Trustmark (TRMK) AI Stock Analysis

• Market Cap: $2.45B
• Dividend Yield: 2.34%
• Average Volume (3M): 286.49K
• Price to Earnings (P/E): 11.2
• Beta (1Y): 0.90
• Revenue Growth: 17.95%
• EPS Growth: N/A
• Country: US
• Employees: 2,506
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 0.94
• Shares Outstanding: 59,958,256
• 10 Day Avg. Volume: 311,377
• 30 Day Avg. Volume: 286,488
• PEG Ratio: 0.28
• Price to Book (P/B): 1.10
• Price to Sales (P/S): 2.60
• P/FCF Ratio: 24.49
• Enterprise Value/Market Cap: 1.03
• Enterprise Value/Revenue: 2.23
• Enterprise Value/Gross Profit: 3.56
• Enterprise Value/Ebitda: 8.06
• 1Y Price Target: $42.50
• Price Target Upside: 3.63% Upside
• Rating Consensus: Hold
• Number of Analyst Covering: 2
• EPS Forecast (FY): 3.65
• Revenue Forecast (FY): $807.50M

• Rating: 68 Neutral
• Price Target: $42.00 ▲(2.41% Upside)

Trustmark's strong financial performance, characterized by robust revenue growth and improved leverage, is a major positive factor. The stock's valuation is attractive with a low P/E ratio and decent dividend yield. However, technical indicators suggest a neutral trend, which tempers the overall score.

Positive Factors

Revenue Growth

Consistent revenue growth indicates a positive trajectory and expanding market presence, enhancing long-term business sustainability.

Improved Leverage

Improved leverage suggests better financial management, reducing risk and enhancing the company's ability to invest in growth opportunities.

Deposit Growth

Strong deposit growth enhances liquidity and provides a stable funding base, supporting future lending and investment activities.

Negative Factors

Noninterest Expenses

Rising noninterest expenses can pressure margins and reduce profitability, necessitating efficiency improvements to sustain long-term growth.

Competitive Loan Pricing

Increased competition in loan pricing can compress margins, challenging profitability and requiring strategic adjustments to maintain competitiveness.

Increased Deposit Costs

Rising deposit costs can erode net interest margins, affecting profitability and necessitating careful management of interest rate risks.

Trustmark Business Overview & Revenue Model

Company Description

Trustmark Corporation operates as the bank holding company for Trustmark National Bank that provides banking and other financial solutions to individuals and corporate institutions in the United States. The company operates through three segments: General Banking, Wealth Management, and Insurance. It offers checking, savings, and money market accounts; certificates of deposits and individual retirement accounts; financing for commercial and industrial projects, income-producing commercial real estate, owner-occupied real estate, and construction and land development; and installment and real estate loans, and lines of credit, as well as treasury management services. The company also provides mortgage banking services, including construction financing, production of conventional and government-insured mortgages, and secondary marketing and mortgage servicing. In addition, it provides wealth management and trust services, such as administration of personal trusts and estates; management of investment accounts for individuals, employee benefit plans, and charitable foundations; and corporate trust and institutional custody, securities brokerage, financial and estate planning, retirement plan, and investment management services. Further, the company offers business insurance products and services for medical professionals, construction, manufacturing, hospitality, real estate, and group life and health plans; and life and health insurance, and personal line policies for individual customers. As of December 31, 2021, it operated 167 full-service branches and 13 limited service branches; and 198 automated teller machines and 69 interactive teller machines. The company was founded in 1889 and is headquartered in Jackson, Mississippi.

How the Company Makes Money

Trustmark generates revenue through multiple key streams. Primarily, it earns interest income from loans provided to customers, including commercial and consumer loans, which represent a significant portion of its earnings. Additionally, the bank collects fees from various services, such as account maintenance, transaction fees, and investment services. Trustmark also benefits from non-interest income through wealth management fees, insurance premiums, and fees from investment advisory services. Strategic partnerships with financial technology firms and community organizations enhance its service offerings and client reach, contributing to its overall revenue growth.

Trustmark Financial Statement Overview

Summary

Trustmark demonstrates a robust financial position with strong revenue growth and improved leverage. Profitability margins are solid, though there is room for operational efficiency improvements. Cash flow generation is positive, supporting the company's financial health.

Income Statement

Trustmark shows strong revenue growth with a TTM increase of 11.96%, indicating a positive trajectory. The gross profit margin is healthy at 62.59%, and the net profit margin is solid at 19.69%. However, the EBIT margin of 24.03% and EBITDA margin of 27.63% suggest room for improvement in operational efficiency.

Balance Sheet

The debt-to-equity ratio has improved to 0.25 in the TTM, indicating better leverage management compared to previous years. Return on equity is stable at 10.90%, reflecting consistent profitability. The equity ratio is not explicitly calculated, but the balance sheet shows a solid equity base.

Cash Flow

Free cash flow growth is positive at 10.50% in the TTM, showing improved cash generation. The free cash flow to net income ratio is strong at 91.34%, indicating efficient cash conversion. However, the operating cash flow to net income ratio is not available, which limits a full assessment of cash flow efficiency.

Breakdown	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	1.13B	831.37M	916.33M	583.32M	567.82M	649.63M
Gross Profit	707.42M	414.20M	565.80M	513.31M	568.11M	562.79M
EBITDA	312.29M	72.12M	216.79M	98.99M	221.23M	231.11M
Net Income	222.57M	223.01M	165.49M	71.89M	147.37M	160.03M
Balance Sheet
Total Assets	18.80B	18.15B	18.72B	18.02B	17.60B	16.55B
Cash, Cash Equivalents and Short-Term Investments	2.30B	2.26B	2.74B	2.76B	5.51B	3.94B
Total Debt	851.19M	849.80M	1.11B	1.72B	550.97M	549.84M
Total Liabilities	16.69B	16.19B	17.06B	16.52B	15.85B	14.81B
Stockholders Equity	2.11B	1.96B	1.66B	1.49B	1.74B	1.74B
Cash Flow
Free Cash Flow	281.38M	88.34M	148.23M	262.50M	317.57M	34.52M
Operating Cash Flow	285.53M	116.93M	196.89M	296.52M	348.77M	65.35M
Investing Cash Flow	-446.80M	284.59M	-411.17M	-2.28B	-1.01B	-1.22B
Financing Cash Flow	88.66M	-809.62M	455.04M	451.84M	970.57M	2.75B

Trustmark Technical Analysis

• Technical Analysis Sentiment: Positive
• Last Price: 41.01
• 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 TRMK, the sentiment is Positive. The current price of 41.01 is above the 20-day moving average (MA) of 39.49, above the 50-day MA of 38.51, and above the 200-day MA of 36.61, indicating a bullish trend. The MACD of 0.73 indicates Negative momentum. The RSI at 65.94 is Neutral, neither overbought nor oversold. The STOCH value of 87.35 is Negative, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Positive sentiment for TRMK.

Trustmark Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FFBC	80 Outperform	$2.62B	9.87	10.16%	3.69%	5.15%	16.42%
FRME	80 Outperform	$2.25B	9.74	9.90%	3.67%	-1.76%	32.44%
FBNC	75 Outperform	$2.20B	22.25	6.39%	1.69%	-5.72%	-3.86%
CUBI	74 Outperform	$2.55B	15.78	8.99%	―	-0.37%	-20.30%
WAFD	68 Neutral	$2.56B	12.69	7.49%	3.23%	-1.58%	6.34%
TRMK	68 Neutral	$2.45B	11.19	10.87%	2.34%	17.95%	―
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%

Trustmark Corporate Events

Trustmark Announces New Stock Repurchase Program

Trustmark Corporation has announced a new stock repurchase program effective January 1, 2026, allowing for the acquisition of up to $100 million of its common shares by December 31, 2026. This program replaces the previous one set to expire on December 31, 2025, and offers flexibility in purchasing shares based on market conditions, with no obligation on the number or value of shares repurchased.

Trustmark Announces $175M Subordinated Notes Offering

On November 17, 2025, Trustmark Corporation announced an agreement to issue and sell $175 million of 6.00% Fixed-to-Floating Rate Subordinated Notes due 2035. The offering, underwritten by Keefe, Bruyette & Woods and Goldman Sachs, aims to raise approximately $173.1 million after underwriting discounts. The proceeds will be used to repay $125 million of existing notes due 2030 and for general corporate purposes. The issuance is expected to close on November 20, 2025, subject to customary conditions, and will impact Trustmark’s financial structure by refinancing existing debt and potentially improving liquidity.

Trustmark Releases Q4 2025 Investor Presentation

Trustmark Corporation has released updated presentation materials for use in meetings with investors and analysts during the fourth quarter of 2025. The presentation outlines the company’s financial performance, growth opportunities, and market conditions, while cautioning stakeholders about potential risks and uncertainties that could impact future results. The materials emphasize Trustmark’s strategic initiatives and financial health, although they include unaudited figures and non-GAAP financial measures.