The headline numbers for Valley National (VLY) give insight into how the company performed in the quarter ended December 2024, but it may be worthwhile to compare some of its key metrics to Wall Street estimates and the year-ago actuals.
Valley National (VLY) came out with quarterly earnings of $0.13 per share, missing the Zacks Consensus Estimate of $0.15 per share. This compares to earnings of $0.22 per share a year ago.
Investors need to pay close attention to Valley National Bancorp (VLY) stock based on the movements in the options market lately.
Besides Wall Street's top -and-bottom-line estimates for Valley National (VLY), review projections for some of its key metrics to gain a deeper understanding of how the company might have fared during the quarter ended December 2024.
Valley National (VLY) doesn't possess the right combination of the two key ingredients for a likely earnings beat in its upcoming report. Get prepared with the key expectations.
JPMorgan upgraded Valley National to Overweight from Neutral with a price target of $11, up from $10.50, post the Q3 report. The firm walked away more encouraged by the progress Valley National has made on reducing its commercial real estate concentration as well as a path to continue building capital with its CET1 ratio increasing from 9.55% to 9.73% in Q3. The shares trading on an 2025 implied cost of equity now in the 9% range presents an opportunity to upgrade to name, the analyst tells investors in a research note.
Valley National Bank shares have risen 23% over the past year, with a 5% boost from solid Q3 earnings, but valuation is now less attractive. The bank's de-risking plan is ahead of schedule, with an $800 million CRE loan sale reducing exposure and mitigating downside risk. Deposit performance is resilient, with a $300 million sequential increase and lower customer deposit costs expected to benefit Q4 margins.
An increase in non-interest income supports VLY's Q3 earnings, while a marginal decline in NII and loans, and a surge in provisions hurt.
Valley National Bancorp (VLY) Q3 2024 Earnings Call Transcript
Although the revenue and EPS for Valley National (VLY) give a sense of how its business performed in the quarter ended September 2024, it might be worth considering how some key metrics compare with Wall Street estimates and the year-ago numbers.
Valley National (VLY) came out with quarterly earnings of $0.18 per share, in line with the Zacks Consensus Estimate. This compares to earnings of $0.26 per share a year ago.
Evaluate the expected performance of Valley National (VLY) for the quarter ended September 2024, looking beyond the conventional Wall Street top-and-bottom-line estimates and examining some of its key metrics for better insight.