Truist Financial Corporation logo TFC - Truist Financial Corporation

Price: -- -- | CONSENSUS: Buy DETAILS
STRONG
BUY 0
BUY 27
HOLD 25
SELL 2
STRONG
SELL 0
| PRICE TARGET: $54.57 DETAILS
HIGH: $62.00
LOW: $45.00
MEDIAN: $54.00
CONSENSUS: $54.57
UPSIDE: 5.61%
AlphaVal

AlphaVal

Deterministic, archetype-aware fair value

Banks, Insurers & Asset Managers 85% confidence

Primary model: P/Tangible Book × ROE Quality

Valuation Signal Fair Value Mild
Trading 8.7% below fair value
Current Price $51.67
Bear Case $39.62 23.3% downside ($39.62 - $51.67) / $51.67 = -23.3% ROTCE 8.5% → 0.88x TBV
Fair Value $56.60 9.5% upside ($56.60 - $51.67) / $51.67 = 9.5% ROTCE 11.3% → 1.44x TBV
Bull Case $73.58 42.4% upside ($73.58 - $51.67) / $51.67 = 42.4% ROTCE 13.0% → 1.77x TBV

Adjust Assumptions

11.3%
9.1%

Key Value Driver

ROTCE (11.3%) vs. cost of equity (9.1%)

Implied Market Multiple 1.38x

Plain-Language Summary

Our base-case estimate uses P/Tangible Book × ROE Quality. We then blend that result with the average analyst price target of $54.57 from 54 analysts, using a 35% weight on analyst consensus. That produces an estimated intrinsic value of $56.60 per share.

Warnings

⚠ Traditional cash flow models don't work well for banks — lending activity distorts how much cash the business actually generates.
⚠ Common valuation shortcuts don't apply here — for banks, interest payments are a core business cost, not overhead.
ℹ Dividend-based valuation: $28.19 (51% below our primary estimate). Large gaps suggest the dividend may not fully reflect the company's value.

Key Risks

  • Book value quality matters as much as level — check loan loss reserves
  • Interest rate sensitivity creates non-linear earnings surprises
  • Insurance reserving is actuarial, not financial — errors emerge slowly