Valley National Bancorp (NASDAQ:VLY) Announces Earnings Results, Beats Expectations By $0.02 EPS

Key Points

• Q1 beat: Valley reported EPS of $0.29 versus a $0.27 consensus and net income of roughly $164M (adjusted $169M), with adjusted pre‑provision net revenue rising to $253M and EPS up from $0.18 a year ago.
• Funding and loan growth: Direct customer deposits increased by over $900M, enabling paydown of ~$300M in brokered deposits and ~$350M in FHLB advances to cut deposit costs ~18 bps, while total loans grew about $700M (5.5% annualized) and management expects mid‑to‑high single‑digit loan growth for the year.
• Capital and returns: The bank generated >30 bps of regulatory capital but used roughly $52M for buybacks with CET1 expected near the high end of its 10.5–11% target (buybacks may be moderated), and it pays a $0.11 quarterly dividend (annualized yield ~3.2%).

Valley National Bancorp (NASDAQ:VLY - Get Free Report) announced its earnings results on Thursday. The company reported $0.29 EPS for the quarter, beating the consensus estimate of $0.27 by $0.02, FiscalAI reports. Valley National Bancorp had a net margin of 17.11% and a return on equity of 7.92%. During the same period in the prior year, the company earned $0.18 earnings per share.

Here are the key takeaways from Valley National Bancorp's conference call:

• Valley reported net income of about $164M ($0.28/sh) and adjusted net income of $169M ($0.29/sh), with adjusted pre-provision net revenue rising to $253M, which management says provides a strong starting point for the year.
• Direct customer deposits increased by over $900M, allowing paydown of ~$300M in brokered deposits and ~$350M in FHLB advances, cutting total deposit costs ~18 bps and supporting guidance toward the high end of 5–7% deposit growth.
• Total loans grew ~$700M (5.5% annualized); management expects full‑year loan growth toward the mid‑to‑high end of its 4–6% range, led by C&I and healthcare with the pipeline up about $1B year‑over‑year.
• The bank generated >30 bps of regulatory capital and used roughly one‑third (~$52M) for buybacks; management says CET1 will remain near the high end of its 10.5–11% target and buybacks may be moderated to preserve capital for loan growth.
• Asset quality held steady—net charge‑offs fell to 14 bps from 18 bps and non‑accruals/past‑due loans declined modestly, though C&I special‑mention balances ticked up; management expects criticized loans to continue trending down through the year.

Valley National Bancorp Price Performance

Valley National Bancorp stock traded up $0.51 during mid-day trading on Thursday, hitting $13.76. 6,340,892 shares of the company traded hands, compared to its average volume of 7,925,875. The company has a debt-to-equity ratio of 0.40, a quick ratio of 0.97 and a current ratio of 0.97. Valley National Bancorp has a one year low of $8.34 and a one year high of $14.12. The stock has a market cap of $7.64 billion, a price-to-earnings ratio of 13.61 and a beta of 1.03. The stock has a fifty day moving average price of $12.65 and a 200-day moving average price of $11.93.

Valley National Bancorp Announces Dividend

The business also recently announced a quarterly dividend, which was paid on Wednesday, April 1st. Investors of record on Friday, March 13th were paid a $0.11 dividend. This represents a $0.44 dividend on an annualized basis and a yield of 3.2%. The ex-dividend date of this dividend was Friday, March 13th. Valley National Bancorp's dividend payout ratio (DPR) is currently 43.56%.

More Valley National Bancorp News

Here are the key news stories impacting Valley National Bancorp this week:

• Positive Sentiment: Q1 EPS of $0.29 topped consensus (~$0.27) and rose from $0.18 a year ago, signaling clear earnings improvement versus expectations. Valley National (VLY) Surpasses Q1 Earnings and Revenue Estimates
• Positive Sentiment: Net income of $163.9M, return on equity ~7.92% and a net margin ~17.11% point to improved profitability and operational leverage in the quarter. Valley National Bancorp Reports Solid First-Quarter 2026 Results
• Positive Sentiment: Company released press materials, a slide deck and held a conference call — greater transparency around results and outlook can support investor confidence. Listen to Conference Call / View Press Release
• Positive Sentiment: Piper Sandler initiated research coverage, which can increase sell-side visibility and liquidity over time. Valley National Bancorp NASDAQ: VLY Research Coverage Started at Piper Sandler
• Neutral Sentiment: Pre-earnings previews and analyses laid out key metrics to watch (net interest margin, loan growth, noninterest income), providing context but not new catalyst by themselves. Valley National (VLY) Q1 Earnings Preview
• Neutral Sentiment: Multiple outlets published the company’s Q1 release and snapshot summaries — useful for confirmation but largely reiterative of the beat. Valley National Bancorp Announces First Quarter 2026 Results
• Negative Sentiment: Trading volume was below the stock’s recent average (roughly 5.1M vs. avg ~7.9M), which could indicate the move lacks broad participation and may be more volatile.

Analyst Ratings Changes

Several analysts have issued reports on the company. Weiss Ratings upgraded Valley National Bancorp from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Friday, February 6th. Hovde Group upped their price target on Valley National Bancorp from $14.00 to $15.00 and gave the company an "outperform" rating in a research report on Friday, January 30th. Citigroup restated a "buy" rating on shares of Valley National Bancorp in a research report on Monday, February 2nd. Morgan Stanley boosted their price objective on shares of Valley National Bancorp from $14.00 to $16.00 and gave the company an "overweight" rating in a research note on Monday, March 2nd. Finally, Keefe, Bruyette & Woods upped their target price on shares of Valley National Bancorp from $13.00 to $14.00 and gave the stock a "market perform" rating in a report on Thursday, April 9th. Two research analysts have rated the stock with a Strong Buy rating, twelve have given a Buy rating and three have assigned a Hold rating to the stock. According to MarketBeat, the stock presently has an average rating of "Moderate Buy" and an average price target of $14.77.

Insider Activity at Valley National Bancorp

In related news, Director Carlos J. Vazquez acquired 2,500 shares of the stock in a transaction dated Tuesday, February 17th. The shares were purchased at an average price of $13.45 per share, for a total transaction of $33,625.00. Following the transaction, the director owned 4,252 shares in the company, valued at $57,189.40. This represents a 142.69% increase in their position. The acquisition was disclosed in a document filed with the SEC, which is available through the SEC website. 1.06% of the stock is owned by insiders.

Institutional Inflows and Outflows

A number of institutional investors have recently added to or reduced their stakes in VLY. Occudo Quantitative Strategies LP bought a new position in shares of Valley National Bancorp during the 2nd quarter valued at about $364,000. Virtus Advisers LLC bought a new position in Valley National Bancorp during the fourth quarter valued at approximately $353,000. Brooklyn Investment Group raised its stake in shares of Valley National Bancorp by 117.7% during the fourth quarter. Brooklyn Investment Group now owns 26,311 shares of the company's stock worth $312,000 after acquiring an additional 14,226 shares in the last quarter. State of Wyoming bought a new stake in shares of Valley National Bancorp in the 4th quarter worth approximately $213,000. Finally, Jain Global LLC purchased a new stake in shares of Valley National Bancorp in the 3rd quarter valued at $185,000. Institutional investors own 61.00% of the company's stock.

Valley National Bancorp Company Profile

Valley National Bancorp NASDAQ: VLY is a regional bank holding company headquartered in Wayne, New Jersey, offering a comprehensive suite of commercial and consumer banking products and services. Through its banking subsidiary, Valley National Bank, the company provides deposit accounts, residential and commercial lending, mortgage services, treasury and cash management, foreign exchange and trade finance solutions. Complementary wealth management and insurance offerings round out its financial services platform, catering to individual, small-business and corporate clients.

Tracing its roots to the establishment of Wayne National Bank in 1927, Valley has grown into one of the largest banks in New Jersey by both assets and deposit share.

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