2Q26: Forward NII Guidance Seems Optimistic to Us While Valuation In Line; HOLD

研报英文原文证据摘录

2Q26: Forward NII Guidance Seems Optimistic to Us While Valuation In Line; HOLD

US Banks - Mid and Small Cap

Zions Bancorporation

TD SECURITIES (USA) LLC EARNINGS UPDATE

July 21, 2026

Price: $71.89 (07/20/2026) 2Q26: Forward NII Guidance Seems

Price Target: $73.00 (Prior $71.00) Optimistic to Us While Valuation In Line;

HOLD

HOLD (2)

Janet Lee THE TD COWEN INSIGHT

646 562 1454

While ZION delivered a 2Q EPS beat on prov, expense, and fees, NII/NIM was underwhelming.

janet.s.lee@tdsecurities.com

While 2Q27 NII is guided to increase high single digits y/y in a rate hike scenario, we're

Bradly D'Alessandro, CFA skeptical and forecast ~4% y/y growth in 2Q27, as we see asset sensitivity benefits are likely

646 562 1375 eroded by rising deposit costs (with ZION among the lower payers). With shares trading in line

bradly.dalessandro@tdsecurities.com

with peers, we maintain HOLD.

Noah Kasten

646 562 1443 Delivered 2Q EPS beat but we see a lower NII run-rate post quarter. 2Q26 core EPS of $1.68

noah.kasten@tdsecurities.com exceeded both Street and our $1.57 estimate driven by lower provision and a beat on expense

Key Data and fees, while NII missed.

Symbol NASDAQ: ZION

We view the company's NII guidance as optimistic. While the company's 12-month NII outlook

Beta: 0.79 calls for high-single-digit growth y/y for 2Q27 in a rate hike scenario (or 4-6%-ish in a flat

52-Week Range: $73.31-$46.93 rate environment) and a step-up in NIM driven by the ZION's asset-sensitive balance sheet,

Market Cap: $10.6B we remain skeptical that those benefits will fully materialize. We see higher deposit pricing,

Net Debt (MM): $1,943.0 particularly given ZION's below-peer deposit costs (2.25% in 2Q vs. ~2.7% for peers in 1Q), to

Cash/Share: $8.42 partly offset the asset sensitivity benefits.