10:20 AM EDT, 07/14/2025 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

HBAN reported preliminary Q2 2025 operating EPS of $0.38, beating consensus by $0.04, with net interest income of $1.5B (+3% Q/Q) led by balanced loan (+2%) and deposit (+1%) growth. Credit quality improved significantly as net charge-offs declined 6 bps to 0.20%, the lowest level in two years, while maintaining a reassuring 1.86% allowance for credit losses above peer levels. The bank also announced a $1.95B all-stock acquisition of Veritex Holdings (VBTX), at a 23% premium, providing strategic expansion into the fast-growing Texas market. The transaction is expected to close in Q4 2025 and modestly boost EPS. It should also remain neutral to regulatory capital with slight tangible book value dilution recovered within approximately one year. We believe the preliminary results demonstrate solid execution, with tariff-related concerns not materially impacting growth momentum or credit quality, while the VBTX acquisition positions HBAN well for geographic diversification in an attractive market.