2Q26: NIM Guidance Improves on Higher Rate Outlook, but Relative Valuation Keeps Us at Underweight

研报英文原文证据摘录

2Q26: NIM Guidance Improves on Higher Rate Outlook, but Relative Valuation Keeps Us at Underweight

J P M O R G A N North America Equity Research

27 July 2026

First Hawaiian Underweight

FHB, FHB US

2Q26: NIM Guidance Improves on Higher Rate Outlook, Price (24 Jul 26):$28.11

but Relative Valuation Keeps Us at Underweight ▼Price Target (Dec-27):$30.00 Prior (Dec-27):$31.00

We viewed First Hawaiian’s 2Q26 results as largely supportive of the improving

earnings narrative that has taken shape over the past several quarters. At a high U.S. Mid and Small Cap Banks

level, we think the key takeaway was continued momentum in earnings power, Anthony Elian, CFA AC

driven by favorable balance sheet repricing, healthy commercial loan growth, (1-212) 622-5067

stable funding costs, and solid credit performance. On the core debate, 2Q26 NIM anthony.elian@jpmorgan.com

expanded 6 bps q/q to 3.25%, while the company increased its full-year NIM Michael Pietrini

outlook to 3.24%-3.25% and guided to ~3.27% in 3Q26, reinforcing our view that (1-212) 622-0618

michael.pietrini@jpmorgan.com

net interest income should continue to move higher as earning asset yields improve J.P. Morgan Securities LLC

and funding costs remain well contained. Loan growth of ~4% annualized was

again driven by C&I and CRE activity, with management commentary

highlighting a robust commercial pipeline despite continued weakness in Quarterly Forecasts (FYE Dec)

residential demand. While the pending TriCo acquisition received limited Adj. EPS ($)

incremental discussion, we continue to view the transaction as a positive source of 2025A 2026E 2027E

Q1 0.47 0.55A 0.65

longer-term diversification and growth. However, when we combine our updated Q2 0.54 0.63A 0.69