SunTrust Banks, Inc. (STI) Expected to Post Quarterly Sales of $2.34 Billion

Wall Street brokerages expect SunTrust Banks, Inc. (NYSE:STI) to announce $2.34 billion in sales for the current fiscal quarter, according to Zacks Investment Research. Five analysts have provided estimates for SunTrust Banks’ earnings, with the highest sales estimate coming in at $2.35 billion and the lowest estimate coming in at $2.32 billion. SunTrust Banks posted sales of $2.28 billion in the same quarter last year, which suggests a positive year over year growth rate of 2.6%. The firm is expected to report its next quarterly earnings report before the market opens on Friday, October 19th.

On average, analysts expect that SunTrust Banks will report full year sales of $9.27 billion for the current financial year, with estimates ranging from $9.23 billion to $9.32 billion. For the next financial year, analysts expect that the business will report sales of $9.56 billion, with estimates ranging from $9.50 billion to $9.61 billion. Zacks’ sales averages are an average based on a survey of analysts that cover SunTrust Banks.

SunTrust Banks (NYSE:STI) last issued its earnings results on Friday, July 20th. The financial services provider reported $1.49 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.30 by $0.19. The business had revenue of $2.32 billion during the quarter, compared to analysts’ expectations of $2.33 billion. SunTrust Banks had a net margin of 26.41% and a return on equity of 10.94%. The business’s revenue for the quarter was up 3.9% compared to the same quarter last year. During the same period in the previous year, the company earned $1.03 earnings per share.

STI has been the subject of a number of research analyst reports. Sanford C. Bernstein upgraded shares of SunTrust Banks from a “market perform” rating to an “outperform” rating in a research note on Wednesday, June 27th. They noted that the move was a valuation call. Edward Jones initiated coverage on shares of SunTrust Banks in a research note on Tuesday, August 28th. They issued a “hold” rating for the company. Wedbush set a $75.00 price target on shares of SunTrust Banks and gave the stock a “hold” rating in a research note on Thursday, September 13th. Jefferies Financial Group reiterated a “buy” rating and issued a $80.00 price target on shares of SunTrust Banks in a research note on Tuesday, July 24th. Finally, Barclays lifted their price target on shares of SunTrust Banks from $77.00 to $79.00 and gave the stock a “$72.58” rating in a research note on Monday, July 23rd. One investment analyst has rated the stock with a sell rating, thirteen have issued a hold rating and thirteen have given a buy rating to the company’s stock. The stock currently has an average rating of “Hold” and an average price target of $73.85.

Shares of STI stock opened at $66.96 on Tuesday. SunTrust Banks has a 52 week low of $56.30 and a 52 week high of $75.08. The company has a market capitalization of $30.77 billion, a PE ratio of 16.57, a P/E/G ratio of 1.03 and a beta of 1.29. The company has a debt-to-equity ratio of 0.54, a current ratio of 0.94 and a quick ratio of 0.92.

The firm also recently announced a quarterly dividend, which was paid on Monday, September 17th. Investors of record on Friday, August 31st were given a dividend of $0.50 per share. This represents a $2.00 annualized dividend and a yield of 2.99%. This is a positive change from SunTrust Banks’s previous quarterly dividend of $0.40. The ex-dividend date of this dividend was Thursday, August 30th. SunTrust Banks’s payout ratio is 49.50%.

SunTrust Banks announced that its Board of Directors has initiated a stock repurchase plan on Thursday, June 28th that allows the company to buyback $2.00 billion in shares. This buyback authorization allows the financial services provider to purchase up to 6.6% of its stock through open market purchases. Stock buyback plans are usually a sign that the company’s management believes its stock is undervalued.

In related news, EVP Jorge Arrieta sold 2,500 shares of the business’s stock in a transaction that occurred on Tuesday, August 14th. The shares were sold at an average price of $73.13, for a total transaction of $182,825.00. Following the completion of the sale, the executive vice president now directly owns 6,148 shares in the company, valued at $449,603.24. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is accessible through this link. Insiders own 0.52% of the company’s stock.

A number of hedge funds and other institutional investors have recently made changes to their positions in STI. BB&T Securities LLC grew its position in SunTrust Banks by 27.5% during the first quarter. BB&T Securities LLC now owns 33,630 shares of the financial services provider’s stock valued at $2,287,000 after buying an additional 7,247 shares during the period. Nuveen Asset Management LLC boosted its position in shares of SunTrust Banks by 83.4% in the first quarter. Nuveen Asset Management LLC now owns 52,388 shares of the financial services provider’s stock worth $3,564,000 after purchasing an additional 23,825 shares during the period. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp boosted its position in shares of SunTrust Banks by 43.0% in the first quarter. BRITISH COLUMBIA INVESTMENT MANAGEMENT Corp now owns 308,117 shares of the financial services provider’s stock worth $20,964,000 after purchasing an additional 92,725 shares during the period. Lord Abbett & CO. LLC bought a new position in shares of SunTrust Banks in the first quarter worth approximately $2,375,000. Finally, Barometer Capital Management Inc. bought a new position in shares of SunTrust Banks in the first quarter worth approximately $1,572,000. Institutional investors own 83.86% of the company’s stock.

SunTrust Banks Company Profile

SunTrust Banks, Inc operates as the holding company for SunTrust Bank that provides various financial services for consumers, businesses, corporations, and institutions in the United States. It operates through two segments, Consumer and Wholesale. The Consumer segment provides deposits and payments; home equity and personal credit lines; auto, student, and other lending products; credit cards; discount/online and full-service brokerage products; professional investment advisory products and services; and trust services, as well as family office solutions.

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Earnings History and Estimates for SunTrust Banks (NYSE:STI)

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