Fifth Third Bancorp (NASDAQ:FITB) Issues Earnings Results

Fifth Third Bancorp (NASDAQ:FITB) issued its quarterly earnings data on Tuesday. The financial services provider reported $1.08 earnings per share for the quarter, beating the consensus estimate of $1.00 by $0.08, FiscalAI reports. The company had revenue of $2.35 billion for the quarter, compared to analyst estimates of $2.34 billion. Fifth Third Bancorp had a net margin of 18.67% and a return on equity of 13.41%. The company’s revenue was up 63.1% on a year-over-year basis. During the same period in the prior year, the firm earned $0.85 earnings per share.

Here are the key takeaways from Fifth Third Bancorp’s conference call:

• Fifth Third expects to close the Comerica merger on February 1, 2026, move systems conversion to Labor Day, and target $850M of annual expense synergies plus $500M of revenue synergies over five years, with deal-driven EPS accretion reaching ~+9% in 2027 (accretion visible in Q4 2026).
• 2026 guidance calls for full-year net interest income of $8.6–$8.8B, a roughly +15 bps NIM uplift on close, mid-$170B average loans, adjusted non-interest income of $4–4.4B, and adjusted expenses of $7–7.3B (assuming ~37.5% of synergies realized in 2026).
• Standalone Q4/2025 results were strong — reported EPS $1.04 ($1.08 adj), adjusted ROTCE 16.2%, adjusted efficiency ratio 54.3%, record full-year NII of $6B, and tangible book value per share up 21% YoY.
• Credit trends improved as net charge-offs fell to 40 bps (lowest in seven quarters), NPAs declined for a third consecutive quarter, ACL held at 1.96%, and management guides 2026 NCOs of 30–40 bps.
• Liquidity and capital are solid with core deposit and DDA growth, wholesale funding down, LCR at 123% and CET1 at 10.8% (management targeting ~10.5% pro forma), but share repurchases are paused until the merger closes.

Fifth Third Bancorp Trading Up 2.0%

Shares of Fifth Third Bancorp stock opened at $50.12 on Wednesday. The company has a quick ratio of 0.82, a current ratio of 0.82 and a debt-to-equity ratio of 0.71. Fifth Third Bancorp has a 12-month low of $32.25 and a 12-month high of $50.68. The company has a market capitalization of $33.13 billion, a price-to-earnings ratio of 14.96, a PEG ratio of 0.86 and a beta of 0.97. The firm’s 50-day moving average price is $46.31 and its two-hundred day moving average price is $44.45.

Fifth Third Bancorp Announces Dividend

The company also recently disclosed a quarterly dividend, which was paid on Thursday, January 15th. Investors of record on Wednesday, December 31st were given a dividend of $0.40 per share. The ex-dividend date of this dividend was Wednesday, December 31st. This represents a $1.60 annualized dividend and a yield of 3.2%. Fifth Third Bancorp’s dividend payout ratio is currently 47.76%.

Wall Street Analysts Forecast Growth

Several research analysts have weighed in on the stock. The Goldman Sachs Group increased their price target on shares of Fifth Third Bancorp from $49.00 to $51.00 and gave the company a “buy” rating in a report on Friday, October 3rd. Argus upped their target price on Fifth Third Bancorp from $46.00 to $49.00 in a research report on Tuesday, October 7th. Stephens lifted their price target on Fifth Third Bancorp from $54.00 to $57.00 and gave the stock an “overweight” rating in a report on Thursday, December 18th. Weiss Ratings restated a “buy (b-)” rating on shares of Fifth Third Bancorp in a research note on Wednesday, October 8th. Finally, Evercore ISI set a $52.00 price target on shares of Fifth Third Bancorp in a research note on Tuesday, January 6th. One analyst has rated the stock with a Strong Buy rating, eighteen have issued a Buy rating and three have issued a Hold rating to the company. Based on data from MarketBeat.com, Fifth Third Bancorp currently has an average rating of “Moderate Buy” and a consensus price target of $54.00.

Insider Transactions at Fifth Third Bancorp

In other Fifth Third Bancorp news, EVP Jude Schramm sold 2,250 shares of the company’s stock in a transaction on Thursday, December 11th. The stock was sold at an average price of $48.50, for a total transaction of $109,125.00. Following the completion of the sale, the executive vice president directly owned 129,191 shares in the company, valued at $6,265,763.50. This represents a 1.71% decrease in their ownership of the stock. The transaction was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 0.53% of the stock is owned by company insiders.

Institutional Inflows and Outflows

Hedge funds and other institutional investors have recently bought and sold shares of the business. Invesco Ltd. raised its stake in Fifth Third Bancorp by 2.6% during the third quarter. Invesco Ltd. now owns 21,224,600 shares of the financial services provider’s stock worth $945,556,000 after acquiring an additional 546,914 shares in the last quarter. Boston Partners increased its position in Fifth Third Bancorp by 2.0% during the 3rd quarter. Boston Partners now owns 7,181,029 shares of the financial services provider’s stock worth $319,901,000 after purchasing an additional 140,401 shares in the last quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC lifted its stake in Fifth Third Bancorp by 2.4% in the 3rd quarter. UBS AM A Distinct Business Unit of UBS Asset Management Americas LLC now owns 4,887,460 shares of the financial services provider’s stock valued at $217,736,000 after purchasing an additional 114,938 shares during the last quarter. AQR Capital Management LLC lifted its stake in Fifth Third Bancorp by 45.0% in the 3rd quarter. AQR Capital Management LLC now owns 1,552,533 shares of the financial services provider’s stock valued at $69,165,000 after purchasing an additional 481,805 shares during the last quarter. Finally, The Manufacturers Life Insurance Company boosted its position in Fifth Third Bancorp by 1.5% in the second quarter. The Manufacturers Life Insurance Company now owns 1,457,388 shares of the financial services provider’s stock valued at $59,942,000 after buying an additional 22,197 shares in the last quarter. Institutional investors own 83.79% of the company’s stock.

Key Headlines Impacting Fifth Third Bancorp

Here are the key news stories impacting Fifth Third Bancorp this week:

• Positive Sentiment: Q4 earnings beat and record net interest income — FITB reported non-GAAP EPS of $1.08 (beat) and reported record NII, with PPNR and operating leverage better than expected, driving the immediate positive reaction. Press Release / Slide Deck
• Positive Sentiment: Robust guidance and merger upside — management highlighted guidance that implies a meaningful boost to NII and fees from the planned Comerica acquisition; some sell‑side analysts (and institutional buyers) see double-digit upside tied to scale/synergies. MarketBeat: An Inflection With Double-Digit Upside Ahead
• Positive Sentiment: Digital and branch investments paying off — the new banking app and continued branch investment were cited as drivers of engagement and originations, supporting fee income and deposit/loan flows. PYMNTS: Fifth Third Says New Banking App Drives Engagement, Originations
• Positive Sentiment: Analyst/institutional support — some analysts (e.g., Morgan Stanley coverage noted by TipRanks) maintained constructive ratings citing accelerated integration and above-consensus earnings outlook; institutional accumulation is also flagged. TipRanks: Accelerated Comerica Integration and Synergies
• Neutral Sentiment: Revenue roughly in line — top-line was essentially inline with consensus even as margins and fees drove outperformance; investors may watch whether revenue growth accelerates post‑merger. Zacks: Compared to Estimates, FITB Q4 Earnings
• Negative Sentiment: Valuation and merger skepticism — some analysts (e.g., a Seeking Alpha piece) argue valuation looks full and remain skeptical on Comerica integration and slower organic balance-sheet growth, which could cap upside if execution slips. Seeking Alpha: Q4 Calms Fears, But Valuation Is Full
• Negative Sentiment: Execution and growth pacing — commentary notes tepid loan/deposit growth and integration risk; if NII gains from the merger or cost synergies disappoint, sentiment could reverse. Reuters: Fifth Third reports rise in fourth-quarter profit

About Fifth Third Bancorp

Fifth Third Bancorp is a Cincinnati, Ohio–based bank holding company whose primary banking subsidiary operates as Fifth Third Bank. The company provides a broad range of financial services to individual consumers, small businesses, middle-market companies and large corporations. Its business mix includes retail and commercial banking, lending, payment and card services, treasury and cash management, and wealth management and investment advisory services delivered through a combination of branch locations, commercial offices and digital platforms.

On the consumer side, Fifth Third offers deposit accounts, consumer loans, mortgages, auto financing and credit card products, along with digital banking and mobile services.