First Horizon
Market Cap
US$8.6b
Last Updated
2021/08/03 23:47 UTC
Data Sources
Company Financials +
Executive Summary
First Horizon Corporation operates as the bank holding company for First Horizon Bank that provides various financial services. More Details
Rewards
Risk Analysis
Earnings are forecast to decline by an average of 8.1% per year for the next 3 years
Shareholders have been substantially diluted in the past year
Snowflake Analysis
Flawless balance sheet 6 star dividend payer.
Similar Companies
Share Price & News
How has First Horizon's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: FHN is not significantly more volatile than the rest of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: FHN's weekly volatility (4%) has been stable over the past year.
Market Performance
7 Day Return
1.8%
FHN
1.2%
US Banks
0.9%
US Market
1 Year Return
73.9%
FHN
61.5%
US Banks
34.7%
US Market
Return vs Industry: FHN exceeded the US Banks industry which returned 58.2% over the past year.
Return vs Market: FHN exceeded the US Market which returned 34.4% over the past year.
Shareholder returns
| FHN | Industry | Market | |
|---|---|---|---|
| 7 Day | 1.8% | 1.2% | 0.9% |
| 30 Day | -9.2% | -2.6% | 0.2% |
| 90 Day | -16.4% | -5.6% | 4.7% |
| 1 Year | 81.7%73.9% | 66.0%61.5% | 36.8%34.7% |
| 3 Year | -2.4%-13.9% | 18.3%8.1% | 62.5%52.4% |
| 5 Year | 22.7%4.1% | 91.4%67.4% | 123.1%98.4% |
Long-Term Price Volatility Vs. Market
How volatile is First Horizon's share price compared to the market and industry in the last 5 years?
Simply Wall St News
4 days ago | Simply Wall St
First Horizon (NYSE:FHN) Has Re-Affirmed Its Dividend Of US$0.156 days ago | Simply Wall St
First Horizon (NYSE:FHN) Shareholders Booked A 61% Gain In The Last Year1 month ago | Simply Wall St
Does First Horizon (NYSE:FHN) Deserve A Spot On Your Watchlist?Valuation
Is First Horizon undervalued compared to its fair value and its price relative to the market?
>50%
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: FHN ($15.65) is trading below our estimate of fair value ($32.02)
Significantly Below Fair Value: FHN is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: FHN is good value based on its PE Ratio (6.8x) compared to the US Banks industry average (10.7x).
PE vs Market: FHN is good value based on its PE Ratio (6.8x) compared to the US market (17.9x).
Price to Earnings Growth Ratio
PEG Ratio: FHN's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: FHN's PB Ratio (1.1x) is in line with the US Banks industry average.
Future Growth
How is First Horizon forecast to perform in the next 1 to 3 years based on estimates from 12 analysts?
-8.1%
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: FHN's earnings are forecast to decline over the next 3 years (-8.1% per year).
Earnings vs Market: FHN's earnings are forecast to decline over the next 3 years (-8.1% per year).
High Growth Earnings: FHN's earnings are forecast to decline over the next 3 years.
Revenue vs Market: FHN's revenue is expected to decline over the next 3 years (-0.8% per year).
High Growth Revenue: FHN's revenue is forecast to decline over the next 3 years (-0.8% per year).
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: FHN's Return on Equity is forecast to be low in 3 years time (10.2%).
Past Performance
How has First Horizon performed over the past 5 years?
34.5%
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: FHN has high quality earnings.
Growing Profit Margin: FHN's current net profit margins (38.6%) are higher than last year (17.6%).
Past Earnings Growth Analysis
Earnings Trend: FHN's earnings have grown significantly by 34.5% per year over the past 5 years.
Accelerating Growth: FHN's earnings growth over the past year (339.3%) exceeds its 5-year average (34.5% per year).
Earnings vs Industry: FHN earnings growth over the past year (339.3%) exceeded the Banks industry 35.1%.
Return on Equity
High ROE: FHN's Return on Equity (15.5%) is considered low.
Financial Health
How is First Horizon's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Balance Sheet
Financial Institutions Analysis
Asset Level: FHN's Assets to Equity ratio (10.3x) is moderate.
Allowance for Bad Loans: FHN has a sufficient allowance for bad loans (237%).
Low Risk Liabilities: 92% of FHN's liabilities are made up of primarily low risk sources of funding.
Loan Level: FHN has an appropriate level of Loans to Assets ratio (64%).
Low Risk Deposits: FHN's Loans to Deposits ratio (76%) is appropriate.
Level of Bad Loans: FHN has an appropriate level of bad loans (0.6%).
Dividend
What is First Horizon current dividend yield, its reliability and sustainability?
3.83%
Current Dividend Yield
Upcoming Dividend Payment
Dividend Yield vs Market
Notable Dividend: FHN's dividend (3.83%) is higher than the bottom 25% of dividend payers in the US market (1.32%).
High Dividend: FHN's dividend (3.83%) is in the top 25% of dividend payers in the US market (3.57%)
Stability and Growth of Payments
Stable Dividend: FHN's dividends per share have been stable in the past 10 years.
Growing Dividend: FHN's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (25.9%), FHN's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: FHN's dividends in 3 years are forecast to be well covered by earnings (40.5% payout ratio).
Next Steps
Management
How experienced are the management team and are they aligned to shareholders interests?
1.1yrs
Average management tenure
CEO
D. Jordan (59 yo)
12.92yrs
Tenure
US$5,580,188
Compensation
Mr. D. Bryan Jordan has been Director of First Horizon Corporation (“First Horizon”) since 2008 and has been its Chief Executive Officer since September 2008. He served as President of First Horizon Corpor...
CEO Compensation Analysis
Compensation vs Market: D.'s total compensation ($USD5.58M) is about average for companies of similar size in the US market ($USD6.51M).
Compensation vs Earnings: D.'s compensation has been consistent with company performance over the past year.
Leadership Team
Experienced Management: FHN's management team is not considered experienced ( 1.1 years average tenure), which suggests a new team.
Board Members
Experienced Board: FHN's board of directors are considered experienced (4.4 years average tenure).
Ownership
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: FHN insiders have only sold shares in the past 3 months.
Recent Insider Transactions
Ownership Breakdown
Dilution of Shares: Shareholders have been substantially diluted in the past year, with total shares outstanding growing by 76.4%.
Top Shareholders
Company Information
First Horizon Corporation's company bio, employee growth, exchange listings and data sources
Key Information
- Name: First Horizon Corporation
- Ticker: FHN
- Exchange: NYSE
- Founded: 1864
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$8.623b
- Shares outstanding: 551.00m
- Website: https://www.firsthorizon.com
Number of Employees
Location
- First Horizon Corporation
- 165 Madison Avenue
- Memphis
- Tennessee
- 38103
- United States
Listings
Biography
First Horizon Corporation operates as the bank holding company for First Horizon Bank that provides various financial services. The company operates through four segments: Regional Banking, Fixed Income, C...
Company Analysis and Financial Data Status
| Data | Last Updated (UTC time) |
|---|---|
| Company Analysis | 2021/08/03 23:47 |
| End of Day Share Price | 2021/08/03 00:00 |
| Earnings | 2021/06/30 |
| Annual Earnings | 2020/12/31 |
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.