KEY

KeyCorp (KEY) is presented as a superior value opportunity compared to Northern Trust Corporation (NTRS) among major regional banks. KEY has a Zacks Rank of #2 (Buy) with improving earnings outlook, a lower forward P/E ratio of 11.41 versus NTRS's 14.15, and a Value grade of B compared to NTRS's F grade. KEY also shows better valuation metrics including a lower PEG ratio (0.76 vs 0.94) and P/B ratio (1.43 vs 2.43).

Several companies reported better-than-expected third-quarter 2026 earnings results, driving stock price increases. Halliburton, KeyCorp, Hasbro, and Equifax all surpassed analyst consensus estimates, with Hasbro and Equifax posting particularly strong gains of 11.2% and 11.3% respectively.

KeyCorp reported Q3 2026 earnings of $0.51 per share, beating consensus estimates of $0.46, with revenues of $2.05 billion exceeding expectations. However, the stock has declined 3.5% year-to-date versus the S&P 500's 12.4% gain. The company received a Zacks Rank #3 (Hold) rating with mixed estimate revisions, and the broader regional banking industry ranks in the bottom 31% of sectors.

KeyCorp is set to report Q3 2026 earnings on October 20, with consensus estimates projecting 12.2% earnings growth and 7.6% revenue growth. Net interest income is expected to rise 8.4% supported by stabilizing funding costs and steady loan demand, while mortgage banking faces headwinds from elevated rates. The company completed the acquisition of Clearwater UK to expand its investment banking capabilities.

BankUnited (BKU) is expected to report Q3 2026 earnings of $1.05 per share with 6.1% revenue growth, but recent analyst downgrades and a negative Earnings ESP of -0.79% combined with a Zacks Rank #4 make an earnings beat unlikely. In contrast, KeyCorp (KEY) is projected to deliver $0.46 per share with a positive Earnings ESP of +0.44% and Zacks Rank #3, suggesting a higher probability of beating consensus estimates.

KeyCorp is expected to report Q3 2026 earnings of $0.46 per share (up 12.2% YoY) with revenues of $2.03 billion (up 7.5% YoY) on October 20. The company has a positive Earnings ESP of +0.44% with a Zacks Rank #3, suggesting it will likely beat consensus estimates. KeyCorp has beaten EPS estimates in all four trailing quarters.

KeyCorp (KEY), a major regional bank, has demonstrated a strong track record of beating earnings estimates in recent quarters, surpassing consensus by an average of 6.04%. With a positive Earnings ESP of +0.88% and a Zacks Rank #3 (Hold), analysts suggest another earnings beat is likely when the company reports on October 20, 2026. The combination of positive Earnings ESP and Zacks Rank #3 or better historically produces positive surprises nearly 70% of the time.

Fifth Third Bancorp reported Q3 2026 earnings of $1.13 per share, beating consensus estimates of $1.09, but missed revenue expectations with $3.28 billion versus the estimated $3.33 billion. The stock has underperformed the S&P 500 year-to-date, gaining 7.6% versus the market's 11.9%.

The company received a Zacks Rank #3 (Hold) rating, suggesting near-term performance in line with the market. The regional banking industry remains in the bottom 33% of Zacks-ranked industries.

Fifth Third Bancorp (FITB) is expected to report Q3 2026 earnings of $1.09 per share on October 19, representing a 17.2% year-over-year increase. The bank is anticipated to benefit from net interest income growth of 2-2.5% sequentially, supported by loan growth and stable funding costs, along with adjusted expense declines of 1-2% from Comerica integration synergies. The Zacks model predicts an earnings beat based on positive Earnings ESP and a Rank #3 rating.

PNC Financial Services reported Q3 2026 adjusted EPS of $5.09, beating estimates of $4.97, with revenues of $6.56B up 10.9% YoY. The bank benefited from 15.3% NII growth, 16% loan growth, and improved efficiency ratio of 57%.

However, net loan charge-offs jumped 43.6% YoY, and the company raised 2026 guidance for loan growth and NII. The bank returned $1.4B to shareholders through dividends and buybacks.

State Street reported Q3 2026 earnings of $3.69 per share, beating estimates of $3.65, with net income up 28.4% year-over-year. However, shares fell 9% pre-market due to net inflows plummeting to $7B from $114B, revenues missing estimates at $4B, and management raising 2026 expense growth guidance to 8-8.5%. The company did achieve record AUM of $6.31T and AUC/A of $59.17T.