The Bancorp's Q4 EPS rises 11%,

Overview

• U.S. financial holding firm's Q4 EPS rose 11% yr/yr

• Net interest income declined compared to Q4 2024

• Company completed $150 mln share repurchases in Q4

Outlook

• Company initiates 2026 EPS guidance at $5.90, targeting $1.75 in 4Q 2026

• Company maintains preliminary 2027 EPS outlook at $8.25

• Company plans $200 mln share repurchases in 2026 under existing program

Result Drivers

• FINTECH FEE GROWTH - Fintech fees increased 48% to $4.5 mln, contributing significantly to revenue

• SHARE REPURCHASES - Co completed $150 mln in share repurchases, enhancing EPS

• NIM COMPRESSION - Net interest margin decreased to 4.30% due to higher debt costs and shift to fintech loans

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "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 Bancorp Inc is $76.00, about 13.2% above its January 28 closing price of $67.14

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

Press Release: ID:nBw8r2jfSa

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