Latest Ratios: P/E Ratio 13.7x · EV/EBITDA 11.8x · ROE 10.8%. (1996–2025 historical series)
Price-based multiples — how expensive the stock is relative to earnings, sales, book value, and cash flow
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Market Cap | $12.2B | $11.9B | $11.0B | $8.0B | $13.9B | $9.0B | $5.5B | $5.2B | $4.3B | $4.9B | $4.7B |
| Enterprise Value | $15.8B | $15.5B | $13.1B | $9.3B | $15.5B | $-3338234470 | $-151771080 | $9.7B | $4.5B | $7.9B | $5.2B |
| P/E Ratio → | 13.70 | 12.71 | 14.81 | 9.19 | 16.01 | 9.39 | 6.75 | 12.00 | 7.98 | 30.75 | 21.29 |
| P/S Ratio | 2.45 | 2.38 | 2.22 | 1.69 | 4.07 | 2.85 | 1.98 | 2.34 | 1.95 | 3.37 | 3.54 |
| P/B Ratio | 1.40 | 1.30 | 1.20 | 0.86 | 1.62 | 1.06 | 0.67 | 1.03 | 0.90 | 1.07 | 1.74 |
| P/FCF | 12.80 | 12.41 | 8.96 | 6.30 | 6.13 | 13.40 | 48.55 | 6.69 | 23.13 | — | 40.09 |
| P/OCF | 12.37 | 12.00 | 8.65 | 6.12 | 6.05 | 12.42 | 32.18 | 6.30 | 18.42 | — | 26.16 |
P/E links to full P/E history page with 30-year chart
Enterprise-value multiples — capital-structure-neutral measures of total business value
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| EV / Revenue | — | 3.10 | 2.66 | 1.98 | 4.55 | -1.06 | -0.05 | 4.34 | 2.04 | 5.46 | 3.93 |
| EV / EBITDA | 11.85 | 11.57 | 11.86 | 7.57 | 12.48 | -2.51 | -0.15 | 14.86 | 5.83 | 20.84 | 12.73 |
| EV / EBIT | 12.36 | 12.07 | 13.05 | 8.26 | 13.40 | -2.60 | -0.16 | 16.53 | 6.32 | 25.63 | 15.12 |
| EV / FCF | — | 16.20 | 10.71 | 7.38 | 6.86 | -4.97 | -1.33 | 12.40 | 24.20 | — | 44.45 |
Margins and return-on-capital ratios measuring operating efficiency
Full margin charts and quarterly trend are on the Earnings History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Gross Margin | 67.3% | 67.3% | 59.7% | 61.4% | 88.7% | 104.6% | 73.6% | 79.4% | 84.9% | 89.8% | 92.5% |
| Operating Margin | 25.7% | 25.7% | 20.4% | 23.9% | 34.0% | 40.7% | 33.3% | 26.3% | 32.3% | 21.3% | 26.0% |
| Net Profit Margin | 19.7% | 19.7% | 15.7% | 19.0% | 26.4% | 31.7% | 30.2% | 19.8% | 24.6% | 11.4% | 17.1% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| ROE | 10.8% | 10.8% | 8.4% | 10.1% | 10.6% | 11.9% | 12.6% | 8.9% | 11.6% | 4.5% | 8.5% |
| ROA | 1.2% | 1.2% | 0.9% | 1.1% | 1.1% | 1.2% | 1.3% | 1.0% | 1.3% | 0.5% | 0.8% |
| ROIC | 7.0% | 7.0% | 5.6% | 6.6% | 7.0% | 7.9% | 6.1% | 5.0% | 6.5% | 3.3% | 5.5% |
| ROCE | 10.2% | 10.2% | 7.9% | 8.9% | 9.6% | 11.0% | 10.8% | 9.9% | 11.5% | 5.9% | 7.6% |
Solvency and debt-coverage ratios — lower is generally safer
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Debt / Equity | 0.50 | 0.50 | 0.50 | 0.40 | 0.48 | 0.44 | 0.47 | 1.10 | 0.47 | 1.06 | 0.72 |
| Debt / EBITDA | 3.42 | 3.42 | 4.15 | 3.01 | 3.30 | 2.79 | 3.89 | 8.55 | 2.92 | 12.78 | 4.74 |
| Net Debt / Equity | — | 0.40 | 0.24 | 0.15 | 0.19 | -1.45 | -0.68 | 0.88 | 0.04 | 0.66 | 0.19 |
| Net Debt / EBITDA | 2.70 | 2.70 | 1.94 | 1.10 | 1.33 | -9.29 | -5.71 | 6.84 | 0.26 | 7.98 | 1.25 |
| Debt / FCF | — | 3.78 | 1.76 | 1.08 | 0.73 | -18.36 | -49.88 | 5.71 | 1.07 | — | 4.36 |
| Interest Coverage | 0.82 | 0.82 | 0.55 | 0.72 | 3.98 | 7.83 | 3.95 | 1.42 | 2.19 | 2.09 | 3.89 |
Short-term solvency ratios and asset-utilisation metrics
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Current Ratio | 0.96 | 0.96 | 0.13 | 0.16 | 0.17 | 0.32 | 0.24 | 0.15 | 0.19 | 0.20 | 0.22 |
| Quick Ratio | 0.96 | 0.96 | 0.13 | 0.16 | 0.17 | 0.32 | 0.24 | 0.15 | 0.19 | 0.20 | 0.22 |
| Cash Ratio | 0.01 | 0.01 | 0.04 | 0.03 | 0.04 | 0.21 | 0.13 | 0.03 | 0.06 | 0.05 | 0.06 |
| Asset Turnover | — | 0.06 | 0.06 | 0.06 | 0.04 | 0.04 | 0.03 | 0.05 | 0.05 | 0.04 | 0.05 |
| Inventory Turnover | — | — | — | — | — | — | — | — | — | — | — |
| Days Sales Outstanding | — | — | — | — | — | — | — | — | — | — | — |
Earnings, FCF, buyback, and dividend yields — total returns to shareholders
Full dividend history and growth charts are on the Dividend History page
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Dividend Yield | 2.5% | 2.6% | 3.0% | 4.2% | 2.3% | 3.7% | 4.0% | 3.3% | 3.2% | 1.6% | 1.3% |
| Payout Ratio | 31.9% | 31.9% | 42.8% | 37.3% | 36.0% | 33.3% | 26.3% | 38.8% | 25.5% | 48.3% | 28.0% |
| Metric | TTM | FY 2025 | FY 2024 | FY 2023 | FY 2022 | FY 2021 | FY 2020 | FY 2019 | FY 2018 | FY 2017 | FY 2016 |
|---|---|---|---|---|---|---|---|---|---|---|---|
| Earnings Yield | 7.3% | 7.9% | 6.8% | 10.9% | 6.2% | 10.7% | 14.8% | 8.3% | 12.5% | 3.3% | 4.7% |
| FCF Yield | 7.8% | 8.1% | 11.2% | 15.9% | 16.3% | 7.5% | 2.1% | 14.9% | 4.3% | — | 2.5% |
| Buyback Yield | 7.5% | 7.7% | 5.7% | 0.1% | 0.1% | 4.6% | 0.2% | 2.6% | 2.4% | 0.1% | 2.1% |
| Total Shareholder Yield | 10.0% | 10.4% | 8.7% | 4.3% | 2.4% | 8.3% | 4.2% | 5.8% | 5.7% | 1.7% | 3.4% |
| Shares Outstanding | — | $496M | $544M | $562M | $566M | $551M | $434M | $316M | $327M | $244M | $235M |
Credit Provisioning Volatility
According to current market data, First Horizon trades at a P/B of 1.39, which appears to reflect a persistent complexity discount relative to regional peers, as investors struggle to reconcile the bank's volatile capital markets fee stream with its core Sunbelt retail banking operations.
The current valuation suggests the market is pricing FHN as a commodity balance sheet rather than a specialized franchise with institutional distribution advantages. This multiple compression warrants further investigation into whether the market is over-penalizing the cyclicality of the FHN Financial segment at the expense of the bank's stable deposit base.
As reported in recent financial statements, the bank's ROE has compressed to 2.8% in 2026Q1, driven by a sharp deterioration in non-interest income and rising credit costs that have significantly hampered the efficiency of the bank's asset utilization and overall profitability quality.
The DuPont decomposition indicates that the bank's profitability is currently strained by a combination of NIM compression and the high volatility of fee-based income. Investors should monitor whether the recent spike in the efficiency ratio to 58.6% represents a structural shift in operating costs or a temporary reaction to market-driven revenue contraction.
Based on the provided quarterly data, the efficiency ratio has deteriorated from sub-40% levels in 2025 to 58.6% in 2026Q1, indicating that the bank's dual-track model is struggling to maintain operating leverage amidst a challenging interest rate environment and rising funding costs.
The NIM stagnation at 0.8% suggests that the bank is facing significant headwinds in managing its deposit beta, which is increasingly offsetting the benefits of asset sensitivity. This trend implies that the bank's ability to control non-interest expenses will be the primary determinant of margin recovery in the coming quarters.
As indicated by consistent balance sheet reporting, First Horizon has maintained a steady equity-to-assets ratio of 0.11 over the last ten quarters, providing a resilient capital buffer that appears sufficient to absorb current credit provisioning volatility without immediate threats to regulatory compliance.
The stability of the capital base suggests that management is prioritizing balance sheet preservation over aggressive growth. While this provides a defensive posture, it also limits the bank's capacity for significant capital returns until earnings volatility subsides and credit provisions normalize.
Investors frequently misapply P/E ratios to First Horizon, which obscures the underlying earnings power by failing to account for the significant volatility introduced by CECL-driven credit provisions and mark-to-market adjustments within the FHN Financial segment's trading assets.
The P/E multiple is an unreliable indicator for this bank because it treats non-recurring provision spikes as permanent earnings impairments. A more appropriate valuation approach would involve adjusting for these accounting-driven fluctuations to better assess the bank's core, recurring profitability and long-term franchise value.
Includes 30+ ratios · 30 years · Updated daily
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10-year return with dividends reinvested.
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Compare growth, multiples, and margins vs sector.
Quick answers to the most common questions about buying FHN stock.
First Horizon Corporation's current P/E ratio is 13.7x. The historical average is 19.9x. This places it at the 44th percentile of its historical range.
First Horizon Corporation's current EV/EBITDA is 11.8x. This enterprise value multiple compares the company's total value (equity + debt - cash) to its EBITDA. The historical average is 18.1x.
First Horizon Corporation's return on equity (ROE) is 10.8%. The historical average is 10.9%.
Based on historical data, First Horizon Corporation is trading at a P/E of 13.7x. This is at the 44th percentile of its historical P/E range. Compare with industry peers and growth rates for a complete picture.
First Horizon Corporation's current dividend yield is 2.46% with a payout ratio of 31.9%.
First Horizon Corporation has 67.3% gross margin and 25.7% operating margin. Operating margin above 20% indicates strong pricing power and cost efficiency.
First Horizon Corporation's Debt/EBITDA ratio is 3.4x, indicating high leverage. A ratio between 2-4x is manageable but warrants monitoring.