Expert Outlook: First Horizon Through The Eyes Of 9 Analysts

9 analysts have shared their evaluations of First Horizon FHN during the recent three months, expressing a mix of bullish and bearish perspectives.

The table below provides a concise overview of recent ratings by analysts, offering insights into the changing sentiments over the past 30 days and drawing comparisons with the preceding months for a holistic perspective.

Analysts have set 12-month price targets for First Horizon, revealing an average target of $17.11, a high estimate of $18.00, and a low estimate of $16.00. Surpassing the previous average price target of $15.64, the current average has increased by 9.4%.

Diving into Analyst Ratings: An In-Depth Exploration

In examining recent analyst actions, we gain insights into how financial experts perceive First Horizon. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to First Horizon. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts assign qualitative assessments to stocks, ranging from 'Outperform' to 'Underperform'. These ratings convey the analysts' expectations for the relative performance of First Horizon compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for First Horizon's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

Capture valuable insights into First Horizon's market standing by understanding these analyst evaluations alongside pertinent financial indicators. Stay informed and make strategic decisions with our Ratings Table.

Stay up to date on First Horizon analyst ratings.

Delving into First Horizon's Background

First Horizon Corp is the parent company of First Tennessee Bank, a prominent regional bank with about 200 branches around Tennessee. The regional bank is responsible for roughly 65% of its revenue, while capital markets make a 25% contribution. The remainder is split between the firm's non-strategic (wind-down) and corporate operations. First Horizon concentrates on offering a variety of banking products mainly in its home state, where it has the second- largest deposit franchise with a 13% deposit market share.

First Horizon: Financial Performance Dissected

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Growth: First Horizon's revenue growth over a period of 3 months has faced challenges. As of 31 December, 2023, the company experienced a revenue decline of approximately -9.65%. This indicates a decrease in the company's top-line earnings. As compared to its peers, the revenue growth lags behind its industry peers. The company achieved a growth rate lower than the average among peers in Financials sector.

Net Margin: First Horizon's net margin surpasses industry standards, highlighting the company's exceptional financial performance. With an impressive 22.65% net margin, the company effectively manages costs and achieves strong profitability.

Return on Equity (ROE): First Horizon's ROE excels beyond industry benchmarks, reaching 2.14%. This signifies robust financial management and efficient use of shareholder equity capital.

Return on Assets (ROA): First Horizon's financial strength is reflected in its exceptional ROA, which exceeds industry averages. With a remarkable ROA of 0.21%, the company showcases efficient use of assets and strong financial health.

Debt Management: The company maintains a balanced debt approach with a debt-to-equity ratio below industry norms, standing at 0.17.

Analyst Ratings: What Are They?

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Beyond their standard evaluations, some analysts contribute predictions for metrics like growth estimates, earnings, and revenue, furnishing investors with additional guidance. Users of analyst ratings should be mindful that this specialized advice is shaped by human perspectives and may be subject to variability.

This article was generated by Benzinga's automated content engine and reviewed by an editor.