Regions Financial Corporation

DB:RN7 Stock Report

Market Cap: €20.7b

Regions Financial Valuation

Is RN7 undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

2/6

Valuation Score 2/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of RN7 when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: RN7 (€22.2) is trading below our estimate of fair value (€59.75)

Significantly Below Fair Value: RN7 is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for RN7?

Key metric: As RN7 is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for RN7. This is calculated by dividing RN7's market cap by their current earnings.
What is RN7's PE Ratio?
PE Ratio13.2x
EarningsUS$1.63b
Market CapUS$21.60b

Price to Earnings Ratio vs Peers

How does RN7's PE Ratio compare to its peers?

The above table shows the PE ratio for RN7 vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average11.6x
CBK Commerzbank
8.5x8.9%€18.1b
CFG Citizens Financial Group
16.5x21.6%US$19.1b
HBAN Huntington Bancshares
15.6x11.1%US$23.7b
002142 Bank of Ningbo
5.9x9.1%CN¥155.2b
RN7 Regions Financial
13.2x12.0%€21.6b

Price-To-Earnings vs Peers: RN7 is expensive based on its Price-To-Earnings Ratio (13.2x) compared to the peer average (11.6x).

Price to Earnings Ratio vs Industry

How does RN7's PE Ratio compare vs other companies in the European Banks Industry?

2 CompaniesPrice / EarningsEstimated GrowthMarket Cap
RN7 13.2xIndustry Avg. 7.6xNo. of Companies46PE0612182430+
2 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: RN7 is expensive based on its Price-To-Earnings Ratio (13.2x) compared to the European Banks industry average (7.6x).

Price to Earnings Ratio vs Fair Ratio

What is RN7's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

RN7 PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio13.2x
Fair PE Ratio12.3x

Price-To-Earnings vs Fair Ratio: RN7 is expensive based on its Price-To-Earnings Ratio (13.2x) compared to the estimated Fair Price-To-Earnings Ratio (12.3x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst RN7 forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
Current€22.20
€26.92
+21.3%
10.9%€31.84€21.23n/a22
Dec ’25€26.00
€25.50
-1.9%
9.6%€31.44€20.96n/a22
Nov ’25€21.80
€23.89
+9.6%
7.6%€27.58€20.23n/a23
Oct ’25€20.80
€21.64
+4.0%
7.8%€25.08€18.81n/a23
Sep ’25€20.80
€21.28
+2.3%
6.8%€25.10€18.83n/a24
Aug ’25€20.60
€21.81
+5.9%
7.2%€25.86€19.39n/a24
Jul ’25€18.60
€20.12
+8.2%
6.2%€23.28€16.76n/a24
Jun ’25€17.50
€20.18
+15.3%
6.4%€23.32€16.79n/a24
May ’25€18.30
€20.18
+10.3%
6.4%€23.32€16.79n/a24
Apr ’25€19.02
€20.10
+5.7%
8.4%€25.14€16.76n/a24
Mar ’25€17.13
€19.52
+14.0%
8.3%€25.01€16.67n/a24
Feb ’25€17.18
€19.43
+13.1%
8.2%€24.84€16.56n/a24
Jan ’25€17.63
€17.14
-2.8%
10.8%€20.78€13.55n/a24
Dec ’24€15.19
€16.37
+7.8%
12.1%€22.05€13.78€26.0024
Nov ’24€13.77
€16.87
+22.6%
13.1%€22.68€14.17€21.8024
Oct ’24€16.02
€20.55
+28.3%
9.2%€24.75€17.13€20.8024
Sep ’24€16.82
€20.35
+21.0%
7.8%€23.91€17.47€20.8024
Aug ’24€18.39
€19.61
+6.7%
7.8%€23.52€17.19€20.6025
Jul ’24€16.15
€19.41
+20.2%
7.7%€23.00€17.48€18.6025
Jun ’24€15.83
€20.24
+27.9%
8.4%€23.26€17.64€17.5025
May ’24€16.17
€20.17
+24.7%
8.1%€22.84€17.32€18.3025
Apr ’24€16.70
€22.55
+35.0%
10.6%€27.66€17.52€19.0225
Mar ’24€21.80
€23.94
+9.8%
8.2%€28.30€19.81€17.1325
Feb ’24€21.40
€23.13
+8.1%
8.1%€27.60€20.24€17.1825
Jan ’24€20.00
€23.09
+15.5%
7.7%€26.37€20.72€17.6325
Dec ’23€22.20
€23.22
+4.6%
7.5%€26.60€20.90€15.1924

Analyst Forecast: Target price is less than 20% higher than the current share price.

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Company Analysis and Financial Data Status

DataLast Updated (UTC time)
Company Analysis2024/12/22 14:32
End of Day Share Price 2024/12/20 00:00
Earnings2024/09/30
Annual Earnings2023/12/31

Data Sources

The data used in our company analysis is from S&P Global Market Intelligence LLC. The following data is used in our analysis model to generate this report. Data is normalised which can introduce a delay from the source being available.

PackageDataTimeframeExample US Source *
Company Financials10 years
  • Income statement
  • Cash flow statement
  • Balance sheet
Analyst Consensus Estimates+3 years
  • Forecast financials
  • Analyst price targets
Market Prices30 years
  • Stock prices
  • Dividends, Splits and Actions
Ownership10 years
  • Top shareholders
  • Insider trading
Management10 years
  • Leadership team
  • Board of directors
Key Developments10 years
  • Company announcements

* example for US securities, for non-US equivalent regulatory forms and sources are used.

Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.

Analysis Model and Snowflake

Details of the analysis model used to generate this report is available on our Github page, we also have guides on how to use our reports and tutorials on Youtube.

Learn about the world class team who designed and built the Simply Wall St analysis model.

Industry and Sector Metrics

Our industry and section metrics are calculated every 6 hours by Simply Wall St, details of our process are available on .

Analyst Sources

Regions Financial Corporation is covered by 56 analysts. 14 of those analysts submitted the estimates of revenue or earnings used as inputs to our report. Analysts submissions are updated throughout the day.

AnalystInstitution
Kevin HealArgus Research Company
David GeorgeBaird
Jason GoldbergBarclays