Truist Lifts Fifth Third (FITB) Target After Strong Q4 but Trims FY26 EPS View

Fifth Third Bancorp (NASDAQ:FITB) is included among the 14 High Yield Dividend Stocks with Sustainable Payouts.

On January 26, Truist lifted its price objective on Fifth Third Bancorp (NASDAQ:FITB) to $60 from $55 and kept a Buy rating after the bank posted a stronger-than-expected Q4. The firm did lower its FY26 EPS estimate by $0.10 to $4.18. That change reflects the earlier-than-planned close of the Comerica deal and a higher tax rate outlook of 23%, up from the prior 22%, the analyst said in a research note.

A few days earlier, on January 20, Fifth Third reported an increase in fourth-quarter profit, driven by higher interest income as loan demand improved. Steady economic growth, recent Federal Reserve rate cuts, and easing concerns around tariffs have helped lift confidence across the US economy. As a result, both households and businesses have been more willing to borrow.

Lower borrowing costs have made credit more accessible, reducing the interest paid on both new and existing loans. Fifth Third’s net interest income rose 6% to $1.53 billion, and total loans grew 5%. The bank also saw strength in several fee-based businesses. Wealth and asset management revenue jumped 13% to a record $185 million in the fourth quarter. Commercial payments revenue increased 8%, while assets under management climbed about 16% to $80 billion.

Some areas also lagged, as capital markets fees slipped 2% to $121 million, mainly due to weaker loan syndication activity.

Fifth Third Bancorp (NASDAQ:FITB) is a diversified financial services company and serves as the indirect holding company of Fifth Third Bank, National Association.

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