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what it is
Zions is a regional bank that lends money and takes deposits across 11 western states through 400-plus offices.
how it gets paid
Last year Zions Bancorp made $529M in revenue. Commercial lending was the main engine at $275.1M, or 52% of sales.
why it's growing
Revenue grew 3.1% last year. Still, the operating backdrop wasn’t perfect, as the efficiency ratio worsened, and expenses rose with higher marketing and technology spend.
what just happened
Zions posted Q4 EPS of $1.76, crushing the $1.21 estimate by 45.45%.
At a glance
B++ balance sheet — above average — nothing keeping you up at night
55/100 earnings predictability — expect surprises
10.2x trailing p/e — the market's not buying it — or you found a deal
3.2% dividend yield — cash in your pocket every quarter
xvary composite: 59/100 — below average
What they do
Zions is a regional bank that lends money and takes deposits across 11 western states through 400-plus offices.
This is a relationship bank, not a flashy one. It has 400-plus offices across 11 western states, which keeps local business customers close when they need loans, deposits, and treasury help. Net interest margin rose as deposit growth cut short-term borrowing use. Net interest margin → the spread between what a bank earns on loans and pays on deposits → so what: cheaper funding drops straight into your earnings.
How they make money
$529M
annual revenue · their business grew +3.1% last year
Commercial lending
$275.1M
+3.1%
Commercial real estate lending
$116.4M
+3.1%
Consumer lending
$137.5M
+3.1%
Other banking income
$0.0M
0.0%
The products that matter
regional banking franchise
Western regional banking
$529M · 11 states
this page gives one operating line: $529M in annual revenue from a bank network spanning 11 western states. thin segment detail is the point — you are underwriting the whole bank, not a side business.
entire business
Key numbers
45.45%
earnings beat
Zions earned $1.76 versus a $1.21 estimate. That tells you funding costs improved faster than expected.
0.15%
charge-offs
Net charge-offs were just 0.15% of loans at 12/31/25, which means actual credit losses are still low.
1.13%
loss reserve
Allowance for credit losses was 1.13% of loans, more than double nonperforming loans at 0.52%, which gives the bank some cushion.
10.2x
trailing p/e
You are paying 10.2 times trailing earnings for a bank with 10% return on equity and average risk. That is cheap, but not a free lunch.
Financial health
B++
strength
- balance sheet grade B++ — above average financial health
- risk rank 3 — safer than 50% of stocks
- price stability 30 / 100
- long-term debt $4.6B (34% of capital)
- return on equity 10% — $0.10 profit for every $1 investors have put in
B++ — functional but not a standout on the balance sheet.
Total return vs. market
You invested $10,000 in ZION 3 years ago → it's now worth $13,100.
The index would have given you $13,880.
source: institutional data · total return
What just happened
beat estimates
Zions posted Q4 EPS of $1.76, crushing the $1.21 estimate by 45.45%.
The beat came from better funding costs as deposit growth reduced short-term borrowing. Credit stayed stable, and quarterly EPS rose 31% from $1.34 a year earlier.
$396M
revenue
$1.76
eps
31.0%
eps growth
the number that mattered
The key number was the $1.21 estimate versus $1.76 actual, because a 45.45% beat tells you funding pressure eased faster than the market expected.
-
zions bancorp posted a strongerthan-expected earnings figure in the fourth quarter of 2025.the southwestregional bank reported earnings of $262 million, or $1.76 per share, in the final stanza of the year.
-
the figure reflects a 31% annual increase and a significant outperformance versus our estimate of $1.21.
-
as deposit growth and lower reliance on short-term borrowings improved funding costs, the net interest margin rose for the eighth-consecutive quarter.
-
credit remained stable, which helped results.still, the operating backdrop wasn’t perfect, as the efficiency ratio worsened, and expenses rose with higher marketing and technology spend. the most significant external swing factor continues to be interest rates and commercial real estate, which is an area showing pockets of stress, particularly in office-related loans.
-
the near-term outlook provides for a moderate increase in most key metrics.loan balances, net interest income, customer fees, and operating expenses are all likely to see low-single-digit increases in 2026.
source: company earnings report, 2026
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What could go wrong
the #1 risk is funding and margin pressure at a western regional bank.
med
revenue growth is thin
$529M in revenue grew 3.1% from last year. that's fine until funding costs rise faster than asset yields. then "steady" turns into "stalled" fast.
$529M in revenue grew 3.1% from last year. that's fine until funding costs rise faster than asset yields. then "steady" turns into "stalled" fast.
med
earnings are not highly predictable
a 55 / 100 predictability score means the next report can still surprise you. that's uncomfortable in a bank where confidence is half the business model.
a 55 / 100 predictability score means the next report can still surprise you. that's uncomfortable in a bank where confidence is half the business model.
med
leverage is manageable, not invisible
long-term debt is $4.6B, equal to 34% of capital. that doesn't scream distress, but it does reduce room for error if credit conditions worsen.
long-term debt is $4.6B, equal to 34% of capital. that doesn't scream distress, but it does reduce room for error if credit conditions worsen.
med
the valuation case has less cushion than it looks
the stock trades at $61.26 while the provider's 3–5 year midpoint target is $56. when the stock gets ahead of the midpoint, execution has to do the heavy lifting.
the stock trades at $61.26 while the provider's 3–5 year midpoint target is $56. when the stock gets ahead of the midpoint, execution has to do the heavy lifting.
The numbers still look clean today, but with 52% of loans in commercial, credit is the whole story if the economy softens.
source: institutional data · regulatory filings · risk analysis
Pay attention to
valuation
forward earnings math
$6.30 in fy2027 EPS against a $61.26 stock is roughly 9.7x forward earnings. cheap only matters if the earnings show up.
balance sheet
debt load
$4.6B in long-term debt equals 34% of capital. for a bank, that number matters a lot more when credit tightens.
ownership
institutional flow
three straight quarters of net buying ended with 232 buyers vs. 227 sellers in 3q2025. narrow, but still positive.
next catalyst
target gap
the provider's 3–5 year midpoint target is $56, below today's $61.26. the next few quarters need to move the earnings story up, not just the stock.
Analyst rankings
earnings predictability
55 / 100
in human-speak, analysts think this bank is serviceable but not especially easy to forecast.
risk rank
3
that translates to safer than about 50% of stocks. middle-of-the-pack safety is fine. it is not a reason on its own to pay up.
source: institutional data
Institutional activity
institutions have been net buying for 3 consecutive quarters — 232 buyers vs. 227 sellers in 3q2025. total institutional holdings: 0.1B shares. net buying for 3 quarters.
source: institutional data
Price targets
3-5 year target range
$35
$76
$61
current price
$56
target midpoint · 9% from current · 3-5yr high: $95 (+55% · 19% ann'l return)
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