Truist Financial (TFC) AI Stock Analysis

• Market Cap: $59.78B
• Dividend Yield: 4.49%
• Average Volume (3M): 7.26M
• Price to Earnings (P/E): 12.4
• Beta (1Y): 1.20
• Revenue Growth: 18.31%
• EPS Growth: N/A
• Country: US
• Employees: 37,529
• Sector: Financial
• Sector Strength: 72
• Industry: Banks - Regional
• EPS (TTM): 0.90
• Shares Outstanding: 1,289,435,200
• 10 Day Avg. Volume: 6,605,917
• 30 Day Avg. Volume: 7,262,671
• PEG Ratio: N/A
• Price to Book (P/B): 0.00
• Price to Sales (P/S): 0.00
• P/FCF Ratio: 0.00
• Enterprise Value/Market Cap: 1.99
• Enterprise Value/Revenue: 4.97
• Enterprise Value/Gross Profit: 10.34
• Enterprise Value/Ebitda: 240.83
• 1Y Price Target: $48.50
• Price Target Upside: 4.62% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 13

• Rating: 69 Neutral
• Price Target: $48.00 ▲(3.54% Upside)

Truist Financial's overall stock score of 69 reflects solid cash flow and technical momentum, which are key strengths. While the company faces revenue and profitability challenges, its strong digital expansion and stable capital returns provide a positive outlook. The stock is reasonably valued with an attractive dividend yield, making it an appealing choice for income-focused investors.

Positive Factors

Capital Position

The ability to increase share buybacks, thanks to a strong capital position and cheap share price, is seen as a positive tailwind.

Market Position

TFC is well positioned with top market share in very attractive Southeast markets, making a 14%+ return on tangible common equity very achievable.

Valuation

The stock is trading at a discount, creating an attractive entry point for investors.

Negative Factors

Credit Costs

Higher credit costs mostly offset the slight beat in pre-provision net revenue, impacting the stock's performance negatively.

Earnings Performance

The stock underperformed peers by approximately 210 basis points after reporting slightly lower than expected core earnings per share.

Revenue Outlook

The revenue outlook has weakened, leading to the first negative revision for a bank this earnings season, and a reduction in the price objective.

Truist Financial Business Overview & Revenue Model

Company Description

Truist Financial Corporation (TFC) is a bank holding company formed through the merger of BB&T and SunTrust Banks. Headquartered in Charlotte, North Carolina, Truist operates as a diversified financial services company, offering a wide range of banking, investment, insurance, and mortgage services to retail, commercial, and institutional clients. The company serves millions of customers across the southeastern and mid-Atlantic United States, focusing on delivering innovative solutions and enhancing customer experiences through digital banking and financial technology.

How the Company Makes Money

Truist Financial generates revenue primarily through net interest income and non-interest income. Net interest income is derived from the interest earned on loans and investment securities minus the interest paid on deposits and borrowings. The company offers a variety of loan products, including commercial, consumer, and mortgage loans, which contribute significantly to its interest income. Non-interest income is generated from fees for services such as wealth management, asset management, investment banking, and insurance products. Truist also earns revenue from transaction fees for checking and savings accounts, as well as from its credit card services. Strategic partnerships with financial technology firms and investment management companies enhance its service offerings and revenue potential, while its extensive branch network and digital platforms facilitate customer engagement and retention.

Truist Financial Financial Statement Overview

Summary

Truist Financial demonstrates strong cash flow management and a moderate balance sheet, but faces challenges in revenue and profitability. The robust cash flow position supports liquidity and operational efficiency, providing a buffer against income statement pressures.

Income Statement

Truist Financial shows signs of instability in its income statement with a negative EBIT and declining revenue over recent periods. The gross profit margin remains reasonable, but the net profit margin has seen fluctuations due to varying net income levels. Despite these challenges, the company has managed to maintain positive EBITDA, which indicates some operational resilience.

Balance Sheet

The balance sheet reflects a moderate level of financial stability with a reasonable debt-to-equity ratio. However, the decreasing trend in stockholder's equity and fluctuating total assets raise concerns. The equity ratio shows the company maintains a decent proportion of equity financing, suggesting potential for leveraging equity for growth.

Cash Flow

Cash flow analysis reveals a positive trajectory with a significant increase in operating and free cash flow over recent periods. The company has managed to convert operating performance into cash effectively, showcasing a strong cash flow to net income ratio. This cash generation capability offers a buffer against earnings volatility.

Breakdown	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	24.25B	29.95B	22.29B	23.06B	24.43B
Gross Profit	11.41B	17.91B	19.20B	23.11B	20.37B
EBITDA	378.00M	450.00M	8.39B	9.38B	7.08B
Net Income	4.82B	-1.09B	6.26B	6.44B	4.48B
Balance Sheet
Total Assets	531.18B	535.35B	555.25B	541.24B	509.23B
Cash, Cash Equivalents and Short-Term Investments	44.32B	97.60B	93.22B	173.42B	139.66B
Total Debt	62.27B	62.12B	65.07B	40.89B	45.30B
Total Liabilities	467.50B	476.10B	494.72B	471.97B	438.32B
Stockholders Equity	63.68B	59.10B	60.51B	69.27B	70.81B
Cash Flow
Free Cash Flow	2.16B	8.63B	10.52B	7.45B	6.62B
Operating Cash Flow	2.16B	8.63B	11.08B	7.89B	7.44B
Investing Cash Flow	18.60B	22.86B	-29.97B	-32.06B	-43.65B
Financing Cash Flow	-11.64B	-22.27B	20.02B	25.59B	36.02B

Truist Financial Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 46.36
• 50DMA: Positive
• 100DMA: Positive
• 200DMA: Positive
• MACD: Negative
• RSI: Neutral
• STOCH: Negative

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TFC, the sentiment is Positive. The current price of 46.36 is above the 20-day moving average (MA) of 44.10, above the 50-day MA of 43.67, and above the 200-day MA of 42.12, indicating a bullish trend. The MACD of 0.72 indicates Negative momentum. The RSI at 68.76 is Neutral, neither overbought nor oversold. The STOCH value of 93.25 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TFC.

Truist Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PNC	79 Outperform	$80.12B	13.71	11.19%	3.19%	3.60%	22.68%
FITB	78 Outperform	$29.78B	13.81	11.58%	3.29%	1.90%	2.87%
USB	76 Outperform	$75.58B	11.53	11.64%	4.12%	1.10%	32.55%
MTB	75 Outperform	$31.28B	12.82	9.47%	2.70%	0.69%	14.79%
HBAN	73 Outperform	$25.64B	12.87	10.43%	3.48%	6.06%	28.03%
TFC	69 Neutral	$59.78B	12.43	8.13%	4.49%	18.31%	―
Sector *	68 Neutral	$17.82B	11.90	10.30%	3.72%	9.69%	0.80%

Truist Financial Corporate Events

Truist Financial Updates Bylaws for Enhanced Governance

On July 29, 2025, Truist Financial Corporation’s Board of Directors approved amendments to the company’s Bylaws. These changes primarily focus on enhancing procedural and disclosure requirements for shareholder proposals and director nominations, including age limits for director nominations, and providing more flexibility in board committee structures. The amendments also align the Bylaws with the North Carolina Business Corporation Act and include various clarifying updates.

The most recent analyst rating on (TFC) stock is a Hold with a $48.00 price target. To see the full list of analyst forecasts on Truist Financial stock, see the TFC Stock Forecast page.

Truist Financial Appoints Jonathan Pruzan to Board

On May 27, 2025, Truist Financial Corporation appointed Jonathan Pruzan as a director of the company and a member of the Board of Directors of its subsidiary, Truist Bank. Pruzan, who brings 35 years of financial services experience, will serve on the Joint Risk Committee of the Boards. His extensive background includes roles at Morgan Stanley and Pretium, providing him with a wealth of knowledge in technology, operations, finance, and corporate strategy, which is expected to benefit Truist’s strategic direction and operations.

The most recent analyst rating on (TFC) stock is a Hold with a $48.00 price target. To see the full list of analyst forecasts on Truist Financial stock, see the TFC Stock Forecast page.