First Citizens BancShares' analyst price target has recently edged down from approximately $2,310 to $2,275, as analysts point to modestly slower revenue growth but stable profitability in their updated outlooks.
Analyst Commentary
Bullish Takeaways- Bullish analysts maintain positive ratings and note that First Citizens' strong capital position and projected loan and deposit growth provide a foundation for further expansion.
- Expectations remain high for increasing net interest margins, which could support profitability in the upcoming quarters.
- There is anticipation that commercial lending activity may rebound in the second half of the year. This could potentially boost the bank’s earnings outlook and competitive standing among peers.
- Recent upward adjustments in target price by some analysts are tied to views that the rate environment and excess capital will empower the bank to seize growth opportunities as market conditions evolve.
- Bearish analysts have revised targets downward or adopted a more neutral stance, citing concerns about modestly slower revenue growth in the near term.
- Some believe that the share price already reflects much of the bank’s recent operational strength. This may limit upside potential despite stable performance.
- There are reservations that if anticipated lending growth fails to materialize in the latter part of the year, this could weigh on valuation and sentiment.
What's in the News
- From April 1, 2025 to July 31, 2025, First Citizens BancShares repurchased 486,324 shares, representing 3.63 percent of shares, for $916.12 million. This completed a total buyback of 1,603,648 shares, or 11.52 percent, for $3,192.12 million under the 2024 buyback plan (Key Developments).
- The company announced a new share repurchase program, approving up to $4,000 million for buybacks of its Class A Common Stock with an expiration in 2026 (Key Developments).
- The Board of Directors authorized a new buyback plan on July 25, 2025 (Key Developments).
Valuation Changes
- Consensus Analyst Price Target has decreased modestly from $2,310.71 to $2,275.00, reflecting a slightly lower valuation estimate.
- Discount Rate has risen slightly from 8.45% to 8.64%, indicating a minor increase in perceived risk or required return.
- Revenue Growth projection has fallen from 2.57% to 1.68%, pointing to reduced expectations for top-line expansion.
- Net Profit Margin has improved marginally from 22.63% to 22.88%, suggesting a more optimistic outlook for profitability.
- Future P/E is almost unchanged, rising from 13.44x to 13.50x.
Disclaimer
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