What Happened?
Shares of regional banking company First Horizon (NYSE:FHN) jumped 3.8% in the morning session after the company reported strong second-quarter financial results that surpassed Wall Street expectations.
The Memphis-based bank announced earnings of $0.45 per share, which was a notable beat Consensus Estimate of $0.41 per share. This also represented a significant increase from the $0.36 per share reported in the same quarter a year ago. Revenue for the quarter came in at $834 million, also topping analyst forecasts of $826.6 million. The positive results were driven by solid growth in both loans and deposits.
In a statement, President and CEO Bryan Jordan commented, "We are pleased with our strong performance this quarter, underscoring our unwavering commitment to safety and soundness, profitability and growth."
After the initial pop the shares cooled down to $21.53, up 1.6% from previous close.
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What Is The Market Telling Us
First Horizon’s shares are not very volatile and have only had 7 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful, although it might not be something that would fundamentally change its perception of the business.
First Horizon is up 7.6% since the beginning of the year, and at $21.53 per share, it is trading close to its 52-week high of $22.43 from February 2025. Investors who bought $1,000 worth of First Horizon’s shares 5 years ago would now be looking at an investment worth $2,315.
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