Peoples Bancorp forecasts 2027 net interest margin of 4.3%-4.5%, excluding Capital merger
PEBO•Peoples Bancorp forecasts a 2027 net interest margin of 4.3%-4.5%, excluding non-core expenses and the planned Capital merger, compared with 4.2%-4.3% for 2026. It projects 3%-5% loan growth in 2027, excluding Capital.
1. 2027 outlook
Peoples Bancorp forecasts a 2027 net interest margin of 4.3%-4.5%, excluding non-core expenses and the planned Capital merger, versus 4.2%-4.3% in 2026. The outlook assumes three 25-basis-point Federal Reserve rate increases: in late 2026, March 2027 and September 2027.
2. Loans and acquisitions
The company projects 3%-5% loan growth in 2027, excluding Capital, compared with 6%-8% in 2026, including acquired Citizens loans. Citizens is expected to close in October 2026 and add nearly $350 million in loans and approximately $550 million in deposits. Capital is expected to close around late first-quarter or early second-quarter 2027, lifting quarterly net interest margin toward 5%.
