Multiple Firms Raise Regions Financial Price Targets Amid Strong Earnings

Regions Financial Corporation (RF) has seen several analysts raise their price targets following strong quarterly performance and positive outlooks, with targets ranging from $27 to $30 and maintaining mostly Outperform or Overweight ratings. The company reported quarterly earnings of $534 million and earnings per share of $0.59, supported by 30% organic deposit growth over five years and a 5% increase in net interest income. Its net interest margin is expected to remain steady in the low to mid-360s basis points through the year, while the allowance for credit loss ratio slightly declined to 1.80%, indicating prudent credit management. Regions Financial is also increasing its dividend by 6% to $0.265 per share, raising the yield to 3.8%, and the company's dividend history and payout ratio suggest sustainable and growing distributions. Despite bullish price targets, GuruFocus estimates a one-year fair value of $22.92 for RF, signaling potential downside from current prices. Overall, the consensus recommendation from 24 brokerage firms rates Regions Financial as Outperform with an average target price implying modest upside from the current stock price.