Carter Bankshares Q4 EPS beats expectations on loan growth

Carter Bankshares

29/01/2026 13:08

Overview

Bank holding company's Q4 EPS beat analyst expectations

Net interest income for Q4 increased yr/yr despite nonaccrual loan challenges

Company's largest lending relationship remains on nonaccrual status since Q2 2023

Outlook

Carter Bankshares expects tailwinds from prior construction lending over the next 12 to 18 months

Company anticipates benefiting from Federal Reserve interest rate reductions

Carter Bankshares remains committed to resolving its largest nonperforming credit relationship

Result Drivers

NONACCRUAL LOANS - Interest income negatively impacted by $6.1 mln due to nonaccrual status of Justice Entities' loans

LOAN GROWTH - Total portfolio loans increased $43.9 mln, driven by CRE and C&I loans

CURTAILMENT PAYMENTS - $14.5 mln in curtailment payments received, reducing NPL balance

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q4 EPS
Beat
$0.38
$0.35 (3 Analysts)
Q4 Net Income
Beat
$8.48 mln
$7.73 mln (2 Analysts)
Q4 Net Interest Income
$34.60 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 4 "strong buy" or "buy", no "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy"

Wall Street's median 12-month price target for Carter Bankshares Inc is $22.75, about 14.2% above its January 28 closing price of $19.92

The stock recently traded at 8 times the next 12-month earnings vs. a P/E of 10 three months ago

Press Release: ID:nACSMQbFda

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)