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    Texas Expansion Could Be A Key Growth Driver For Huntington Bancshares (HBAN)

    Simply Wall St·11/10/2026 08:27:24
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    • Huntington Bancshares has been highlighted for using balance sheet management and treasury services, along with expansion into Texas via the Veritex acquisition and partnerships in the Carolinas, to support revenue and earnings through a broader regional footprint.
    • The push into higher population growth markets like Texas and the Carolinas suggests management is leaning on fee-rich services and partnerships to reduce reliance on traditional spread income.
    • We will now see how Huntington Bancshares' investment narrative is influenced by its Veritex driven Texas expansion and treasury focus.
    Spot similar regional banking opportunities by scanning list of solid balance sheet and fundamentals (25 results).

    Huntington Bancshares Investment Narrative Recap

    For Huntington Bancshares, the core belief is that a growing mix of fee income and a wider Southern footprint can support earnings even while funding costs stay elevated. The analyst consensus Narrative on Simply Wall St puts a lot of weight on payments, wealth management and capital markets staying ahead of balance sheet growth. The Texas and Carolinas build out does not radically change that in the near term. It mostly reinforces it.

    The key near term swing factor remains how net interest income and margin hold up as deposit pricing pressure and competition for loans continue. The biggest risk is that integration costs, partnership complexity or weaker than expected cost saves from Texas and the Carolinas eat into the margin story, on top of already lower 2027 earnings and return targets.

    The most relevant development tied to this story is Huntington Bancshares using its Veritex deal and Cadence partnership to push deeper into Texas and the Carolinas while leaning harder on treasury and capital markets services. Management already reports cost synergy targets for Veritex are achieved, with larger Cadence savings expected by late 2026.

    That puts execution on revenue synergies and fee growth in the spotlight. Expectations of about US$600 million in cumulative revenue synergies through 2028 rely on cross sell into areas such as energy, commercial real estate, auto floorplan and payments. If those relationships scale as planned, they can help offset flat margin guidance and higher funding costs. If not, the earnings bridge that analysts have built into their models becomes harder to sustain.

    Huntington Bancshares' narrative projects US$13.7b revenue and US$4.5b earnings by 2029, which aligns with analysts' assumptions of 11.7% yearly revenue growth and implies a required earnings increase of US$2.2b from US$2.3b today.

    Uncover why Huntington Bancshares' fair value indicates an 18% potential upside to its current price that could narrow quickly.

    NasdaqGS:HBAN 1-Year Stock Price Chart
    NasdaqGS:HBAN 1-Year Stock Price Chart

    Exploring Other Perspectives

    Three fair value estimates from the Simply Wall St Community range from about US$18.78 to US$30.91 per Huntington Bancshares share, which is a wide gap for such a small sample. That spread, set before the Veritex and Carolinas build out, shows how differently investors can view treasury driven banks, so it pays to examine several viewpoints.

    Explore 2 other Huntington Bancshares fair value estimates, including one that suggests it could be worth just $18.78.

    The Verdict Is Yours

    Disagree with existing narratives? Extraordinary investment returns rarely come from following the herd, so consider relying on your own judgment.

    Looking For More Investment Ideas Beyond Huntington Bancshares?

    Once you have formed a view on Huntington Bancshares, it can help to compare it with other businesses that fit different risk and income profiles using the Simply Wall St screener.