REAL-TIME GLOBAL RESEARCH
U.S. Mid-Cap Banks 2Q26 Earnings Review: Deposit costs moving higher as expected, but strong commercial pipelines still driving good NII trends at most. We‘re refining our price targets and upgrade TCBI to EW from UW and downgrade FIBK to UW from EW.
Research evidence excerpt
U.S. Mid-Cap Banks 2Q26 Earnings Review: Deposit costs moving higher as expected, but strong commercial pipelines still driving good NII trends at most. We‘re refining our price targets and upgrade TCBI to EW from UW and downgrade FIBK to UW from EW.
Equity Research
3 August 2026
U.S. Mid-Cap Banks
2Q26 Earnings Review
Deposit costs moving higher as expected, but strong
commercial pipelines still driving good NII trends at most.
We're refining our price targets and upgrade TCBI to EW from U.S. Mid-Cap Banks POSITIVE
UnchangedUW and downgrade FIBK to UW from EW.
Jared ShawSummary: 2Q earnings for the US Mid-Cap banks highlighted the strength of the underlying
+1 617 342 4101
economy with growth and credit quality outperforming expectations. EPS and PPNR generally
jared.shaw@barclays.com
beat, but the magnitude of the upside was more modest than the prior four quarters. EPS beat BCI, US
Street estimates by an average of 250bps vs the ~500-600bps level seen from 2Q25-1Q26, while
Jonathan RauPPNR was in-line on avg. vs the 100-200bps beats seen recently. NIMs came in a couple bps
+1 617 342 4283
below our forecasts and the Street's, as intra-quarter SOFR moves and greater funding needs
jonathan.rau@barclays.com
tied to outsized growth added incremental pressure on deposit costs. While consensus EPS BCI, US
estimates have been steadily increasing over the past year with FY27 estimates 8.5% higher
Emily Rodrigueztoday, Street estimates were reduced following 2Q results, with FY27 down 0.4% and FY28 down
+1 212 526 7180
1.4%. We remain 110bps/390bps ahead of the Street in '27/'28 as we think NII strength is likely emily.rodriguez@barclays.com
to continue and that AI will begin benefiting expense bases in a more meaningful way. BCI, US
The English excerpt is extracted automatically from the cited source page and may contain layout or recognition errors. It is never batch translated.
Open report viewer