Northwest Bancshares Q4 revenue rises, adjusted EPS beats expectations

Overview

• U.S. bank holding company reported Q4 revenue up 17% yr/yr to record $180 mln

• Adjusted EPS for Q4 beat analyst expectations

• Results impacted by Penns Woods acquisition

Outlook

• Northwest Bancshares anticipates another year of record revenue growth in 2026

• Company plans to expand consumer franchise and deepen core market relationships

Result Drivers

• PENNS WOODS ACQUISITION - Acquisition led to increased average loans, investments, and deposits, boosting net interest income

• CREDIT LOSS PROVISION - Decrease in provision for credit losses compared to prior quarter positively impacted net income

• BANK-OWNED LIFE INSURANCE - Significant increase in income from bank-owned life insurance contributed to higher noninterest income

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 1 "strong buy" or "buy", 7 "hold" and no "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy."

• Wall Street's median 12-month price target for Northwest Bancshares Inc is $13.00, about 4.1% above its January 23 closing price of $12.49

• The stock recently traded at 10 times the next 12-month earnings vs. a P/E of 9 three months ago

Press Release: ID:nPn8Qj8Pda

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