REGIONS FINANCIAL CORP (RF) Stock Fundamental Analysis
NYSE:RF - New York Stock Exchange, Inc. - US7591EP1005 - Common Stock - Currency: USD
We assign a fundamental rating of 4 out of 10 to RF. RF was compared to 392 industry peers in the Banks industry. RF has a medium profitability rating, but doesn't score so well on its financial health evaluation. RF is not valued too expensively and it also shows a decent growth rate. RF also has an excellent dividend rating.
1. Profitability
1.1 Basic Checks
RF had positive earnings in the past year.
RF had a positive operating cash flow in the past year.
In the past 5 years RF has always been profitable.
Each year in the past 5 years RF had a positive operating cash flow.
1.2 Ratios
RF has a better Return On Assets (1.19%) than 79.08% of its industry peers.
Looking at the Return On Equity, with a value of 10.23%, RF is in the better half of the industry, outperforming 69.39% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.19% | ||
| ROE | 10.23% | ||
| ROIC | N/A |
ROA(3y)1.27%
ROA(5y)1.19%
ROE(3y)11.57%
ROE(5y)10.66%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
Looking at the Profit Margin, with a value of 26.63%, RF is in the better half of the industry, outperforming 69.13% of the companies in the same industry.
In the last couple of years the Profit Margin of RF has remained more or less at the same level.
RF 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) | 26.63% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-12.42%
PM growth 5Y-0.33%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
RF does not have a ROIC to compare to the WACC, probably because it is not profitable.
RF has less shares outstanding than it did 1 year ago.
Compared to 5 years ago, RF has less shares outstanding
RF has a worse debt/assets ratio than last year.
2.2 Solvency
RF has a debt to FCF ratio of 2.04. This is a good value and a sign of high solvency as RF would need 2.04 years to pay back of all of its debts.
RF has a Debt to FCF ratio (2.04) which is in line with its industry peers.
RF has a Debt/Equity ratio of 0.22. This is a healthy value indicating a solid balance between debt and equity.
With a Debt to Equity ratio value of 0.22, RF perfoms like the industry average, outperforming 40.31% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.04 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC14.01%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
RF shows a strong growth in Earnings Per Share. In the last year, the EPS has been growing by 19.89%, which is quite good.
The Earnings Per Share has been growing slightly by 5.75% on average over the past years.
The Revenue has been growing slightly by 2.07% in the past year.
The Revenue has been growing slightly by 3.71% on average over the past years.
EPS 1Y (TTM)19.89%
EPS 3Y-6.76%
EPS 5Y5.75%
EPS Q2Q%22.92%
Revenue 1Y (TTM)2.07%
Revenue growth 3Y3.23%
Revenue growth 5Y3.71%
Sales Q2Q%10.05%
3.2 Future
The Earnings Per Share is expected to grow by 3.25% on average over the next years.
RF is expected to show a small growth in Revenue. In the coming years, the Revenue will grow by 4.20% yearly.
EPS Next Y13.82%
EPS Next 2Y11.94%
EPS Next 3Y10.58%
EPS Next 5Y3.25%
Revenue Next Year4.52%
Revenue Next 2Y4.24%
Revenue Next 3Y4.2%
Revenue Next 5YN/A
3.3 Evolution
When comparing the EPS growth rate of the last years to the growth rate of the upcoming years, we see that the growth is decreasing.
The Revenue growth rate is stable: in the next years the growth will be about the same than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 11.11, the valuation of RF can be described as very reasonable.
The rest of the industry has a similar Price/Earnings ratio as RF.
RF's Price/Earnings ratio indicates a rather cheap valuation when compared to the S&P500 average which is at 27.24.
A Price/Forward Earnings ratio of 9.83 indicates a reasonable valuation of RF.
RF's Price/Forward Earnings is on the same level as the industry average.
RF is valuated cheaply when we compare the Price/Forward Earnings ratio to 36.42, which is the current average of the S&P500 Index.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.11 | ||
| Fwd PE | 9.83 |
4.2 Price Multiples
Compared to the rest of the industry, the Price/Free Cash Flow ratio of RF is on the same level as its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 11.24 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
The low PEG Ratio(NY), which compensates the Price/Earnings for growth, indicates a rather cheap valuation of the company.
PEG (NY)0.8
PEG (5Y)1.93
EPS Next 2Y11.94%
EPS Next 3Y10.58%
5. Dividend
5.1 Amount
With a Yearly Dividend Yield of 4.18%, RF is a good candidate for dividend investing.
Compared to an average industry Dividend Yield of 3.51, RF pays a bit more dividend than its industry peers.
RF's Dividend Yield is rather good when compared to the S&P500 average which is at 2.40.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
5.2 History
On average, the dividend of RF grows each year by 10.40%, which is quite nice.
RF has been paying a dividend for at least 10 years, so it has a reliable track record.
RF has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)10.4%
Div Incr Years12
Div Non Decr Years14
5.3 Sustainability
52.69% of the earnings are spent on dividend by RF. This is a bit on the high side, but may be sustainable.
The dividend of RF is growing, but the earnings are growing slower. This means the dividend growth is not sustainable.
DP52.69%
EPS Next 2Y11.94%
EPS Next 3Y10.58%
NYSE:RF (8/5/2025, 10:49:09 AM)
24.765
-0.41 (-1.65%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners83.23%
Inst Owner Change0.11%
Ins Owners0.24%
Ins Owner Change4.55%
Market Cap22.14B
Analysts75
Price Target25.56 (3.21%)
Short Float %4.01%
Short Ratio3.4
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 4.18% |
Yearly Dividend1.09
Dividend Growth(5Y)10.4%
DP52.69%
Div Incr Years12
Div Non Decr Years14
Ex-Date
Surprises & Revisions
EPS beat(2)0
Avg EPS beat(2)-1.84%
Min EPS beat(2)-2.08%
Max EPS beat(2)-1.6%
EPS beat(4)1
Avg EPS beat(4)-0.58%
Min EPS beat(4)-3.75%
Max EPS beat(4)5.13%
EPS beat(8)2
Avg EPS beat(8)-4.33%
EPS beat(12)3
Avg EPS beat(12)-3.73%
EPS beat(16)6
Avg EPS beat(16)0.99%
Revenue beat(2)0
Avg Revenue beat(2)-5.17%
Min Revenue beat(2)-5.31%
Max Revenue beat(2)-5.02%
Revenue beat(4)0
Avg Revenue beat(4)-4.65%
Min Revenue beat(4)-5.31%
Max Revenue beat(4)-3.66%
Revenue beat(8)0
Avg Revenue beat(8)-3.85%
Revenue beat(12)2
Avg Revenue beat(12)-2.82%
Revenue beat(16)3
Avg Revenue beat(16)-2.56%
PT rev (1m)3.64%
PT rev (3m)2.97%
EPS NQ rev (1m)0.25%
EPS NQ rev (3m)-0.63%
EPS NY rev (1m)0.02%
EPS NY rev (3m)-0.31%
Revenue NQ rev (1m)0.1%
Revenue NQ rev (3m)-0.52%
Revenue NY rev (1m)1.38%
Revenue NY rev (3m)1.05%
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 11.11 | ||
| Fwd PE | 9.83 | ||
| P/S | 3.11 | ||
| P/FCF | 11.24 | ||
| P/OCF | 9.76 | ||
| P/B | 1.19 | ||
| P/tB | 1.9 | ||
| EV/EBITDA | N/A |
EPS(TTM)2.23
EY9%
EPS(NY)2.52
Fwd EY10.17%
FCF(TTM)2.2
FCFY8.89%
OCF(TTM)2.54
OCFY10.24%
SpS7.96
BVpS20.73
TBVpS13.04
PEG (NY)0.8
PEG (5Y)1.93
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.19% | ||
| ROE | 10.23% | ||
| ROCE | N/A | ||
| ROIC | N/A | ||
| ROICexc | N/A | ||
| ROICexgc | N/A | ||
| OM | N/A | ||
| PM (TTM) | 26.63% | ||
| GM | N/A | ||
| FCFM | 27.65% |
ROA(3y)1.27%
ROA(5y)1.19%
ROE(3y)11.57%
ROE(5y)10.66%
ROIC(3y)N/A
ROIC(5y)N/A
ROICexc(3y)N/A
ROICexc(5y)N/A
ROICexgc(3y)N/A
ROICexgc(5y)N/A
ROCE(3y)N/A
ROCE(5y)N/A
ROICexcg growth 3YN/A
ROICexcg growth 5YN/A
ROICexc growth 3YN/A
ROICexc growth 5YN/A
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y-12.42%
PM growth 5Y-0.33%
GM growth 3YN/A
GM growth 5YN/A
F-Score7
Asset Turnover0.04
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 0.22 | ||
| Debt/FCF | 2.04 | ||
| Debt/EBITDA | N/A | ||
| Cap/Depr | 253.39% | ||
| Cap/Sales | 4.2% | ||
| Interest Coverage | N/A | ||
| Cash Conversion | N/A | ||
| Profit Quality | 103.85% | ||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z | N/A |
F-Score7
WACC14.01%
ROIC/WACCN/A
Cap/Depr(3y)158.21%
Cap/Depr(5y)112.88%
Cap/Sales(3y)4.76%
Cap/Sales(5y)3.98%
Profit Quality(3y)99.47%
Profit Quality(5y)126.58%
High Growth Momentum
Growth
EPS 1Y (TTM)19.89%
EPS 3Y-6.76%
EPS 5Y5.75%
EPS Q2Q%22.92%
EPS Next Y13.82%
EPS Next 2Y11.94%
EPS Next 3Y10.58%
EPS Next 5Y3.25%
Revenue 1Y (TTM)2.07%
Revenue growth 3Y3.23%
Revenue growth 5Y3.71%
Sales Q2Q%10.05%
Revenue Next Year4.52%
Revenue Next 2Y4.24%
Revenue Next 3Y4.2%
Revenue Next 5YN/A
EBIT growth 1YN/A
EBIT growth 3YN/A
EBIT growth 5YN/A
EBIT Next Year19.41%
EBIT Next 3YN/A
EBIT Next 5YN/A
FCF growth 1Y-17.48%
FCF growth 3Y-23.61%
FCF growth 5Y-11.69%
OCF growth 1Y-16.43%
OCF growth 3Y-19.21%
OCF growth 5Y-9.14%