Barclays Highlights Key Factors To Watch For BB&T Corporation
Barclays lowered its 2Q16 EPS estimate for BB&T Corporation (NYSE: BBT) to $0.64 from $0.68 on a lower GAAP net interest margin. The 2016 EPS estimate now stands at $2.85, compared to $2.89 prior.
"We expect sizable fee revenue growth in 2Q16 (9–11 percent) which we think it should achieve given the low base in 1Q16, seasonal strength in mortgage, a recovery in capital markets fees and its insurance purchase," said Barclays.
The analysts highlighted major factors worth watching, such as:
- Focus Shifts: Shifting away from deal driven growth as management pausing deal activity and now looking to grow organically and deploy capital via buybacks
- Deal Integration: Last two of the announced deals closed in 2Q16
- Energy: Looking for results of spring borrowing base redetermination period
- Efficiency target: With rates remaining low, reaching efficiency target getting tougher
Barclays currently has an Equal-Weight rating on BB&T with a $40 price target.
Latest Ratings for BBT
|Mar 2017||Hilliard Lyons||Downgrades||Buy||Neutral|
|Jan 2017||Hilliard Lyons||Upgrades||Neutral||Buy|
|Jan 2017||UBS||Initiates Coverage On||Neutral|
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