First Horizon (FHN) vs. KeyCorp (KEY): What Q1 2026 Earnings Could Reveal for Regional Banks
Key Takeaways
- First Horizon (FHN) reports Q1 2026 earnings on April 15, with analysts expecting EPS of $0.49 and revenue of $869 million.
- KeyCorp (KEY) follows on April 16, forecasted at $0.41 EPS and $1.93 billion in revenue, signaling 24% EPS growth year-over-year.
- Both regional banks showed strength in Q4 2025: FHN beat with $0.52 EPS and 3.51% NIM (net interest margin, the difference between interest income and expense); KEY posted $0.41 adjusted EPS and $2.0 billion revenue.
- FHN edges on NIM efficiency at ~3.5%, while KEY leads in scale with larger revenue base and share repurchase plans.
- Loan growth and deposit stability key for both amid regional banking focus on Southeast and Midwest markets.
- Tickeron AI sees balanced positioning, with focus on NII (net interest income, core earnings from lending) trends.
Earnings Context and Why This Comparison Matters
As I look ahead to the upcoming earnings season, regional banks like First Horizon (FHN) and KeyCorp (KEY) stand out for their operations in competitive U.S. markets, serving commercial, consumer, and wealth clients mainly in the Southeast and Midwest/Northeast. These reports provide valuable insights into NII resilience, loan demand, deposit costs, and credit quality against the backdrop of interest rate dynamics. FHN, based in Memphis, focuses on specialty lending and mortgage, while KEY, headquartered in Cleveland, draws strength from broader commercial banking. In my view, comparing their Q1 2026 previews underscores operational efficiencies, growth potential, and risks such as NCOs (net charge-offs, loan losses after recoveries), positioning them as solid benchmarks for investors tracking regional banks.
First Horizon Focus
First Horizon (FHN) is set to release Q1 2026 results on April 15 before the market opens, with a 9:30 AM ET conference call to follow. Analysts project EPS of $0.49-$0.50 (up from $0.42 a year ago) and revenue around $870 million, indicating modest growth. One thing that stands out is the focus on NIM stability near 3.5%, following Q4 2025's 3.51% with $676 million NII and 2% sequential loan growth to ~$40 billion. Deposits increased by $2 billion in Q4, while interest-bearing costs declined to 2.53%. ROTCE (return on tangible common equity, profitability on tangible capital) reached 15% in late 2025. Provision expense and NCOs (19 bps in Q4) will draw attention amid stable asset quality. Management has guided for 3-7% 2026 revenue growth, with an emphasis on expense control.
KeyCorp Context
KeyCorp (KEY) will report Q1 2026 on April 16, accompanied by a 10:00 AM ET call. Consensus estimates point to $0.41 EPS (a 24% YoY increase from $0.33) and $1.93 billion revenue (up ~9%). In Q4 2025, the bank delivered adjusted $0.41 EPS (beating the $0.39 estimate), $2.0 billion revenue (12% adjusted YoY growth), and NIM of 2.8%. Full-year 2025 revenue reached a record $7.5 billion (16% adjusted growth). CET1 (common equity tier 1, core capital ratio) was at 10.3%, supporting $1.2 billion+ in 2026 repurchases. Loans and deposits remained steady; asset quality improved with declining delinquencies. For 2026, the outlook includes 7% revenue growth, 8-10% NII rise, and expenses growing at half that pace.
Head-to-Head Earnings and Market Comparison
Both banks carry momentum into Q1 from their Q4 beats. FHN (~$12B market cap, ~$80B assets) holds a superior NIM (3.5% vs. KEY's 2.8%), which supports ROE ~11%, though its smaller scale limits diversification. KEY (~$20B market cap, ~$190B assets) benefits from greater volume, stronger fee income, and buybacks aimed at ROTCE expansion. Growth drivers include mortgage/warehouse lending for FHN and commercial expansion for KEY. Risks involve rate sensitivity (both are asset-sensitive) and NCOs, which remain stable at low teens bps. From what I see, sentiment leans toward FHN for efficiency and KEY for capital return; historically, Q1 beats have lifted shares 3-5%.
AI Screener
I rely on Tickeron’s AI Screener in my own analysis—it's an AI-powered stock and ETF discovery tool that helps filter the market based on technical patterns, fundamentals, trends, volatility, and AI-driven signals. Users can scan thousands of stocks and ETFs with customizable filters like industry, market capitalization, technical indicators, price patterns, and performance metrics. It uncovers trade ideas, trending stocks, breakout candidates, and market opportunities far more efficiently than manual methods. I've used it to explore potential edges in regional banks like FHN and KEY, and it consistently sharpens my research process.
Tickeron AI Verdict
Tickeron AI slightly favors First Horizon (FHN) with a 55% probability for near-term outperformance, highlighting superior NIM stability and ROTCE trajectory over KEY's scale advantages. I'm watching Q1 NII and guidance closely for confirmation; both present value in the regional banking recovery.
Disclaimer
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FHN in upward trend: price rose above 50-day moving average on June 04, 2026
FHN moved above its 50-day moving average on June 04, 2026 date and that indicates a change from a downward trend to an upward trend. In of 32 similar past instances, the stock price increased further within the following month. The odds of a continued upward trend are .
Technical Analysis (Indicators)
Bullish Trend Analysis
The Momentum Indicator moved above the 0 level on May 26, 2026. You may want to consider a long position or call options on FHN as a result. In of 80 past instances where the momentum indicator moved above 0, the stock continued to climb. The odds of a continued upward trend are .
The Moving Average Convergence Divergence (MACD) for FHN just turned positive on June 08, 2026. Looking at past instances where FHN's MACD turned positive, the stock continued to rise in of 48 cases over the following month. The odds of a continued upward trend are .
Following a 3-day Advance, the price is estimated to grow further. Considering data from situations where FHN advanced for three days, in of 316 cases, the price rose further within the following month. The odds of a continued upward trend are .
The Aroon Indicator entered an Uptrend today. In of 317 cases where FHN Aroon's Indicator entered an Uptrend, the price rose further within the following month. The odds of a continued Uptrend are .
Bearish Trend Analysis
The RSI Indicator demonstrates that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
The Stochastic Oscillator demonstrated that the ticker has stayed in the overbought zone for 3 days. The longer the ticker stays in the overbought zone, the sooner a price pull-back is expected.
FHN broke above its upper Bollinger Band on June 12, 2026. This could be a sign that the stock is set to drop as the stock moves back below the upper band and toward the middle band. You may want to consider selling the stock or exploring put options.
Fundamental Analysis (Ratings)
The Tickeron SMR rating for this company is (best 1 - 100 worst), indicating very strong sales and a profitable business model. SMR (Sales, Margin, Return on Equity) rating is based on comparative analysis of weighted Sales, Income Margin and Return on Equity values compared against S&P 500 index constituents. The weighted SMR value is a proprietary formula developed by Tickeron and represents an overall profitability measure for a stock.
The Tickeron Valuation Rating of (best 1 - 100 worst) indicates that the company is fair valued in the industry. This rating compares market capitalization estimated by our proprietary formula with the current market capitalization. This rating is based on the following metrics, as compared to industry averages: P/B Ratio (1.397) is normal, around the industry mean (1.302). P/E Ratio (12.467) is within average values for comparable stocks, (17.710). FHN's Projected Growth (PEG Ratio) (0.000) is slightly lower than the industry average of (1.911). Dividend Yield (0.026) settles around the average of (0.032) among similar stocks. P/S Ratio (3.694) is also within normal values, averaging (3.753).
The Tickeron Price Growth Rating for this company is (best 1 - 100 worst), indicating fairly steady price growth. FHN’s price grows at a lower rate over the last 12 months as compared to S&P 500 index constituents.
The Tickeron Profit vs. Risk Rating rating for this company is (best 1 - 100 worst), indicating well-balanced risk and returns. The average Profit vs. Risk Rating rating for the industry is 60, placing this stock slightly better than average.
The Tickeron PE Growth Rating for this company is (best 1 - 100 worst), pointing to average earnings growth. The PE Growth rating is based on a comparative analysis of stock PE ratio increase over the last 12 months compared against S&P 500 index constituents.
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a regional bank
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