First Horizon Corporation (NYSE: FHN) is a bank holding company with a rich history dating back to 1864. It operates through its subsidiary, First Horizon Bank, offering a wide range of financial services. The company is divided into three main segments: Regional Banking, Specialty Banking, and Corporate. It has a significant presence with approximately 500 banking offices in 22 states under the First Horizon Bank brand and 400 banking centers in 12 states under the FHN Financial brand.
The consensus price target for First Horizon's stock has shown a gradual increase over the past year. A year ago, the average price target was $26.22, which slightly increased to $26.33 in the last quarter. More recently, the average price target has risen to $27.43. This upward trend suggests a positive outlook from analysts regarding the company's stock performance. However, J.P. Morgan analyst Steven Alexopoulos has set a lower price target of $20, indicating a more cautious stance.
First Horizon has reported a significant increase in its financial performance for the full year 2025. The company's Net Income Available to Common Shareholders (NIAC) rose by 29% to $956 million, translating to an Earnings Per Share (EPS) of $1.87. On an adjusted basis, the NIAC increased by 15% to $968 million, or $1.89 EPS. This growth was primarily driven by strong revenue and credit performance, which may contribute to the positive outlook from some analysts.
In the fourth quarter of 2025, First Horizon's NIAC grew by 1% to $257 million, with an EPS of $0.52. On an adjusted basis, the income was $259 million, reflecting a 2% increase from the robust results of the third quarter. This consistent performance suggests that the company has the potential to continue delivering strong results, which could influence future price target revisions.
First Horizon has a significant level of insider and institutional ownership, with 80.3% of its shares held by these entities. This high level of ownership can be seen as a vote of confidence in the company's future prospects. Additionally, First Horizon has been upgraded to a Zacks Rank #2 (Buy), indicating a positive outlook on its earnings prospects. This upgrade suggests growing optimism about the company's future performance, despite the lower price target set by J.P. Morgan.
