments | 22.38B | 58.94B | 74.92B | 62.45B | 75.16B |
| Total Debt | 14.52B | 18.97B | 19.43B | 18.61B | 12.65B |
| Total Liabilities | 192.65B | 193.28B | 195.40B | 190.13B | 188.91B |
| Stockholders Equity | 21.72B | 19.64B | 19.17B | 17.33B | 22.21B |
Cash Flow | |||||
| Free Cash Flow | 3.81B | 2.41B | 3.99B | 5.74B | 2.40B |
| Operating Cash Flow | 4.51B | 2.82B | 4.51B | 6.43B | 2.70B |
| Investing Cash Flow | -1.85B | 1.04B | -9.49B | -4.87B | -7.97B |
| Financing Cash Flow | -2.18B | -3.99B | 4.66B | -1.08B | 5.11B |
Fifth Third Bancorp Technical Analysis
Negative
44.54
Price Trends
49.51
Negative
47.53
Negative
45.09
Negative
Market Momentum
-1.38
Negative
37.04
Neutral
61.36
Neutral
Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For FITB, the sentiment is Negative. The current price of 44.54 is below the 20-day moving average (MA) of 45.89, below the 50-day MA of 49.51, and below the 200-day MA of 45.09, indicating a bearish trend. The MACD of -1.38 indicates Negative momentum. The RSI at 37.04 is Neutral, neither overbought nor oversold. The STOCH value of 61.36 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for FITB.
Fifth Third Bancorp Risk Analysis
Fifth Third Bancorp disclosed 44 risk factors in its most recent earnings report. Fifth Third Bancorp reported the most risks in the "Finance & Corporate" category.
Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy
Latest Risks Added 0 New Risks
Fifth Third Bancorp Peers Comparison
UnderperformOutperform
Sector (68)
Name | Overall Rating | Market Cap | P/E Ratio | ROE | Dividend Yield | Revenue Growth | EPS Growth |
|---|---|---|---|---|---|---|---|
74 Outperform | $29.94B | 11.54 | 9.88% | 2.76% | -0.81% | 20.34% | |
72 Outperform | $21.73B | 11.00 | 11.45% | 3.74% | 4.00% | 28.54% | |
69 Neutral | $24.56B | 13.76 | 7.16% | 2.89% | -3.93% | 40.62% | |
68 Neutral | $40.17B | 12.33 | 11.96% | 3.14% | 0.15% | 11.62% | |
68 Neutral | $18.00B | 11.42 | 9.92% | 3.81% | 9.73% | 1.22% | |
67 Neutral | $30.61B | 11.61 | 10.06% | 3.50% | 5.73% | 38.39% | |
63 Neutral | $21.19B | 11.08 | 9.26% | 3.90% | 3.86% | 5473.29% |
* Financial Sector Average
FITB
Fifth Third Bancorp
44.54
6.03
15.66%
HBAN
Huntington Bancshares
15.08
0.63
4.34%
KEY
KeyCorp
19.45
4.16
27.21%
MTB
M&T Bank
200.93
27.42
15.80%
RF
Regions Financial
25.16
4.31
20.69%
CFG
Citizens Financial
57.78
18.26
46.19%
Fifth Third Bancorp Corporate Events
Business Operations and Strategy
Fifth Third Highlights Growth Strategy at RBC Financial Conference
Positive
Mar 11, 2026
On March 11, 2026, Fifth Third Bancorp presented at the RBC Capital Markets Financial Institutions Conference, highlighting its national scale, diversified revenue mix and disciplined execution focused on stability, profitability and growth.
The b...
Business Operations and StrategyExecutive/Board ChangesM&A Transactions
Fifth Third Ties Executive Pay to Comerica Merger Integration
Positive
Feb 24, 2026
On February 18, 2026, Fifth Third Bancorp’s board approved special performance share unit awards for several named executive officers to incentivize the successful integration of subsidiaries following the previously announced merger with Co...
Business Operations and StrategyM&A Transactions
Fifth Third Highlights Strategy at BofA Financial Conference
Positive
Feb 10, 2026
On February 10, 2026, Fifth Third Bancorp presented at the BofA Securities 2026 Financial Services Conference, outlining its status as a leading regional bank with $294 billion in assets, $237 billion in deposits, and a broad U.S. branch network c...
Business Operations and StrategyExecutive/Board ChangesM&A Transactions
Fifth Third Bancorp Completes Comerica Merger, Expands Scale
Positive
Feb 2, 2026
On January 31, 2026, Fifth Third Bancorp completed a multi-step merger in which Comerica Incorporated and its holding entities were combined into a Fifth Third intermediary subsidiary, and Comerica Bank and Comerica Bank Trust were folded into Fi...
Business Operations and StrategyPrivate Placements and FinancingRegulatory Filings and Compliance
Fifth Third Bancorp Issues $2 Billion Senior Notes
Positive
Jan 29, 2026
On January 29, 2026, Fifth Third Bancorp issued $2 billion of senior unsecured debt, comprising $1 billion of 4.566% fixed-to-floating rate senior notes due 2032 and $1 billion of 5.141% fixed-to-floating rate senior notes due 2037, underwritten b...
Financial DisclosuresRegulatory Filings and Compliance
Fifth Third Bancorp Reports Strong Preliminary Q4 2025 Results
Positive
Jan 26, 2026
On January 20, 2026, Fifth Third Bancorp filed a current report to incorporate into its securities filings preliminary, unaudited fourth-quarter 2025 financial highlights for both itself and Comerica Incorporated, along with the auditor’s co...
Business Operations and StrategyFinancial Disclosures
Fifth Third Bancorp posts strong Q4 2025 results
Positive
Jan 20, 2026
Fifth Third Bancorp reported fourth-quarter 2025 diluted earnings per share of $1.04, as strong business momentum and improved credit trends drove a 1.36% return on average assets and a 14.0% return on average common equity. Net income available t...
Business Operations and StrategyM&A TransactionsRegulatory Filings and Compliance
Fifth Third Bancorp Secures Approvals for Comerica Merger
Positive
Jan 14, 2026
On January 13, 2026, Fifth Third Bancorp and Comerica Incorporated announced they had received all material regulatory and shareholder approvals to proceed with their previously agreed merger, following Federal Reserve approval on the same date, O...
Business Operations and Strategy
Fifth Third Bancorp Announces Redemption of Subordinated Notes
Positive
Jan 13, 2026
On January 13, 2026, Fifth Third Bancorp announced that its subsidiary, Fifth Third Bank, National Association, has given notice to redeem all of its outstanding 3.850% Subordinated Notes due March 15, 2026, originally issued in a principal amount...
Business Operations and StrategyM&A TransactionsShareholder Meetings
Fifth Third and Comerica Shareholders Approve Transformative Merger
Positive
Jan 6, 2026
On January 6, 2026, Fifth Third Bancorp shareholders and Comerica Incorporated stockholders separately approved the proposed merger of the two banks, with Fifth Third investors endorsing the issuance of new common shares needed to fund the acquisi...
Executive/Board Changes
Fifth Third Bancorp Appoints Priscilla Almodovar to Board
Positive
Dec 12, 2025
On December 8, 2025, Thomas H. Harvey announced his retirement from the Board of Directors of Fifth Third Bancorp, effective January 7, 2026. Subsequently, on December 9, 2025, the Board appointed Priscilla Almodovar as his replacement, effective ...
Glossary
BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.
Disclaimer
This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.