Truist Financial (TFC) AI Stock Analysis

• Market Cap: $56.52B
• Dividend Yield: 4.77%
• Average Volume (3M): 8.73M
• Price to Earnings (P/E): 11.8
• Beta (1Y): 1.18
• Revenue Growth: 21.90%
• EPS Growth: N/A
• Country: US
• Employees: 37,529
• Sector: Financial
• Sector Strength: 70
• Industry: Banks - Regional
• EPS (TTM): 1.04
• Shares Outstanding: 1,289,435,200
• 10 Day Avg. Volume: 9,873,370
• 30 Day Avg. Volume: 8,727,392
• PEG Ratio: -0.03
• Price to Book (P/B): 0.91
• Price to Sales (P/S): 2.38
• P/FCF Ratio: 26.68
• Enterprise Value/Market Cap: 2.34
• Enterprise Value/Revenue: 4.34
• Enterprise Value/Gross Profit: 7.26
• Enterprise Value/Ebitda: 18.86
• 1Y Price Target: $49.96
• Price Target Upside: 14.59% Upside
• Rating Consensus: Moderate Buy
• Number of Analyst Covering: 12

• Rating: 71 Outperform
• Price Target: $48.00 ▲(10.09% Upside)

Truist Financial's strong earnings performance and attractive valuation are the most significant factors driving the score. While technical indicators are mixed, the company's strategic investments and robust capital return strategy provide a positive outlook. High debt levels and deposit challenges are risks to monitor.

Positive Factors

Revenue Growth

The significant revenue growth indicates robust business expansion and effective market penetration, supporting long-term financial stability and shareholder value.

Capital Return Strategy

A strong capital return strategy enhances shareholder value and reflects confidence in the company's financial health and future cash flow generation.

Strategic Growth Initiatives

Investments in branch expansion and digital capabilities are likely to drive future growth, improve customer engagement, and strengthen market position.

Negative Factors

High Debt Levels

Elevated debt levels can strain financial resources, limiting flexibility and increasing risk, which could impact long-term operational stability.

Deposit Balance Decline

Declining deposit balances may indicate challenges in maintaining liquidity and customer retention, potentially affecting future lending capacity.

Increase in Non-Performing Loans

Rising non-performing loans suggest deteriorating asset quality, which could lead to higher credit costs and impact profitability if not managed effectively.

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	TTM	Dec 2024	Dec 2023	Dec 2022	Dec 2021	Dec 2020
Income Statement
Total Revenue	30.42B	24.25B	29.95B	22.29B	23.06B	24.43B
Gross Profit	18.17B	11.41B	17.91B	19.20B	23.11B	20.37B
EBITDA	7.00B	378.00M	450.00M	8.39B	9.38B	7.08B
Net Income	5.22B	4.82B	-1.09B	6.26B	6.44B	4.48B
Balance Sheet
Total Assets	543.83B	531.18B	535.35B	555.25B	541.24B	509.23B
Cash, Cash Equivalents and Short-Term Investments	45.85B	44.32B	97.60B	93.22B	173.42B	139.66B
Total Debt	61.06B	62.27B	62.12B	65.07B	40.89B	45.30B
Total Liabilities	478.99B	467.50B	476.10B	494.72B	471.97B	438.32B
Stockholders Equity	64.84B	63.68B	59.10B	60.51B	69.27B	70.81B
Cash Flow
Free Cash Flow	3.97B	2.16B	8.63B	10.52B	7.45B	6.62B
Operating Cash Flow	3.97B	2.16B	8.63B	11.08B	7.89B	7.44B
Investing Cash Flow	-20.79B	18.60B	22.86B	-29.97B	-32.06B	-43.65B
Financing Cash Flow	17.39B	-11.64B	-22.27B	20.02B	25.59B	36.02B

Truist Financial Technical Analysis

• Technical Analysis Sentiment: Neutral
• Last Price: 43.60
• 50DMA: Negative
• 100DMA: Negative
• 200DMA: Positive
• MACD: Positive
• RSI: Neutral
• STOCH: Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For TFC, the sentiment is Neutral. The current price of 43.6 is below the 20-day moving average (MA) of 44.29, below the 50-day MA of 45.05, and above the 200-day MA of 42.32, indicating a neutral trend. The MACD of -0.60 indicates Positive momentum. The RSI at 46.42 is Neutral, neither overbought nor oversold. The STOCH value of 72.39 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Neutral sentiment for TFC.

Truist Financial Peers Comparison

Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
PNC	77 Outperform	$71.74B	11.76	11.31%	3.64%	1.94%	30.93%
HBAN	74 Outperform	$23.22B	10.86	10.37%	3.91%	5.99%	38.40%
USB	73 Outperform	$73.30B	10.78	11.71%	4.27%	2.95%	33.77%
TFC	71 Outperform	$56.52B	11.75	7.98%	4.77%	21.90%	―
MTB	70 Outperform	$28.45B	11.21	9.61%	3.05%	-0.66%	20.36%
Sector *	68 Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
FITB	67 Neutral	$27.67B	12.50	11.52%	3.62%	-1.74%	11.62%

Truist Financial Corporate Events

Truist Financial Reports Strong Q3 2025 Results

Truist Financial Corporation is a major financial services company based in Charlotte, North Carolina, offering a diverse range of products and services across consumer and commercial banking, investment banking, wealth management, and more. As of September 30, 2025, the company holds total assets of $544 billion, positioning it as a top-10 commercial bank in the United States.

Truist Financial’s Earnings Call Highlights Strong Performance Amid Challenges

Truist Financial Corporation’s recent earnings call painted a picture of robust financial health, underscored by strong capital returns and strategic growth investments. Despite these positive highlights, the company faces challenges, such as a decline in deposit balances and an increase in non-performing loans. The management addressed concerns regarding exposure to First Brands, indicating that it is being managed within existing reserves.

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.