PNC Financial (PNC) AI Stock Analysis

• Market Cap: $87.24B
• Dividend Yield: 3.11%
• Average Volume (3M): 2.33M
• Price to Earnings (P/E): 13.5
• Beta (1Y): 0.93
• Revenue Growth: 1.79%
• EPS Growth: 30.93%
• Country: US
• Employees: 53,686
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 4.88
• Shares Outstanding: 390,000,000
• 10 Day Avg. Volume: 3,341,735
• 30 Day Avg. Volume: 2,334,343
• PEG Ratio: 1.74
• Price to Book (P/B): 1.41
• Price to Sales (P/S): 2.28
• P/FCF Ratio: 9.76
• Enterprise Value/Market Cap: 1.58
• Enterprise Value/Revenue: 4.08
• Enterprise Value/Gross Profit: 6.32
• Enterprise Value/Ebitda: 16.58
• 1Y Price Target: $247.25
• Price Target Upside: 11.68% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 75 Outperform
• Price Target: $247.00 ▲(11.57% Upside)

The score is driven primarily by solid underlying financial strength (profitability, ROE, and improved leverage), reinforced by constructive technical momentum (price above major moving averages with positive MACD). Valuation is supportive with a moderate P/E and ~3% dividend yield. A positive earnings call—with strong 2026 growth and operating leverage guidance and continued buybacks—adds upside, though revenue/FCF softness in TTM and near-term credit/integration costs are meaningful offsets.

Positive Factors

Profitability & leverage

PNC’s ROE near 11.5% combined with an improved debt-to-equity (~1.06) indicates durable profitability and better leverage management. This sustained internal capital generation supports dividends and buybacks, buffers credit shocks, and provides flexibility for strategic investments over the medium term.

Diversified revenue and record 2025 results

PNC delivered record 2025 revenue and net income, with both net interest income and fee income contributing. Broad-based revenue drivers and simultaneous loan and deposit growth enhance earnings resilience and reduce reliance on any single business line across economic cycles.

Strategic geographic expansion (FirstBank)

The FirstBank acquisition expands PNC into high-growth Rocky Mountain and Southwest markets and should be accretive long term (management expects ~$1.00/sh of contribution and ~25% IRR). Successful integration would boost scale, cross-sell opportunities, and fee/treasury revenue sustainably.

Negative Factors

TTM revenue & free cash flow decline

A meaningful multi-quarter drop in revenue and a double-digit decline in free cash flow impair the firm’s ability to fund investments, buybacks, and reserves from operations. If persistent, weaker top-line trends constrain margin expansion and reduce financial flexibility over the medium term.

Integration costs and CET1 impact

Nonrecurring integration charges (~$325M) and an expected ~40bp CET1 reduction are structural near-term headwinds. They temporarily raise expense and modestly compress capital buffers, increasing regulatory and funding sensitivity until integration synergies and capital rebuilding occur.

Rising strategic/technology spend

Aggressive, sustained tech and strategic investment (large baseline with ~10% growth and AI allocation) raises the recurring expense base. Delivering intended efficiency savings is critical; execution shortfalls would pressure margins and operating-leverage targets over the next several quarters.

PNC Financial Business Overview & Revenue Model

Company Description

The PNC Financial Services Group, Inc. operates as a diversified financial services company in the United States. The company's Retail Banking segment offers checking, savings, and money market accounts, as well as certificates of deposit; residential mortgages, home equity loans and lines of credit, auto loans, credit cards, education loans, and personal and small business loans and lines of credit; and brokerage, insurance, and investment and cash management services. This segment serves consumer and small business customers through a network of branches, ATMs, call centers, and online and mobile banking channels. Its Corporate & Institutional Banking segment provides secured and unsecured loans, letters of credit, and equipment leases; cash and investment management services, receivables and disbursement management services, funds transfer services, international payment services, and access to online/mobile information management and reporting; foreign exchange, derivatives, fixed income, securities underwriting, loan syndications, and mergers and acquisitions and equity capital markets advisory related services; and commercial loan servicing and technology solutions. It serves mid-sized and large corporations, and government and not-for-profit entities. The company's Asset Management Group segment offers investment and retirement planning, customized investment management, credit and cash management solutions, and trust management and administration services for high net worth and ultra high net worth individuals, and their families; and multi-generational family planning services for ultra high net worth individuals and their families. It also provides outsourced chief investment officer, custody, private real estate, cash and fixed income client solutions, and fiduciary retirement advisory services for institutional clients. The company has 2,591 branches and 9,502 ATMs. The company was founded in 1852 and is headquartered in Pittsburgh, Pennsylvania.

How the Company Makes Money

PNC generates revenue primarily through interest income from loans, fees from various banking services, and investment income. Key revenue streams include interest earned on commercial and consumer loans, mortgage origination fees, and service charges on deposit accounts. Additionally, PNC benefits from wealth management fees and asset management services. The bank has established significant partnerships, including collaborations with fintech companies, which enhance its service offerings and customer reach. Market factors such as interest rate fluctuations and economic conditions also play a critical role in influencing its overall earnings.

PNC Financial Financial Statement Overview

Summary

Solid profitability and operating efficiency (stable net margins; healthy EBIT/EBITDA margins) with improved leverage management (debt-to-equity 1.06; ROE 11.48%). Offsetting this, TTM revenue declined 14.5% and free cash flow growth fell 10.4%, which temper the otherwise strong fundamentals.

Income Statement

PNC Financial shows strong profitability with a consistent gross profit margin around 64% in TTM. However, the company experienced a revenue decline of 14.5% in the TTM, which is a concern. Despite this, net profit margins have remained stable, indicating effective cost management. The EBIT and EBITDA margins are healthy, reflecting operational efficiency.

Balance Sheet

The balance sheet reflects a moderate debt-to-equity ratio of 1.06 in TTM, which is an improvement from previous years, indicating better leverage management. Return on equity is solid at 11.48%, showcasing effective use of equity to generate profits. The equity ratio remains stable, suggesting a balanced capital structure.

Cash Flow

Cash flow analysis reveals a decline in free cash flow growth by 10.4% in TTM, which could impact future liquidity. However, the operating cash flow to net income ratio is positive, indicating that the company is generating sufficient cash from operations relative to its net income. The free cash flow to net income ratio remains strong at 1.0, showing effective cash conversion.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	33.80B	33.69B	31.90B	23.54B	19.70B	18.26B
Gross Profit	21.80B	20.01B	20.75B	20.64B	19.99B	13.73B
EBITDA	8.32B	7.50B	6.95B	8.12B	8.76B	4.93B
Net Income	6.53B	5.89B	5.58B	6.04B	5.67B	7.52B
Balance Sheet
Total Assets	568.77B	560.04B	561.58B	557.26B	557.19B	466.68B
Cash, Cash Equivalents and Short-Term Investments	107.17B	55.64B	92.51B	78.52B	213.79B	179.55B
Total Debt	62.34B	61.67B	72.74B	58.71B	33.00B	39.29B
Total Liabilities	509.73B	505.57B	510.44B	511.45B	501.46B	412.64B
Stockholders Equity	58.99B	54.42B	51.10B	45.77B	55.70B	54.01B
Cash Flow
Free Cash Flow	5.43B	7.88B	10.11B	9.08B	7.21B	4.66B
Operating Cash Flow	5.43B	7.88B	10.11B	9.08B	7.21B	4.66B
Investing Cash Flow	-6.37B	-3.23B	10.11B	-60.36B	-2.79B	-51.12B
Financing Cash Flow	-1.37B	-9.12B	-3.85B	3.38B	-3.43B	48.42B

PNC Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 221.39
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For PNC, the sentiment is Positive. The current price of 221.39 is above the 20-day moving average (MA) of 216.43, above the 50-day MA of 205.32, and above the 200-day MA of 187.82, indicating a bullish trend. The MACD of 4.59 indicates Positive momentum. The RSI at 61.02 is Neutral, neither overbought nor oversold. The STOCH value of 65.85 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for PNC.

PNC Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
USB	78 Outperform	$87.87B	12.24	12.18%	3.77%	2.91%	33.77%
MTB	77 Outperform	$33.43B	12.79	9.78%	2.76%	-0.81%	20.34%
PNC	75 Outperform	$87.24B	13.48	11.99%	3.11%	1.79%	30.93%
FITB	75 Outperform	$33.61B	14.39	12.20%	3.14%	0.15%	11.62%
HBAN	75 Outperform	$27.45B	12.54	10.03%	3.50%	5.73%	38.39%
TFC	72 Outperform	$65.10B	13.32	8.24%	4.12%	22.02%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

PNC Financial Corporate Events

PNC Financial Completes $3 Billion Multi-Tranche Debt Offering

On January 26, 2026, The PNC Financial Services Group, Inc. completed a multi-tranche public debt offering totaling $3 billion, consisting of $1.5 billion of 5.423% Fixed-Rate Reset Subordinated Notes due 2041, $1.2 billion of 4.075% Fixed Rate/Floating Rate Senior Notes due 2029, and $300 million of Senior Floating Rate Notes due 2029. The notes were sold in underwritten offerings led by PNC Capital Markets, Goldman Sachs and J.P. Morgan, and were issued under existing indenture frameworks with The Bank of New York Mellon as trustee, reinforcing PNC’s access to capital markets and adding long-dated subordinated and senior funding that can support its regulatory capital structure and overall funding profile.

The most recent analyst rating on (PNC) stock is a Buy with a $271.00 price target. To see the full list of analyst forecasts on PNC Financial stock, see the PNC Stock Forecast page.

PNC Financial Posts Record 2025 Results, Closes FirstBank Deal

On January 16, 2026, PNC reported that it delivered record results for full-year 2025, with net income of $7.0 billion, or $16.59 per diluted share, driven by record total revenue underpinned by record net interest income and record noninterest (fee) income, alongside 5% positive operating leverage and well-controlled expenses. The bank increased loans and deposits in 2025, with total average loans up 3% and total average deposits up 3% year over year, while improving capital and liquidity, maintaining strong credit quality with a low 0.20% net loan charge-off ratio, and boosting tangible book value per share by 18%; it also closed the $4.2 billion acquisition of FirstBank on January 5, 2026, which is expected to support accelerated growth in targeted markets and further strengthen PNC’s competitive position.

The most recent analyst rating on (PNC) stock is a Buy with a $240.00 price target. To see the full list of analyst forecasts on PNC Financial stock, see the PNC Stock Forecast page.

PNC Financial completes FirstBank acquisition and preferred issuance

On January 5, 2026, PNC Financial Services Group completed its acquisition of FirstBank Holding Company and its banking subsidiary FirstBank, after receiving all required regulatory approvals and satisfying customary closing conditions, in a deal that expands PNC’s presence in high‑growth markets in Colorado and Arizona and advances its national expansion strategy. In connection with the merger, PNC established a new 7.250% Fixed-Rate Reset Non-Cumulative Perpetual Preferred Stock, Series X, authorized for 200,000 shares and issued 115,200 shares to former holders of FirstBank’s Series B preferred stock, positioning the new Series X stock senior to common equity in dividends and liquidation and aligning FirstBank investors with PNC’s capital structure, while PNC begins integrating FirstBank onto its national platform with customer conversion targeted for the summer of 2026.

The most recent analyst rating on (PNC) stock is a Buy with a $271.00 price target. To see the full list of analyst forecasts on PNC Financial stock, see the PNC Stock Forecast page.

PNC Financial Receives Approval for FirstBank Acquisition

On December 12, 2025, PNC Financial Services Group announced it received regulatory approvals to complete its acquisition of FirstBank Holding Company, with the transaction expected to close on January 5, 2026. This acquisition marks a significant milestone for PNC, expanding its presence in the Rocky Mountain region and the Southwest, and integrating FirstBank’s operations into PNC’s national platform, enhancing its treasury management, payments, and digital banking capabilities.

The most recent analyst rating on (PNC) stock is a Buy with a $240.00 price target. To see the full list of analyst forecasts on PNC Financial stock, see the PNC Stock Forecast page.