Fifth Third Bancorp
FITB · NYSE
FITB · NYSE
Huntington Bancshares Incorporated Depositary Shares, Each Representing a 1/40th Interest in a Share of 6.875% Series J Non-Cumulative Perpetual Preferred Stock$24.68
State Street Corporation$169.71
Truist Financial Corporation$48.82
Huntington Bancshares Incorporated Depositary Shares each representing a 1/1000th interest in a share of Huntington Series I Preferred Stock$18.64Expected to report Jan 19, 2027 — estimated from last year’s reporting date.
Consensus is $1.20 EPS for Dec 2026 across 8 estimates, ranging $1.13 to $1.26.
Fifth Third reported Q3 2026 adjusted EPS of $1.13, beating the $1.09 consensus by 3.7%, while GAAP diluted EPS was $0.90. GAAP net income available to common shareholders rose to $828 million from $763 million in Q2, but was below the $0.91 diluted EPS reported a year earlier; year-ago common net income was $608 million. The gap between adjusted and GAAP results reflects $0.23 per share of specified items, chiefly merger-related costs. The quarter’s central story was the completion of Comerica’s systems conversion alongside improving earnings power: adjusted PPNR grew 8% sequentially to about $1.5 billion, and adjusted returns already exceeded two of the deal’s 2027 profitability targets.
Growth was broad but not without funding and integration trade-offs. FTE NII increased 3% sequentially to $2.276 billion, while margin declined 2 basis points to 3.34%, partly because about $3 billion of Comerica sweep balances moved onto the balance sheet. Average core deposits rose 3% and average loans grew 1%; management also highlighted new commercial relationships and share gains in expansion markets. Credit stayed stable, with charge-offs of 0.31%. Looking ahead, management expects Q4 adjusted PPNR growth of 9%–10% as further expense synergies come through, and plans to update full-year 2027 guidance in January.
The quarter marked the completion of the Comerica systems conversion, less than a year after the acquisition announcement. Management said client and banker retention remained strong through the conversion, which onboarded about 600,000 accounts and 293 branches while consolidating 82 branches. It described Q4 as the first full-quarter view of the combined company after technical conversion.
FTE NII rose $56 million sequentially to $2.276 billion, supported by loan growth, fixed-rate asset repricing and investment portfolio activity. Higher deposit costs and tighter spreads in C&I and auto partly offset those benefits. NIM was 3.34%, down 2 basis points; management attributed about 4 basis points of pressure to elevated short-term cash from moving Comerica sweep balances onto the balance sheet, and said margin would have risen about 2 basis points without that effect.
Average portfolio loans and leases increased 1% sequentially to $179.2 billion, with about $1.5 billion of growth in commercial lending and broadly stable consumer balances. Period-end portfolio loans were $180.3 billion, up 1%. Management said commercial production was diversified across markets and industries, and the gross production pipeline entered Q4 at a record level.
Credit performance was broadly stable, and the lower provision supported sequential earnings growth. Net charge-offs were $139 million, or 0.31% of average portfolio loans, compared with $135 million, or 0.30%, in Q2. The year-ago charge-off ratio was 1.09%, including a $178 million asset-backed finance charge-off; excluding that credit, the prior-year ratio was 0.52%.
Management expects the final integration synergies to combine with ongoing organic growth in Q4. The outlook assumes the forward curve at the start of October, including a 25-basis-point rate increase in December; full-year 2027 guidance is scheduled for January.