FHN gets a fundamental rating of 4 out of 10. The analysis compared the fundamentals against 383 industry peers in the Banks industry. Both the profitability and financial health of FHN have multiple concerns. FHN has a decent growth rate and is not valued too expensively. Finally FHN also has an excellent dividend rating.

Quickly go to:

1. Profitability

2. Health

3. Growth

4. Valuation

5. Dividend

1. Profitability

1.1 Basic Checks

In the past year FHN was profitable.
FHN had a positive operating cash flow in the past year.
Each year in the past 5 years FHN has been profitable.
Of the past 5 years FHN 4 years had a positive operating cash flow.

1.2 Ratios

FHN's Return On Assets of 1.03% is fine compared to the rest of the industry. FHN outperforms 62.92% of its industry peers.
The Return On Equity of FHN (9.58%) is comparable to the rest of the industry.

		Industry Rank	Sector Rank
ROA	1.03%
ROE	9.58%
ROIC	N/A

ROA(3y)1.03%

ROA(5y)1.06%

ROE(3y)9.6%

ROE(5y)10.21%

ROIC(3y)N/A

ROIC(5y)N/A

1.3 Margins

FHN has a Profit Margin of 26.30%. This is in the better half of the industry: FHN outperforms 61.88% of its industry peers.
FHN's Profit Margin has been stable in the last couple of years.
FHN does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.

		Industry Rank	Sector Rank
OM	N/A
PM (TTM)	26.3%
GM	N/A

OM growth 3YN/A

OM growth 5YN/A

PM growth 3Y1.08%

PM growth 5Y1.41%

GM growth 3YN/A

GM growth 5YN/A

More info and screens

ROA

ROE

ROIC

Operating and Profit Margin

Show most profitable peers

2. Health

2.1 Basic Checks

FHN does not have a ROIC to compare to the WACC, probably because it is not profitable.
Compared to 1 year ago, FHN has less shares outstanding
Compared to 5 years ago, FHN has less shares outstanding
Compared to 1 year ago, FHN has an improved debt to assets ratio.

2.2 Solvency

FHN has a debt to FCF ratio of 14.73. This is a negative value and a sign of low solvency as FHN would need 14.73 years to pay back of all of its debts.
With a Debt to FCF ratio value of 14.73, FHN is not doing good in the industry: 80.68% of the companies in the same industry are doing better.
FHN has a Debt/Equity ratio of 0.63. This is a neutral value indicating FHN is somewhat dependend on debt financing.
With a Debt to Equity ratio value of 0.63, FHN is not doing good in the industry: 79.63% of the companies in the same industry are doing better.

		Industry Rank	Sector Rank
Debt/Equity	0.63
Debt/FCF	14.73
Altman-Z	N/A

ROIC/WACCN/A

WACC15.86%

2.3 Liquidity

		Industry Rank	Sector Rank
Current Ratio	N/A
Quick Ratio	N/A

More info and screens

WACC

Debt/Equity

How to determine the health of a company

Altman-Z score

Show peers with great health

3. Growth

3.1 Past

The Earnings Per Share has grown by an impressive 21.79% over the past year.
Measured over the past years, FHN shows a quite strong growth in Earnings Per Share. The EPS has been growing by 12.38% on average per year.
The Revenue has been growing slightly by 7.21% in the past year.
The Revenue has been growing slightly by 1.63% on average over the past years.

EPS 1Y (TTM)21.79%

EPS 3Y4.39%

EPS 5Y12.38%

EPS Q2Q%20.93%

Revenue 1Y (TTM)7.21%

Revenue growth 3Y2.17%

Revenue growth 5Y1.63%

Sales Q2Q%34.75%

3.2 Future

The Earnings Per Share is expected to grow by 9.21% on average over the next years. This is quite good.
The Revenue is expected to grow by 4.35% on average over the next years.

EPS Next Y11.53%

EPS Next 2Y10.94%

EPS Next 3Y9.21%

EPS Next 5YN/A

Revenue Next Year7%

Revenue Next 2Y5.57%

Revenue Next 3Y4.35%

Revenue Next 5YN/A

3.3 Evolution

The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
When comparing the Revenue growth rate of the last years to the growth rate of the upcoming years, we see that the growth is accelerating.

More info and screens

Find the best growth stocks

Show best growing peers

4. Valuation

4.1 Price/Earnings Ratio

A Price/Earnings ratio of 12.89 indicates a correct valuation of FHN.
FHN's Price/Earnings is on the same level as the industry average.
Compared to an average S&P500 Price/Earnings ratio of 28.32, FHN is valued rather cheaply.
Based on the Price/Forward Earnings ratio of 11.56, the valuation of FHN can be described as reasonable.
Compared to the rest of the industry, the Price/Forward Earnings ratio of FHN is on the same level as its industry peers.
When comparing the Price/Forward Earnings ratio of FHN to the average of the S&P500 Index (25.57), we can say FHN is valued rather cheaply.

		Industry Rank	Sector Rank
PE	12.89
Fwd PE	11.56

4.2 Price Multiples

79.63% of the companies in the same industry are cheaper than FHN, based on the Price/Free Cash Flow ratio.

		Industry Rank	Sector Rank
P/FCF	31.73
EV/EBITDA	N/A

4.3 Compensation for Growth

The PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a correct valuation of the company.

PEG (NY)1.12

PEG (5Y)1.04

EPS Next 2Y10.94%

EPS Next 3Y9.21%

More info and screens

Show best valued peers

5. Dividend

5.1 Amount

FHN has a Yearly Dividend Yield of 2.78%.
FHN's Dividend Yield is comparable with the industry average which is at 2.67.
FHN's Dividend Yield is rather good when compared to the S&P500 average which is at 1.83.

		Industry Rank	Sector Rank
Dividend Yield	2.78%

5.2 History

The dividend of FHN has a limited annual growth rate of 3.45%.
FHN has been paying a dividend for at least 10 years, so it has a reliable track record.
FHN has not decreased their dividend for at least 10 years, which is a reliable track record.

Dividend Growth(5Y)3.45%

Div Incr Years0

Div Non Decr Years13

5.3 Sustainability

FHN pays out 40.14% of its income as dividend. This is a bit on the high side, but may be sustainable.
The dividend of FHN is growing, but earnings are growing more, so the dividend growth is sustainable.

DP40.14%

EPS Next 2Y10.94%

EPS Next 3Y9.21%

More info and screens

Find the best dividend stocks

Show peers with best dividend

FIRST HORIZON CORP / FHN FAQ

Can you provide the ChartMill fundamental rating for FIRST HORIZON CORP?

ChartMill assigns a fundamental rating of 4 / 10 to FHN.

What is the valuation status of FIRST HORIZON CORP (FHN) stock?

ChartMill assigns a valuation rating of 4 / 10 to FIRST HORIZON CORP (FHN). This can be considered as Fairly Valued.

How profitable is FIRST HORIZON CORP (FHN) stock?

FIRST HORIZON CORP (FHN) has a profitability rating of 3 / 10.

Can you provide the expected EPS growth for FHN stock?

The Earnings per Share (EPS) of FIRST HORIZON CORP (FHN) is expected to grow by 11.53% in the next year.

Is the dividend of FIRST HORIZON CORP sustainable?

The dividend rating of FIRST HORIZON CORP (FHN) is 6 / 10 and the dividend payout ratio is 40.14%.