2Q26 Bank Model Updates

研报英文原文证据摘录

2Q26 Bank Model Updates

Brokers, Asset Managers & Exchanges

Banks/Large-Cap - Market Weight

Banks/Mid-Cap - Market Weight

2Q26 Bank Model Updates July 22, 2026

The Wolfe Byte

We are updating estimates for STT, USB, TFC, and FITB post 2Q26 results. For more details on our estimate changes,

please see our weekly note here.

STT: Post 2Q, we raised our 2026 / 2027 EPS to $13.81 / $15.22 from $13.50 / $14.91 (+2% / + 1% vs. consensus)

to reflect the updated FY26 guidance range the flowthrough from a higher 4Q26 NII exit rate, and greater operating

leverage / margin expansion vs. our prior model. Despite our positive EPS revisions, we continue to believe that the

valuation is full at ~12x WR 2027 EPS (vs. 5Y avg. multiple of ~10x). Maintain Peer Perfrom.

USB: We raise 2026 / 2027 EPS to $5.18 / $5.75 from $5.14 / $5.71. On balance, we thought the quarter was positive

and highlights improving business momentum across the USB complex, but with shares trading at ~11x WR 2027 EPS,

valuation appears full vs. Money Centers. Maintain Peer Perform.

TFC: We raised our FY26 EPS by +4% ($4.60 from $4.43) reflecting the 2Q beat, but our FY27 EPS is unchanged post

results ($5.10). Thus, despite a better outlook for ROTCE (14%+ in FY26), we see better relative value at WFC which

trades at parity on FY27 (~10.5x). Maintain Peer Perform.

FITB: Our estimates are essentially unchanged post 2Q (FY26 / FY27 to $4.19 / $5.00 from $4.20 / $5.00), and while

shares have outperformed YTD, we continue to believe that FITB represents one of the better stories in Regional Banks

post-CMA deal (longer-term revenue synergies / growth algorithm). Reiterate Outperform rating.

COMPANY TICKER RATING PT % UPSIDE

Fifth Third FITB OP $63 9.3%

State Street STT PP NA

Truist Financial TFC PP NA

U.S.