Valley National Bancorp Q1 revenue, adjusted EPS beat estimates on healthy commercial loan, deposit growth
Valley National Bancorp VLY | 0.00 |
Overview
U.S. regional bank's Q1 revenue beat analyst expectations, adjusted EPS also beat
Adjusted net income for Q1 exceeded consensus
Company repurchased 4 mln shares during the quarter
Outlook
Company did not provide specific guidance for current or future periods in its press release
Result Drivers
NET INTEREST INCOME - Growth driven by lower average deposit costs, disciplined deposit pricing, and runoff of higher-cost indirect deposits
LOAN AND DEPOSIT GROWTH - Loan growth led by commercial real estate and C&I loans; deposit growth supported by new commercial and online customer deposits
NON-INTEREST INCOME DECLINE - Lower capital markets activity and fintech investment valuations weighed on non-interest income
Company press release: ID:nGNX4JlSk7
Key Details
Metric |
Beat/Miss |
Actual |
Consensus Estimate |
Q1 Revenue |
Beat |
$540.36 mln |
$531.06 mln (9 Analysts) |
Q1 Adjusted EPS |
Beat |
$0.29 |
$0.27 (13 Analysts) |
Q1 EPS |
|
$0.28 |
|
Q1 Adjusted Net Income |
Beat |
$168.90 mln |
$153.24 mln (10 Analysts) |
Q1 Net Income |
|
$163.91 mln |
|
Q1 Provision For Credit losses |
|
$21.26 mln |
|
Analyst Coverage
The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 13 "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
The average consensus recommendation for the banks peer group is "buy"
Wall Street's median 12-month price target for Valley National Bancorp is $15.00, about 13.2% above its April 22 closing price of $13.25
The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago
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