What Happened?
Shares of regional banking company Glacier Bancorp (NYSE:GBCI) jumped 3.3% in the pre-market session after the company reported strong second-quarter results, including a significant jump in net income and an earnings per share figure that surpassed some key analyst expectations.
The bank holding company reported net income of $52.8 million for the quarter, an 18% increase from the same period in the prior year. Diluted earnings per share came in at $0.45, a 15% rise year-over-year and notably above the $0.38 consensus estimate from analysts polled by FactSet. The positive results were driven by a 25% surge in net interest income, which reached $208 million. Furthermore, Glacier saw its loan portfolio expand by 8% and total deposits grow by 5% during the quarter. While the company's revenue and earnings missed some other Wall Street forecasts, investors appeared to focus on the strong year-over-year growth and the earnings beat.
After the initial pop the shares cooled down to $45.13, up 1.3% from previous close.
Is now the time to buy Glacier Bancorp? Access our full analysis report here, it’s free.
What Is The Market Telling Us
Glacier Bancorp’s shares are somewhat volatile and have had 11 moves greater than 5% over the last year. In that context, today’s move indicates the market considers this news meaningful but not something that would fundamentally change its perception of the business.
Glacier Bancorp is down 9.1% since the beginning of the year, and at $45.13 per share, it is trading 23.4% below its 52-week high of $58.89 from November 2024. Investors who bought $1,000 worth of Glacier Bancorp’s shares 5 years ago would now be looking at an investment worth $1,277.
Today’s young investors won’t have read the timeless lessons in Gorilla Game: Picking Winners In High Technology because it was written more than 20 years ago when Microsoft and Apple were first establishing their supremacy. But if we apply the same principles, then enterprise software stocks leveraging their own generative AI capabilities may well be the Gorillas of the future. So, in that spirit, we are excited to present our Special Free Report on a profitable, fast-growing enterprise software stock that is already riding the automation wave and looking to catch the generative AI next.