Regional Banks Show Potential Despite Market Weakness
Written by Emily J. Thompson, Senior Investment Analyst
Updated: Apr 18 2024
0mins
Should l Buy HBAN?
Source: SeekingAlpha
Huntington Bancshares Inc's stock fell as it crossed below the 5-day SMA amid a broader decline in the financial sector.
Despite the overall poor performance of the financial sector, Dory Wiley, CEO of Commerce Street Holdings, asserts that regional banks like Huntington Bancshares maintain strong fundamentals, with high capital ratios and good deposits, indicating their potential value. He notes that banks are currently valued at a forward P/E of only 10 times earnings, and with good growth rates, these stocks could realistically reach a valuation range of 15 to 18 times, reflecting market confidence in their future performance.
Wiley emphasizes that the credit underwriting quality in the banking sector is at its historical best, providing reassurance to investors. While some individual banks may face weaknesses, the overall health of the industry suggests that there are abundant market opportunities for growth in bank stocks.
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Analyst Views on HBAN
Wall Street analysts forecast HBAN stock price to rise
15 Analyst Rating
12 Buy
2 Hold
1 Sell
Moderate Buy
Current: 16.120
Low
16.00
Averages
20.23
High
23.00
Current: 16.120
Low
16.00
Averages
20.23
High
23.00
About HBAN
Huntington Bancshares Incorporated is an asset regional bank holding company. The Company, through its bank subsidiary, Huntington National Bank and its affiliates provide consumers, small and middle-market businesses, corporations, municipalities, and other organizations with a comprehensive suite of banking, payments, wealth management, and risk management products and services. It operates more than 1,000 branches in 14 states, with certain businesses operating in extended geographies. Its Consumer & Regional Banking segment offers financial products and services to consumer and business customers, including deposits, lending, payments, mortgage banking, dealer financing, investment management, and other financial products and services. Its Commercial Banking segment provides expertise through banks, capabilities, and digital channels, which include a comprehensive set of product offerings. Its target clients span from mid-market to large corporates across a national footprint.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
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- Increase in Large Deals: In 2025, transactions valued over $250 million accounted for 30.6% of all disclosed consumer M&A deals, indicating a significant shift that often precedes broader M&A activity, as historical trends show such deals lead to market rebounds.
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- Increase in Large Deals: In 2025, transactions with an enterprise value exceeding $250 million accounted for 30.6% of all disclosed consumer M&A deals, indicating that this increase may herald broader M&A activity, as historical trends show such deals often precede market rebounds.
- Shift to Defensive Investments: Despite overall M&A activity being weak in 2025, discretionary sectors like Tactical Products, Outdoor Recreation, and Vitamins saw significant growth, with increases of 54.3%, 47.7%, and 30% respectively, reflecting a renewed investor confidence in these areas.
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