In the Q1 earnings season, the Finance sector turned out to be one of the best performers. Particularly, benefits from a stabilizing economy and improving interest-rate scenario have well positioned the banking industry. Moreover, lower commercial tax rate are likely to further boost banks’ profitability.
In addition, relieving banks from some of the stringent requirements of the Dodd-Frank Act has made the companies optimistic of future earnings growth and raised investors’ sentiments as well. So, we thought of bringing up a stock from the sector that reflects strong fundamentals and solid long-term growth opportunities.
Particularly, Synovus Financial Corp. SNVis one such stock that not only beat estimates this time, but has also been witnessing upward estimate revisions, reflecting analysts’ optimism about its future prospects. Over the last 60 days, the Zacks Consensus Estimate for 2018 and 2019 jumped 5% and 6.5%, respectively.
Synovus can be a solid bet now on the back of its organic and inorganic growth strategies which have placed it well for the future. Moreover, the company’s focus on balance-sheet growth is encouraging.
Furthermore, shares of this Zacks Rank #1 (Strong Buy) company have gained 9.6% in the last six months, outperforming 7.3% growth recorded by the industry.