Huntington Bancshares Mgmt Meeting: Pipelines Intact, Synergies Ramping; Funding Costs Slower Decline, CRE Managed Down

Research evidence excerpt

Huntington Bancshares Mgmt Meeting: Pipelines Intact, Synergies Ramping; Funding Costs Slower Decline, CRE Managed Down

Andrew J Dietrich AC North America Equity Research

(1-212) 622-4244 14 May 2026 J P M O R G A N

aj.dietrich@jpmorgan.com

• Deposit competition remains intense in Huntington’s markets, amplified by some

peers returning to asset growth and seeking to fund it with new deposits. As a result,

funding costs continue to decline but at a slightly lesser magnitude than originally

expected.

• Fee income priorities: 1) capital markets is the most fully developed of Huntington's key

strategic fee businesses following the Janney and TM Capital acquisitions. 2)

Commercial payments (Treasury Management) is competitive with larger peers but is

working on closing product gaps in the consumer sector. 3) Wealth management is earlier

in its growth arc - the bank spent the past few years building out product capabilities and

is now adding private bankers to deliver them to the customer base, with penetration of

existing customer households still well below peers. Across all three areas, the strategy

is advice-led rather than pricing or product-led, focused on understanding client needs

and assembling an appropriately priced package of services.

• Revenue and expense synergies from Veritex and Cadence remain on track. Revenue

synergies are expected to roughly double each year - $50-75 mil in 2026, about $150 mil

in 2027, and about $300 mil by 2028 with continued growth thereafter. Revenue synergies

are driven by: 1) Huntington’s broader product set and greater balance sheet capacity; 2)

superior digital capabilities compared to Cadence - Cadence had been working on 61

digital priorities prior to the acquisition and Huntington already had all of them in place;