Hancock Whitney (HWC): Examining Valuation Following Recent Share Price Momentum

Hancock Whitney (HWC) shares have posted a monthly gain of 7%, with year-to-date returns nearing 10%. Investors may be weighing the company’s recent performance against long-term gains and considering its current valuation as market sentiment shifts.

See our latest analysis for Hancock Whitney.

Hancock Whitney's share price momentum has picked up recently, with a 1-day share price return of 4.4% and a strong 1-month gain. This suggests optimism around its growth story or shifting risk perceptions. Over the past year, however, total shareholder return has been nearly flat, reminding investors to balance short-term rallies against a steadier long-term outlook.

If you’re searching for more stocks that are gaining traction, now’s a great moment to broaden your scope and discover fast growing stocks with high insider ownership

With shares now nearly 20% below analyst price targets and fundamentals showing steady growth, is Hancock Whitney an overlooked bargain? Or has the market already factored in its future prospects and potential upside?

Most Popular Narrative: 15.5% Undervalued

Compared to Hancock Whitney's last close price of $59.35, the most-followed fair value narrative points to significant upside. Here is a look at what could be driving this optimistic view:

The company plans to continue hiring revenue producers, with a target of adding 20 to 30 new personnel, particularly in high growth markets like Texas and Florida. This is expected to drive loan growth and increase revenue. The repricing of CDs at lower rates and favorable funding mix adjustments have been guiding a modest expansion in net interest margin (NIM) and net interest income (NII) growth of 3% to 4% in 2025, thus supporting earnings growth.

Read the complete narrative.

Curious about the earnings momentum justifying this target? This narrative banks on aggressive market expansion and margin plays seldom seen outside tech disruptors. What exactly do analysts expect to ignite future profits and higher multiples? The full story reveals the bold numbers they have bet on.

Result: Fair Value of $70.25 (UNDERVALUED)

Have a read of the narrative in full and understand what's behind the forecasts.

However, loan growth could be tempered by higher client payoffs, and economic uncertainty may make future revenue less predictable for Hancock Whitney.

Find out about the key risks to this Hancock Whitney narrative.

Build Your Own Hancock Whitney Narrative

If you have a different perspective or want to draw your own conclusions from the figures, you can build a unique view in just minutes with Do it your way.

A great starting point for your Hancock Whitney research is our analysis highlighting 4 key rewards and 1 important warning sign that could impact your investment decision.

Looking for more investment ideas?

Don't miss the smart moves others are making. Broaden your watchlist and take advantage of today’s most promising opportunities using the Simply Wall Street Screener.

• Spot high growth potential early by tracking these 3592 penny stocks with strong financials that are showing robust financials and fresh market momentum.
• Tap into the future of medicine with these 30 healthcare AI stocks as artificial intelligence transforms diagnostics, treatments, and healthcare innovation.
• Secure consistent passive income by browsing these 15 dividend stocks with yields > 3% offering yields above 3% for stable returns regardless of market swings.

This article by Simply Wall St is general in nature. We provide commentary based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. We aim to bring you long-term focused analysis driven by fundamental data. Note that our analysis may not factor in the latest price-sensitive company announcements or qualitative material. Simply Wall St has no position in any stocks mentioned.

Have feedback on this article? Concerned about the content? Get in touch with us directly. Alternatively, email editorial-team@simplywallst.com