Huntington Bancshares Inc
XMUN:HU3
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Huntington Bancshares Inc
XMUN:HU3
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US |
Huntington Bancshares Inc
Huntington Bancshares is a regional bank. It takes deposits, makes loans, and sells everyday banking services such as checking and savings accounts, mortgages, auto loans, credit cards, and business credit lines. It also serves companies with treasury management, commercial lending, and other cash-management tools. Its main customers are households, small businesses, and middle-market companies, with a strong base in the Midwest and nearby states. The bank makes most of its money from the spread between what it earns on loans and what it pays on deposits, plus fees from services such as payments, account servicing, wealth management, and insurance-related products. What sets Huntington apart is its role as a relationship bank rather than a pure online lender. It combines a local branch network with business banking and consumer lending, which lets it cross-sell products to the same customer over time and build sticky deposit relationships that support its lending business.
Huntington Bancshares is a regional bank. It takes deposits, makes loans, and sells everyday banking services such as checking and savings accounts, mortgages, auto loans, credit cards, and business credit lines. It also serves companies with treasury management, commercial lending, and other cash-management tools.
Its main customers are households, small businesses, and middle-market companies, with a strong base in the Midwest and nearby states. The bank makes most of its money from the spread between what it earns on loans and what it pays on deposits, plus fees from services such as payments, account servicing, wealth management, and insurance-related products.
What sets Huntington apart is its role as a relationship bank rather than a pure online lender. It combines a local branch network with business banking and consumer lending, which lets it cross-sell products to the same customer over time and build sticky deposit relationships that support its lending business.
Strong quarter: Huntington said first-quarter results were outstanding, with adjusted EPS up 9% year over year, PPNR up 36%, and tangible book value up 9%.
Outlook softer: Management said the macro backdrop has become more uncertain, so 2026 net interest income is now expected at the low end of the prior range and NIM is expected to trend into the high 3.20s instead of the mid-3.30s.
Fees shine: Fee income was a major bright spot, led by a record quarter in capital markets, strong payments growth, and solid wealth inflows. Full-year fee revenue growth guidance was raised to 31% to 33%.
Cost discipline: Huntington trimmed its expense outlook, citing about $50 million of incremental cost actions, and now expects full-year expense growth in the lower half of its 32.5% to 33.5% range.
Capital returns: The company lifted its share repurchase plans to $550 million for 2026 and announced a new $3 billion buyback authorization, pointing to strong capital generation and a constructive Basel III outcome.
Integration on track: Veritex is fully integrated, Cadence conversion is set for June, and management said cost synergies should be fully reflected by the fourth quarter.
Credit steady: Credit quality remained stable, with net charge-offs at 26 basis points and the criticized asset ratio at 4.3%, while management continued to watch commercial real estate construction exposure.
