Regions Financial Earnings: What to Look For

Don't let it get away!

Keep track of the stocks that matter to you.

Help yourself with the Fool's FREE and easy new watchlist service today.

Earnings season is here once again. We're about a week in, but we have already seen some impressive numbers from banking behemoths JPMorgan Chase (NYSE: JPM  ) , Wells Fargo (NYSE: WFC  ) , Citigroup (NYSE: C  ) , and Bank of America (NYSE: BAC  ) . While these results are important to those of us that follow the banking sector, my interest lies in some of the smaller banks beyond the behemoths.

With that in mind, I turn my attention to a regional bank that will be reporting earnings Friday. Here are some things I will be watching when it comes to the Regions Financial (NYSE: RF  ) .

What analysts are expecting
Analysts are expecting a decrease in revenue and an increase in earnings from the same quarter last year, with $1.36 billion in revenue and $0.21 in earnings per share. Regions' second quarter saw the bank repaying its remaining TARP loans, clearing up that obligation for the bank going forward.

Balance sheet improvement
Repayment of its TARP loans have helped make the past year pretty stellar for Regions, especially when compared to a certain tech company out in Cupertino. For this to continue, Regions needs to continue to shore up its balance sheet, so I'll be looking for an improvement in nonperforming assets during the quarter. With banks, the better loans you have, the more income the loans generate.

What else to look for
Being based in the Southeast may hurt Regions because of unemployment numbers in the region being higher than the national average. While the bank may not specifically mention it with its earnings release tomorrow, it is something worth keeping an eye on during the quarter. As its potential customers return to work, one would hope that deposits would increase, as well as open future possibilities in loans and other banking products.

Regions Financial is one of many smaller banks that could be worth keeping an eye on. In fact some of the best opportunities over the next few years can be found there, including one small, under-the-radar bank. It's been called one of The Stocks Only the Smartest Investors Are Buying. You can learn about it, and more, in our exclusive free report. Just click here to keep reading.

Robert Eberhard has no positions in the stocks mentioned above. Follow him on Twitter to check in on some regional bank earnings this week. The Motley Fool owns shares of Bank of America, Citigroup, JPMorgan, and Wells Fargo. Motley Fool newsletter services recommend Wells Fargo. Try any of our Foolish newsletter services free for 30 days.

We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Read/Post Comments (0) | Recommend This Article (1)

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment Report this Comment icon found on every comment.

Be the first one to comment on this article.

Compare Brokers

Fool Disclosure

Sponsored Links

Leaked: Apple's Next Smart Device
(Warning, it may shock you)
The secret is out... experts are predicting 458 million of these types of devices will be sold per year. 1 hyper-growth company stands to rake in maximum profit - and it's NOT Apple. Show me Apple's new smart gizmo!

DocumentId: 2068468, ~/Articles/ArticleHandler.aspx, 10/26/2016 12:43:19 AM

Report This Comment

Use this area to report a comment that you believe is in violation of the community guidelines. Our team will review the entry and take any appropriate action.

Sending report...

Today's Market

updated 3 hours ago Sponsored by:
DOW 18,169.27 -53.76 -0.30%
S&P 500 2,143.16 -8.17 -0.38%
NASD 5,283.40 -26.43 -0.50%

Create My Watchlist

Go to My Watchlist

You don't seem to be following any stocks yet!

Better investing starts with a watchlist. Now you can create a personalized watchlist and get immediate access to the personalized information you need to make successful investing decisions.

Data delayed up to 5 minutes

Related Tickers

10/25/2016 4:03 PM
RF $10.62 Up +0.01 +0.09%
Regions Financial CAPS Rating: ****