Truist Financial stock is rising following reports that it will sell its insurance business. The stock remains a buy.
Barron’s recommended Truist on Sept. 21, arguing that the company has room to cut costs, execute better, and lift profit margins. The company, which is the 2019 BB&T and SunTrust merger, has missed earnings per share estimates in the majority of the past 20 quarters, while this year’s macroeconomic concerns have hit all bank stocks. Since our recommendation, the stock has gained just over 3%.
Now, Truist can focus its newfound cash on just its lending and wealth management businesses, which account for the vast majority of 2024’s estimated sales of $23 billion. The deal would also mean Truist has more cash, which improves the balance sheet. The bank had about $12 billion of second-quarter losses on securities, most of which are government bonds that saw their prices drop as their yields have risen. The deal allows Truist to offset most of those losses,, putting the company in a better financial position.
Indonesia Berita Terbaru, Indonesia Berita utama
Similar News:Anda juga dapat membaca berita serupa dengan ini yang kami kumpulkan dari sumber berita lain.
Sumber: Investingcom - 🏆 450. / 53 Baca lebih lajut »
Sumber: Investingcom - 🏆 450. / 53 Baca lebih lajut »