Analysts Forecast 7% Q4 EPS Rise to $0.46, Cowen Lifts Target to $26
First Horizon is expected to report Q4 EPS of $0.46, a 7% increase year-on-year, and revenue of $862.8 million, up from $824 million. Analysts raised consensus EPS estimates by 3.1% while TD Cowen lifted its price target to $26 from $24 despite a recent 0.2% share decline.
1. Q4 Earnings Preview
First Horizon Corporation is set to report fourth-quarter results on January 15, 2026. Consensus estimates call for EPS of $0.46, a 7% increase from the prior year’s $0.43, and revenue of approximately $862.8 million, up from $824 million in the same period last year. This anticipated growth reflects ongoing strength in net interest income and fee-based businesses, supported by stable loan origination volumes and improved deposit spreads.
2. Analyst Estimate Revisions and Ratings
Over the past month, analysts have raised the consensus EPS estimate by 3.1%, signaling increased confidence in First Horizon’s earnings trajectory. TD Cowen analyst Janet Lee, known for a 64% accuracy rate, maintained a Hold rating on the shares. Her outlook underscores a balanced view of upside potential against macroeconomic headwinds, with investors watching for management commentary on credit quality and margin pressure.
3. Valuation Metrics and Investor Considerations
First Horizon trades at a price-to-earnings ratio of 13.73 and a price-to-sales ratio of 2.59, indicating a moderate valuation relative to regional bank peers. The enterprise value-to-sales ratio stands at 3.57, while the enterprise value-to-operating cash flow ratio is elevated at 40.38, suggesting tighter liquidity. A current ratio of 0.15 highlights potential short-term funding considerations. Investors will be keen to see if the upcoming results validate these metrics and provide guidance on capital deployment and balance-sheet management.