Huntington Bancshares Incorporated

Solid Q3 execution + “moderate-to-low risk appetite” remains the anchor - Management said operating performance was solid across core businesses, supported by constructive environment signals (strong commercial pipelines, solid consumer spending trends). - Strategy remains unchanged: disciplined balance sheet optimization, expense efficiency, invest for long-term growth, and allocate capital only when returns clear their risk-adjusted hurdles. - Credit quality “top tier” emphasis: net charge-offs were 31 bps in Q3 (up 6 bps QoQ), allowance for credit losses 1.75%, and NPAs 90 bps (elevated due to government-guaranteed categories with low loss content).

Earnings & capital forecasts: 2027 EPS growth target reiterated - Company reaffirmed 2027 EPS guidance of $1.75–$1.83, implying confidence despite weaker stock/market skepticism. - Longer-term value creation outlook: 2027 EPS up >20% vs. 2025, with ROTCE expected to rise into 17%–18%. - 2026 outlook color (from CFO bridge/Q&A + prepared remarks): NIM expected ~flat into Q4; full-year expectations include loan growth around ~6% organic (and ~36% reported), deposit growth around ~32.5%, and fee growth ~31% (Q4 fee revenue guided around $750m ± variability). - How management bridges the delta to 2027: CFO described incremental contributors such as ~$150m cost synergies (anniversary of late-year run-rate benefits) plus ~$0.02 from buybacks, concluding the remaining growth is achievable via revenue/operating leverage and fee strength—while explicitly stating no reserve release is contemplated for 2027.

Growth drivers: strong commercial, but selective restraint where pricing is “not rational” - Loans: period-end loans +1.1% QoQ; on average loans -0.4% QoQ. Growth led by C&I with strength from corporate/specialty banking, asset finance, and middle market, partially offset by declines in CRE, auto, and residential mortgages. - Company repeatedly framed the pullback not as credit deterioration but capital allocation discipline due to competition and compressed risk-adjusted pricing (especially called out: indirect auto and residential). - Management stated they are not changing underwriting, but will expand selectively if returns become adequate again.