FULT: Reduced NIM Outlook Leads to Lower EPS Estimates; Reducing Target Price, Reaffirming Neutral Rating.
Fulton reported 3Q19 net income of $62.1 million or $0.37 per share, up 3.9% compared to the $59.8 million or $0.35 in 2Q19. Reported 3Q19 results exceeded our $0.35 estimate by $0.02, and the $0.35 Street consensus estimate by $0.02 as well. Higher than-anticipated non interest income, primarily securities gains, coupled with a lower loan loss provision and a slightly lower than-expected effective tax rate, offset partially by lower net interest income and higher non interest expenses, were the main drivers of the out performance versus expectations.