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Investing.com - Keefe, Bruyette & Woods raised its price target on Glacier Bancorp (NYSE:GBCI) to $55.00 from $52.00 on Thursday, while maintaining a Market Perform rating on the stock.
The investment firm cited Glacier Bancorp’s "powerful backbook repricing story" as a key factor enabling projected earnings per share growth of 76% from 2024 to 2026, with a return to normalized profitability expected by the second half of 2026. This optimistic outlook aligns with InvestingPro data showing 5 analysts recently revising their earnings estimates upward, while the company maintains an impressive 41-year streak of consecutive dividend payments.
KBW’s analysts recently met with Glacier management in Kalispell, Montana, and reported gaining "a greater appreciation" for the company’s "company of banks" model operating across business-friendly markets.
The new $55 price target assigns a 17.5x multiple to the stock, which KBW noted is well ahead of the KRX index but consistent with Glacier’s historical relative valuations, which the firm views as fair given the company’s growth dynamics.
While maintaining its Market Perform rating, KBW suggested that at 13 times their newly established 2027 earnings estimate, Glacier Bancorp could represent "an attractive entry for investors with longer-term horizons" due to its leading EPS growth and potential upside from future mergers and acquisitions.
In other recent news, Glacier Bancorp reported its earnings for the second fiscal quarter of 2025, exceeding expectations with an earnings per share (EPS) of $0.45. This figure surpassed the forecasted $0.38, marking an 18.42% earnings surprise. Despite this positive earnings result, the company experienced a slight revenue miss. The earnings announcement has been positively received, attributed in part to the company’s strategic initiatives and acquisitions, which have bolstered market confidence. In the context of analyst activity, there is no specific mention of upgrades or downgrades from financial firms. However, the strong earnings performance suggests that Glacier Bancorp’s recent strategic moves are having a favorable impact. These developments are important for investors to consider when evaluating the company’s current financial health.
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