Orin
TFCNYSE·Banks - Regional

Truist Financial Corporation TFC

Market cap $58.7BP/E 10.7× trailingGross margin 64.0%Reports Fri 16 Oct, before the open
$47.11
+0.11 (+0.23%)live 09:35 ET
52-wk $40.78 – $56.20
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Orin's take
0.58conviction · moderate
Refreshed 2 Aug · take v5. A new filing or a print queues the next refresh.

TFC's earnings recovery is genuine — 2025 operating income swung to $6.35B from negative territory in 2023–2024, EPS recovered to $3.82 from -$1.09, and the stock trades at a 14.4% P/E discount and 19.9% P/S discount to the regional bank peer median — but the risk/reward at $51.84 is balanced. The CEO sold all 13,250 common shares on July 20, 2026 at $52.36, smart money scores have decelerated from 0.0464 to 0.0148 over two quarters, and multiple institutional holders (BofA, Dai-ichi Life, ABN Amro) trimmed positions, all of which temper enthusiasm despite the fundamental improvement.

With RSI at 53 and the stock above both its 50-day ($50.21) and 200-day ($48.75) moving averages, the technical setup is neutral and the valuation discount is not wide enough to offset the softening ownership signals.

What could go wrong

  • CEO share liquidation. Chairman & CEO William Rogers sold all 13,250 common shares on July 20, 2026 at $52.36, reducing his direct common stock holdings to zero — a potential confidence signal despite net insider share accumulation of 311,594 over 24 months.
  • Institutional outflows. Bank of America Corp DE cut its stake by 1.3% (484,471 shares), Dai-ichi Life reduced by 20.1%, and ABN Amro trimmed 45.3% in recent 13F filings, suggesting broad-based institutional de-risking.
  • Elevated leverage. Total debt of $69.8B against stockholders' equity of $65.2B drives an EV/EBITDA of 17.84x, which is 9.6% above the peer median of 16.27x, partially offsetting the P/E and P/S discounts.
  • Smart money deceleration. Smart money score declined from 0.0464 in September 2025 to 0.0148 as of March 2026, indicating waning sophisticated-investor conviction even as fund count rose to 56.

What would change my mind

Sustained EPS momentum above $4.00. Next two quarterly EPS prints show annualized run-rate exceeding $4.00 with stable net interest margin, confirming the 2025 recovery trajectory.bullish
Insider conviction buying. Open-market insider purchases (code A or J) by officers or directors exceeding $1M aggregate value within a 90-day window, reversing the net dollar outflow trend.bullish
Credit quality deterioration. Non-performing loan ratio or net charge-offs rise materially quarter-over-quarter, signaling that the 2023–2024 operating losses reflected deeper asset quality issues.bearish
Break below 200-day moving average. Stock closes below $48.75 (200-day MA) on sustained volume, invalidating the current technical support and suggesting further institutional selling pressure.bearish

Where this comes from: FMP fundamentals FY2025 vs FY2023–2024 · FMP fundamentals FY2025 and FY2023 · Peer relative composite · Insider transactions. Orin's read on TFC; not advice.

Twelve months actual closes to 2026-09-23 · actual filings

Sept 25Nov 25Jan 26Mar 26May 26Jul 26

50-day average 200-day average · volume below

Largest holders · 13F Q2 2026

Money flow
FilerPositionOf fund
Vanguard Capital Management$4.1B0.1% of fund
State Street$2.9B0.1% of fund
Vanguard Portfolio Management$2.1B0.1% of fund
Bank Of America /De/$1.8B0.1% of fund
Geode Capital Management$1.6B0.1% of fund
Morgan Stanley$1.1B0.1% of fund

108 filers · quarter ended Q2 2026 · positions, not flows

Insiders, last 24 months: 82 Form 4 filings, net −$7.2M. Of the 50 on hand, 1 was an open-market purchase and 3 sales— the rest are grants, option exercises and tax withholding.

Ask Orin about TFC

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Where it trades

vs its own 5y · Financial Services
MetricNowOwn medianSector
P/E10.7×21.6×
EV/EBITDA17.0×13.6×
P/S1.92×2.38×
P/B0.9×0.9×

Its P/E sits 40th percentile of its own last 5 years (+0.47σ from its own mean).

What the price assumes

-1.6%

free-cash-flow growth every year for 10 years, discounted at 10%, is what today’s price implies — starting from $5.7B of trailing free cash flow. It is an assumption the market is making, not a forecast Orin is making.

What Wall Street published

54 firms · 2026-09-23
Consensus target

$55

$45$62 · +16% against today's price

How they rate it
  • 27 buy or overweight
  • 24 hold
  • 3 underweight or sell

The analysts’ consensus and their own ratings, not Orin’s. A target is a twelve-month opinion published by the firm that wrote it.

Against the companies it is compared to

median P/E 12.3× of 5 peers
CompanyMarket capP/EEV/EBITDAGrossNetROE
TFCTruist Financial Corporation$59B10.7×17.0×64.0%19.1%9%
CFGCitizens Financial Group, Inc.$27B13.9×9.8×72.4%18.5%8%
FITBFifth Third Bancorp$47B17.5×18.7×68.5%15.8%8%
KEYKeyCorp$22B11.7×18.3×64.5%19.4%10%
PNCThe PNC Financial Services Group, Inc.$89B12.3×15.0×67.9%21.7%12%
USBU.S. Bancorp$91B11.7×11.1×63.8%18.7%12%

The median is of the 5 peers listed above and nothing else — check it against the column. This company trades 13.5% below it. The peer set is the vendor’s, so a company can appear here that a person would not have chosen.

What it has traded at

P/E by fiscal year
FY14 13.9×FY25 12.7×

What its sector has traded at

Financial Services
FY14 29.6×FY26 23.9×

Two scales, drawn separately on purpose: a sector median and one company’s multiple are not the same number and putting them on one axis invites a comparison neither series supports.

Discounted cash flow

not recomputed since
ModelFair valueAgainstComputed
Standard DCF$239$50.05 · +377%2026-06-10
Levered DCF$95$50.05 · +91%2026-06-10

The vendor’s intrinsic-value models. Treat them as a low-growth anchor — for a fast grower the market routinely pays well above a DCF. These were computed against the price in the “against” column, not today’s.

Every estimate on one scale

price $47.11
52-week range$41 – $56
Analyst targets$45 – $62
Standard DCF$239 as of 2026-06-10, when it was $50.05
Levered DCF$95 as of 2026-06-10, when it was $50.05
At own 5y-median P/E (12×)$52
At 5y P/E range (-45–12×)$-199 – $54
At sector P/E (22×)$95

The vertical rule is the current price. Ranges and point estimates are the backend’s, published as they were calculated; an arrow means the estimate sits beyond this scale, and its number is on the right.