TFC
Truist Financial · Financials · Diversified Banks
$50.81
52w 40.78 – 56.20
20y monthly, adjusted
Mkt cap
$62.1B
P/E
11.6
P/FCF
10.7
FCF yield
9.4%
ROE
8.1%
Shldr yield
8.4%
div 4.4% + bb 4.1%
What today's price assumes
At $62.1B, the market is pricing in -0.9% annual free-cash-flow growth for the next decade (10% discount rate, 2.5% terminal growth). Over the last ten years, FCF actually grew 6.2% per year — expectations look undemanding relative to history.
Simple DCF per-share range: $72 · $84 · $105 (4% / base / optimistic growth). An estimate, not a target.
Historical multiple lens
At its own median P/OCF of 5.7× across 18 years, TFC would trade near $27/share (25th–75th percentile: $19–$40); it trades at 10.8× today.
Assumes the historical multiple regime persists — re-ratings can be permanent.
Growth record
Compound annual growth rates from as-filed 10-K data, split-adjusted
Rev 3y
—
Rev 5y
—
Rev 10y
—
EPS 5y
+4.4%
EPS 10y
+4.1%
FCF 5y
−2.8%
FCF 10y
+6.2%
Fundamentals
Fiscal 2007–2025, from SEC filings
Net income
Free cash flow
Diluted shares (lower is better)
Margins
Capital returned (dividends + buybacks)
Cash vs long-term debt
Quarterly
Discrete quarters from 10-Q filings; Q4 derived as fiscal year minus Q1–Q3. OCF is unwound from the year-to-date figures 10-Qs report. Compare to the same quarter a year ago — most businesses are seasonal.
Net income by quarter
| Quarter | Revenue | YoY | Net income | YoY | EPS | OCF |
|---|---|---|---|---|---|---|
| Q2'26 | — | — | $1.6B | +25.2% | 1.23 | $1.0B |
| Q1'26 | — | — | $1.5B | +17.4% | 1.09 | $679.0M |
| Q4'25 * | — | — | $1.4B | +6.1% | 1.01 | $2.6B |
| Q3'25 | — | — | $1.5B | +0.7% | 1.04 | $1.5B |
| Q2'25 | — | — | $1.2B | +34.5% | 0.90 | $914.0M |
| Q1'25 | — | — | $1.3B | +5.1% | 0.87 | $746.0M |
| Q4'24 * | — | — | $1.3B | — | 0.94 | $775.0M |
| Q3'24 | — | — | $1.4B | +21.9% | 0.99 | $1.5B |
| Q2'24 | — | — | $922.0M | −31.4% | 0.62 | $845.0M |
| Q1'24 | — | — | $1.2B | −20.8% | 0.81 | −$990.0M |
| Q4'23 * | — | — | −$5.1B | −402.6% | -3.86 | $2.4B |
| Q3'23 | — | — | $1.2B | −27.7% | 0.80 | $2.4B |
| Q2'23 | — | — | $1.3B | −12.2% | 0.92 | $3.7B |
Track record
Compound annual growth by period. For debt and share count, negative is the good direction.
| Series | 3y | 5y | 10y | 15y |
|---|---|---|---|---|
| Revenue | — | — | — | — |
| Operating cash flow | −19.7% | −5.1% | +6.2% | +4.7% |
| Free cash flow | −18.3% | −2.8% | +6.2% | +5.8% |
| EPS (diluted) | −4.8% | +4.4% | +4.1% | +8.3% |
| Equity | +2.5% | −1.7% | +9.1% | +9.6% |
| LT debt | −1.0% | +1.2% | +5.8% | +4.5% |
| Diluted shares | −0.9% | −0.8% | +5.6% | +4.2% |
| Stock price | +24.0% | +2.3% | +7.0% | +9.5% |
$100, 3 years ago
$191vs $176 in SPY
24.0% vs 20.7%/yr
$100, 5 years ago
$112vs $181 in SPY
2.3% vs 12.6%/yr
$100, 10 years ago
$196vs $412 in SPY
7.0% vs 15.2%/yr
$100, 15 years ago
$392vs $813 in SPY
9.5% vs 15.0%/yr
The $1 test — market value created per $1 of earnings retained (Buffett's hurdle: at least $1)
Last 5 years
$1.79
$15.1B created / $8.5B retained
Last 10 years
$2.83
$49.4B created / $17.4B retained
Quality & capital discipline
Cash-based returns and how management deploys capital
Cash ROIC
5.4%
OCF ÷ (equity + debt)
OCF / EV yield
8.6%
MC vs 10× OCF
1.07
≤1 = priced under 10× OCF
Debt / FCF
7.3y
SBC / FCF
5.5%
Owner earnings
$5.4B
OCF − capex − SBC
OE yield
8.8%
Share count 5y
+4.9%
per year; negative = buybacks
Checklist
12 of 20 checks pass · 60%. Checks with structurally missing inputs are excluded.
Growth & Consistency
2/5
- na
Revenue growth
— · 5y CAGR ≥ 5%
- fail
EPS growth
4.4% · 5y CAGR ≥ 5%
- fail
FCF growth
-2.8% · 5y CAGR ≥ 5%
- fail
Revenue rises consistently
0 of 9 · up in ≥ 7 of last 10 years
- pass
FCF consistently positive
10 of 10 · positive in ≥ 8 of last 10 years
- pass
Profitable every year
9 of 10 · net income > 0 in ≥ 8 of last 10
- na
Cash flow keeps up with sales
— · OCF CAGR ≥ 0.9× revenue CAGR
Profitability
1/3
- na
Net margin
— · ≥ 8%
- na
Operating margin
— · ≥ 10%
- na
Gross margin stable or rising
— · no drop > 2 pts over 3y
- fail
Return on equity
8.1% · ≥ 12%
- fail
Cash ROIC
5.4% · ≥ 12%
- na
FCF margin
— · ≥ 5%
- pass
Earnings back their cash
OCF $5.7B vs NI $5.3B · OCF ≥ net income (latest FY)
Balance Sheet
2/4
- fail
Debt payable from cash flow
7.3y · LT debt ≤ 3× FCF
- pass
Cash cushion
87% · cash ≥ 50% of LT debt
- pass
Leverage
0.64 · LT debt ≤ 1.5× equity
- fail
Equity positive and compounding
$65.2B · equity > 0 and grew over ~5y
- na
Interest burden
— · interest ≤ 15% of operating income
Capital Allocation
3/4
- fail
Share count flat or shrinking
4.9% · ≤ +0.5%/yr over ~5y
- pass
Stock comp restrained
6% · SBC ≤ 15% of FCF
- pass
Distributions funded by FCF
90% · dividends + buybacks ≤ 100% of FCF
- pass
Repurchases are a habit
7 of 10 · buybacks in ≥ 5 of last 10 years
Valuation Discipline
4/4
- pass
FCF yield
9.4% · ≥ 3%
- pass
Earnings multiple
11.6 · P/E ≤ 25
- pass
Price asks less than history delivered
-0.9% vs 6.2% · implied FCF growth ≤ historical FCF CAGR
- pass
Shareholder yield
8.4% · dividends + buybacks ≥ 2% of market cap
Red flags
Mechanical checks — a flag is a question to investigate, not a verdict
Heavy debt load
Long-term debt exceeds 5 years of free cash flow.
Shareholder dilution
Diluted share count has grown by more than 2% per year over ~5 years.
Financial data
As filed in 10-Ks; per-share figures split-adjusted. $ in millions.
| FY | Revenue | Gross profit | Op income | Net income | EPS | OCF | CapEx | FCF | Dividends | Buybacks | SBC | Cash | LT debt | Equity | Shares |
|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|---|
| 2025 | — | — | — | 5,307 | 3.82 | 5,739 | — | 5,739 | 2,672 | 2,500 | 317 | 36,377 | 41,963 | 65,189 | 1,303 |
| 2024 | — | — | — | 4,840 | 3.36 | 2,164 | — | 2,164 | 2,770 | 1,000 | 292 | 39,768 | 34,956 | 63,679 | 1,331 |
| 2023 | — | — | — | -1,047 | -1.09 | 8,631 | — | 8,631 | 2,770 | 0 | 298 | 30,644 | 38,918 | 59,253 | 1,332 |
| 2022 | — | — | — | 6,267 | 4.43 | 11,081 | 564 | 10,517 | 2,656 | 250 | 261 | 21,421 | 43,203 | 60,537 | 1,338 |
| 2021 | — | — | — | 6,437 | 4.47 | 7,892 | 442 | 7,450 | 2,485 | 1,616 | 320 | 20,295 | 35,913 | 69,271 | 1,349 |
| 2020 | — | — | — | 4,492 | 3.08 | 7,437 | 815 | 6,622 | 2,424 | 0 | 353 | 18,868 | 39,597 | 70,912 | 1,358 |
| 2019 | — | — | — | 3,237 | 3.71 | 1,520 | 224 | 1,296 | 1,309 | 0 | 165 | 19,065 | 41,339 | 66,558 | 815 |
| 2018 | — | — | — | 3,257 | 3.91 | 4,349 | 363 | 3,986 | 1,204 | 1,205 | 141 | 3,844 | 23,709 | 30,178 | 783 |
| 2017 | — | — | — | 2,415 | 2.74 | 4,635 | — | 4,635 | 1,005 | 1,613 | 132 | 2,956 | 23,648 | 29,695 | 811 |
| 2016 | — | — | — | 2,442 | 2.77 | 3,115 | — | 3,115 | 925 | 520 | 115 | 4,280 | 21,965 | 29,926 | 815 |
| 2015 | — | — | — | 2,123 | 2.56 | 3,131 | — | 3,131 | 789 | 0 | 106 | 4,167 | 23,769 | 27,340 | 758 |
| 2014 | — | — | — | 2,206 | 2.72 | 3,210 | — | 3,210 | 666 | — | 102 | 2,325 | 23,312 | 24,377 | 728 |
| 2013 | — | — | — | 1,730 | 2.19 | 5,308 | — | 5,308 | 765 | — | 96 | 2,165 | 21,493 | 22,780 | 714 |
| 2012 | — | — | — | 2,028 | 2.70 | 3,714 | 145 | 3,569 | 531 | — | 97 | 3,039 | 19,114 | 21,193 | 709 |
| 2011 | — | — | — | 1,332 | 1.83 | 4,565 | 224 | 4,341 | 446 | — | 98 | 3,576 | 21,803 | 17,480 | 705 |
| 2010 | — | — | — | 854 | 1.16 | 2,898 | 428 | 2,470 | 415 | — | 79 | 2,087 | 21,730 | 16,498 | 701 |
| 2009 | — | — | — | 877 | 1.15 | -493 | 174 | -667 | 727 | 0 | 62 | 2,649 | 21,376 | 16,241 | 636 |
| 2008 | — | — | — | 1,529 | 2.71 | 5,353 | 219 | 5,134 | 1,019 | 0 | 75 | 2,740 | 18,032 | 16,081 | 552 |
| 2007 | — | — | — | 1,746 | 3.14 | 1,112 | 256 | 856 | 962 | 254 | 70 | 3,117 | — | 12,664 | 552 |
Some concepts are structurally absent for certain industries (banks report no gross profit or capex). Missing ≠ zero.