Huntington Bancshares (HBAN) Earnings Expected to Grow: Should You Buy?

Huntington Bancshares (HBAN) is scheduled to report Q2 2025 earnings on July 18, with Wall Street consensus anticipating EPS of $0.35 (+16.7% YoY) and revenues of $1.98 billion (+9% YoY). Despite a slight upward revision in the consensus EPS estimate and a consistent history of beating estimates in prior quarters, Zacks' analysis indicates a negative Earnings ESP of -2.32% combined with a Zacks Rank #3, suggesting HBAN is not a compelling candidate for an earnings beat this quarter.

Analysis

Huntington Bancshares (HBAN) presents a mixed outlook ahead of its Q2 2025 earnings release on July 18. The consensus forecast is strong, projecting a 16.7% year-over-year increase in earnings to $0.35 per share and a 9% rise in revenue to $1.98 billion. This optimism is further supported by a minor upward revision of 0.44% to the consensus EPS over the last 30 days and a consistent history of beating EPS estimates over the past four quarters, including a notable 9.68% surprise in the last report. However, more recent indicators signal caution. The company's Zacks Earnings ESP (Expected Surprise Prediction) is negative at -2.32%, indicating that the most recent analyst estimates are trending below the broader consensus. This, combined with a neutral Zacks Rank #3 (Hold), makes it difficult to conclusively predict an earnings beat. The situation contrasts with industry peer Commerce Bancshares (CBSH), which, despite forecasting a 4.7% YoY earnings decline, carries a positive ESP of +1.79%, suggesting it is more likely to surpass its estimates. This divergence highlights specific, recent bearish sentiment regarding HBAN's ability to meet heightened expectations.

Key Decisions for Investors

• Given the conflicting signals between strong consensus growth forecasts and a negative Earnings ESP of -2.32%, investors should exercise caution with HBAN positions leading into the July 18 report as the probability of a positive earnings surprise is reduced.
• Since an earnings beat is not a high-probability event based on the provided predictive model, focus should be placed on management's guidance during the earnings call, as the stock's performance will likely hinge more on the future outlook than on the headline numbers.
• Investors could consider the relative outlook for HBAN versus its peer Commerce Bancshares (CBSH), which shows a more favorable setup for an earnings beat, potentially informing pair-trade strategies or sector allocation adjustments.
• Be prepared for potential volatility, as a miss or weak guidance would break a four-quarter streak of positive surprises and could be received poorly, especially since recent analyst revisions already suggest a potential downside risk to current expectations.