Renasant (RNST) AI Stock Analysis

• Market Cap: $3.82B
• Dividend Yield: 2.47%
• Average Volume (3M): 654.99K
• Price to Earnings (P/E): 19.4
• Beta (1Y): 0.93
• Revenue Growth: 20.26%
• EPS Growth: -35.00%
• Country: US
• Employees: 2,200
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.83
• Shares Outstanding: 95,021,385
• 10 Day Avg. Volume: 532,746
• 30 Day Avg. Volume: 654,992
• PEG Ratio: 0.39
• Price to Book (P/B): 0.79
• Price to Sales (P/S): 2.04
• P/FCF Ratio: 18.33
• Enterprise Value/Market Cap: 0.96
• Enterprise Value/Revenue: 3.00
• Enterprise Value/Gross Profit: 5.28
• Enterprise Value/Ebitda: 18.29
• 1Y Price Target: $43.75
• Price Target Upside: 8.05% Upside
• Rating Consensus: Strong Buy
• Number of Analyst Covering: 4
• EPS Forecast (FY): N/A
• Revenue Forecast (FY): N/A

• Rating: 72 Outperform
• Price Target: $43.00 ▲(6.20% Upside)
• Action: Reiterated Date: 02/04/26
• Date: Action: Reiterated 02/04/26

RNST scores solidly on strong cash-flow momentum and a stable balance sheet, supported by constructive technicals (price above key moving averages with positive MACD). The latest earnings call added confidence via improving profitability, expense discipline, and stable-margin guidance, while valuation is only moderate at a P/E of 18.22 and risks remain around credit costs and deposit/funding pressure.

Positive Factors

Cash Generation

Renasant's very strong free cash flow growth and high FCF-to-income conversion indicate durable internal funding. This improves financial flexibility to support loan growth, buybacks, debt redemptions, and provisioning without relying solely on external capital, cushioning against credit or funding stress.

Profitability & Efficiency Improvements

Material year-over-year improvements in EPS, ROA, ROTCE and a roughly 900bp efficiency gain reflect sustainable benefits from integration and cost discipline. If maintained, these structural gains support higher recurring earnings power and better returns on capital over the medium term.

Capital Position & Deployment Flexibility

A CET1 ratio near 11.25% with active capital actions (repurchases, subordinated note redemptions) signals a strong capital buffer and management intent to deploy excess capital. This provides durable optionality to sustain dividends, repurchase shares, and absorb losses while pursuing growth.

Negative Factors

Elevated Credit Costs

Meaningful provisions and quarterly net charge-offs point to lingering asset-quality risk tied to acquired portfolios and economic pressures. Persistently elevated credit costs could erode earnings, require higher reserves, and constrain capital deployment over several quarters.

Funding Cost Pressure

Sustained deposit competition and a multi-month special rate near 4% create durable funding-cost pressure. If competitive stress persists, net interest margin and net interest income growth could be challenged, limiting the bank's ability to expand net interest dollars as the balance sheet grows.

Elevated Noninterest Expense Run-Rate

Even after merger-related items, a high noninterest expense run-rate requires sustained discipline to convert integration gains into lasting efficiency. Persistent elevated operating costs could cap margin expansion and return-on-equity improvements unless further structural cost reductions are achieved.

Renasant Business Overview & Revenue Model

Company Description

Renasant Corporation operates as a bank holding company for Renasant Bank that provides a range of financial, wealth management, fiduciary, and insurance services to retail and commercial customers. It operates through three segments: Community Banks, Insurance, and Wealth Management. The Community Banks segment offers checking and savings accounts, business and personal loans, asset-based lending, and equipment leasing services, as well as safe deposit and night depository facilities. It also provides commercial, financial, and agricultural loans; equipment financing and leasing; real estate–1-4 family mortgage; real estate–commercial mortgage; real estate–construction loans for the construction of single family residential properties, multi-family properties, and commercial projects; installment loans to individuals; and interim construction loans, as well as automated teller machine (ATM), online and mobile banking, call center, and treasury management services. The Insurance segment provides insurance agency services, such as commercial and personal insurance products through insurance carriers. The Wealth Management segment offers a range of wealth management and fiduciary services, including administration and management of trust accounts, such as personal and corporate benefit accounts, and custodial accounts, as well as accounting and money management for trust accounts; annuities, mutual funds, and other investment services through a third party broker-dealer; and qualified retirement plans, IRAs, employee benefit plans, personal trusts, and estates. As of December 31, 2021, the company operated a network of 189 banking, lending, and mortgage offices located in Alabama, Florida, Georgia, Mississippi, North Carolina, South Carolina, and Tennessee; 150 full-service branches and 11 limited-service branches; 173 ATMs; and 38 interactive teller machines. Renasant Corporation was founded in 1904 and is headquartered in Tupelo, Mississippi.

How the Company Makes Money

Renasant generates revenue through several key streams. The primary source is net interest income, which comes from the difference between interest earned on loans and interest paid on deposits. The bank offers various loan products, including commercial loans, consumer loans, and mortgage loans, which contribute significantly to this income. Additionally, Renasant earns non-interest income through fees for services such as account maintenance, ATM usage, and wealth management services. The company also benefits from its mortgage origination and servicing activities. Strategic partnerships with other financial institutions and service providers enhance its product offerings and customer reach, further supporting its revenue generation.

Renasant Financial Statement Overview

Summary

Overall fundamentals are stable: cash flow strength stands out (free cash flow growth of 110.22% TTM and solid earnings-to-cash conversion), the balance sheet shows moderate leverage (debt-to-equity 0.30) and a robust equity ratio, while the income statement is mixed with a notably lower gross margin (14% TTM) despite stable net margin (12.5%) and positive revenue growth (11.1% TTM).

Income Statement

Renasant shows a mixed performance in its income statement. The TTM data indicates a gross profit margin of 14%, which is significantly lower than previous years, suggesting increased costs or reduced pricing power. However, the net profit margin remains relatively stable at 12.5%, indicating effective cost management. Revenue growth is positive at 11.1% TTM, although it has slowed compared to previous periods. The EBIT and EBITDA margins are healthy, reflecting operational efficiency.

Balance Sheet

The balance sheet reflects a stable financial position with a debt-to-equity ratio of 0.30 TTM, indicating moderate leverage. The return on equity is 4.5%, which is a decline from previous years, suggesting reduced profitability on equity. The equity ratio is robust, indicating a strong capital base relative to assets. Overall, the balance sheet suggests stability but with room for improvement in profitability.

Cash Flow

Cash flow analysis reveals strong free cash flow growth of 110.22% TTM, indicating improved cash generation capabilities. The operating cash flow to net income ratio is 0.23, suggesting that cash flows are well-aligned with reported earnings. The free cash flow to net income ratio is 0.85, reflecting efficient conversion of earnings into cash. Overall, the cash flow statement shows strong cash generation and management.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.23B	1.04B	909.77M	691.06M	695.67M	731.62M
Gross Profit	697.80M	653.18M	616.19M	606.68M	653.15M	573.44M
EBITDA	201.32M	277.25M	212.42M	254.05M	270.18M	138.12M
Net Income	147.07M	195.46M	144.68M	166.07M	175.89M	83.65M
Balance Sheet
Total Assets	26.73B	18.03B	17.36B	16.99B	16.81B	14.93B
Cash, Cash Equivalents and Short-Term Investments	1.09B	1.92B	1.72B	2.11B	4.26B	1.98B
Total Debt	1.16B	538.63M	736.98M	1.14B	485.16M	496.31M
Total Liabilities	22.90B	15.36B	15.06B	14.85B	14.60B	12.80B
Stockholders Equity	3.83B	2.68B	2.30B	2.14B	2.21B	2.13B
Cash Flow
Free Cash Flow	222.85M	115.78M	126.92M	559.21M	122.14M	53.97M
Operating Cash Flow	256.43M	129.43M	148.55M	574.04M	142.66M	82.24M
Investing Cash Flow	-1.03B	-298.04M	-55.40M	-2.04B	-660.00M	-1.27B
Financing Cash Flow	586.31M	459.30M	132.21M	167.64M	1.76B	1.40B

Renasant Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 40.49
• 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 RNST, the sentiment is Positive. The current price of 40.49 is above the 20-day moving average (MA) of 39.59, above the 50-day MA of 37.68, and above the 200-day MA of 36.34, indicating a bullish trend. The MACD of 0.95 indicates Positive momentum. The RSI at 61.15 is Neutral, neither overbought nor oversold. The STOCH value of 34.27 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for RNST.

Renasant Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
INDB	79 Outperform	$4.07B	18.53	6.25%	3.05%	11.05%	-10.78%
UCB	78 Outperform	$4.13B	13.19	9.23%	3.02%	5.63%	65.11%
TCBI	76 Outperform	$4.64B	15.40	9.44%	―	5.19%	3454.95%
FULT	75 Outperform	$3.96B	10.58	11.71%	3.52%	9.60%	20.38%
RNST	72 Outperform	$3.82B	19.42	5.52%	2.47%	20.26%	-35.00%
EBC	70 Outperform	$5.09B	49.67	2.22%	2.72%	-1.18%	-89.13%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Renasant Corporate Events

Renasant posts solid Q4 2025 results, optimizes balance sheet

Renasant Corporation reported fourth-quarter 2025 net income of $78.9 million, equivalent to diluted EPS of $0.83 and adjusted diluted EPS of $0.91, supported by a net interest margin of 3.89% and an adjusted net interest margin of 3.62%. During the quarter, loans inched up $21.5 million on an annualized basis despite the sale of about $117.3 million of non-core loans acquired in the merger with The First Bancshares, while deposits rose $48.5 million, with noninterest-bearing balances declining to 23.5% of total deposits as the cost of total deposits fell 17 basis points to 1.97%. Credit quality metrics remained relatively stable, with the allowance for credit losses on loans at 1.54% of total loans, nonperforming loans at 0.92% and criticized loans down to 2.94%, as the company also redeemed $60 million of subordinated notes obtained in the First Bancshares merger and repurchased $13.2 million of its common stock, decisions that collectively signal active balance-sheet optimization and capital management amid a competitive and risk-conscious banking environment.

The most recent analyst rating on (RNST) stock is a Buy with a $46.00 price target. To see the full list of analyst forecasts on Renasant stock, see the RNST Stock Forecast page.

Renasant posts stronger Q4 2025 results amid merger

On January 27, 2026, Renasant Corporation reported fourth-quarter 2025 net income of $78.9 million, or $0.83 in diluted earnings per share, including $10.6 million in merger and conversion-related expenses tied to its integration of The First Bancshares, while adjusted diluted EPS rose to $0.91, reflecting improved profitability and cost control. Net interest income grew to $232.4 million with a higher net interest margin and a lower cost of deposits, noninterest income increased partly due to the exit of certain low-income housing tax credit partnerships, and noninterest expenses declined as merger-related costs eased and branch consolidations generated gains. The balance sheet showed modest loan growth despite the sale of $117.3 million of non-core acquired loans, higher securities holdings, and a linked-quarter increase in total deposits, while book value and tangible book value per share improved and the company continued to return capital through $13.2 million of share repurchases and the redemption of $60 million in subordinated notes. Credit quality metrics were generally stable with a small uptick in nonperforming loans, higher provision for unfunded commitments, and net charge-offs influenced by the sale of acquired loans, leaving allowance coverage robust as management emphasized steady integration progress, balance sheet growth on both sides, and what it sees as solid positioning for further growth in 2026.

The most recent analyst rating on (RNST) stock is a Hold with a $39.00 price target. To see the full list of analyst forecasts on Renasant stock, see the RNST Stock Forecast page.

Renasant Director Dr. Richard Heyer to Retire

On November 10, 2025, Dr. Richard Heyer informed Renasant Corporation that he will not seek re-election as a director at the company’s 2026 Annual Meeting of Shareholders, scheduled for April 28, 2026. Dr. Heyer will also retire from the board of Renasant Bank, a subsidiary of the company. His decision was not due to any disagreements with the company’s operations, policies, or practices.

The most recent analyst rating on (RNST) stock is a Hold with a $38.00 price target. To see the full list of analyst forecasts on Renasant stock, see the RNST Stock Forecast page.

Renasant Reports Q3 2025 Financial Results and Merger Impact

In the third quarter of 2025, Renasant Corporation reported a net income of $59.8 million and a diluted EPS of $0.63. The company experienced a 9.9% annualized increase in loans while deposits decreased due to public fund seasonality. The merger with The First Bancshares, Inc. presents opportunities and risks, including integration challenges and regulatory scrutiny, which could impact Renasant’s financial performance and growth strategy.

The most recent analyst rating on (RNST) stock is a Buy with a $41.00 price target. To see the full list of analyst forecasts on Renasant stock, see the RNST Stock Forecast page.