Truist shares tumble 5% as bank misses Q4 EPS but unveils $10b buyback and 2027 ROTCE goal

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Source: Cryptonews Original Title: Truist shares tumble 5% as bank misses Q4 EPS but unveils $10b buyback and 2027 ROTCE goal Original Link:

Q4 2025 Results Overview

Truist Financial Corporation (TFC) reported fourth-quarter 2025 diluted earnings per share of $1.00, missing analyst expectations of $1.09. The Charlotte, North Carolina-based bank posted total revenue of $5.25 billion for the quarter, falling short of the anticipated $5.31 billion. The company attributed the shortfall to an incremental legal accrual and severance charges, which reduced earnings per share by $0.12.

Financial Performance Details

Net interest income increased 1.9% from the previous quarter, driven by loan and deposit growth. Noninterest income remained stable compared to the third quarter, with declines in some categories offset by gains in investment banking and trading income.

Noninterest expenses rose 5.2% due to higher personnel expenses and the legal accrual.

Capital Allocation and Strategic Targets

Truist announced a share repurchase authorization of up to $10 billion with no expiration date as part of its capital distribution strategy. The company’s Common Equity Tier 1 ratio stood at 10.8%, down slightly from the previous quarter.

Future Strategy

The bank outlined strategic guidance focused on enhancing client relationships, operational efficiency, and capital returns. Truist set a target of achieving a 15% return on tangible common equity by 2027.

The company stated it plans to invest in talent and technology while emphasizing risk management and governance practices. Truist Ventures has invested in fintechs focused on digital asset integration and enterprise blockchain solutions, positioning digital assets as part of its core strategy in embedded banking, alongside APIs and real-time payments infrastructure.

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EntryPositionAnalystvip
· 2h ago
It's the old trick of traditional banks again. Missing EPS and instead doing stock buybacks—can this really save them? The ROTCE target for 2027 sounds pretty unrealistic...
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EthSandwichHerovip
· 2h ago
Hmm... It's the same old trick in traditional finance. When EPS doesn't meet expectations, they do buybacks to boost the price. Wait for another 20% drop.
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CryptoWageSlavevip
· 3h ago
Hmm... Another traditional financial "good news" trick, missing EPS and still doing a $10B buyback, really treating retail investors as fools...
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BearMarketNoodlervip
· 3h ago
It's the same old trick again: miss EPS and then dump the stock, only to turn around and announce a buyback to stabilize confidence. The more lice there are, the less they itch; investors should wake up.
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GateUser-9f682d4cvip
· 3h ago
Damn, bank stocks are underperforming again. Can buying back $1 billion save the day...
View OriginalReply0
ZenChainWalkervip
· 3h ago
Wait, TFC is struggling again? I already said traditional banks can't keep up with the pace, and can a 10b buyback really save them... lol
View OriginalReply0
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