Baird downgrades Truist Financial stock rating on valuation

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Baird has downgraded Truist Financial (NYSE:TFC) to Neutral from Outperform, setting a price target of $55.00 due to valuation concerns following a significant stock rise since March lows. The firm believes other banks offer better growth potential, citing Truist’s weaker net interest income growth position and below-peer loan growth. Despite the downgrade, other analysts like Evercore ISI and RBC Capital have recently raised their price targets for Truist, maintaining Outperform ratings based on improved fee income outlook and strong first-quarter 2026 earnings.

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