RBC Capital has raised its price objective for BB&T Capital (NYSE:BBT) to $31.00 from $28.00 and maintained a Sector Perform rating, citing the bank’s recent quarterly performance and near-term operational initiatives. The revision was made after BB&T released its fourth-quarter earnings, which RBC analyst Karl Shepard characterized as the first full quarter since a prior combination and as showing encouraging stability in the company’s core businesses.
RBC pointed to a planned systems conversion scheduled for February as a meaningful near-term catalyst. The conversion is expected to support lower operating expenses and improved earnings per share, according to the note. Management reiterated the guidance it previously provided, and RBC said it is comfortable with the company’s stated range for provisions and the growth assumptions management has outlined.
The analyst also adjusted modeling to reflect BB&T’s adoption of an accounting change related to loans the company had previously acquired. That modification in accounting treatment was explicitly incorporated into RBC’s revised estimates for the bank.
In a separate piece of corporate news included in the note, Bullish reported record quarterly results for the third quarter of 2025. The company recorded adjusted revenue of $76.5 million, up from $44.6 million in the comparable quarter a year earlier, and also posted record adjusted EBITDA for that period. Those outcomes exceeded analyst expectations and were highlighted as evidence of Bullish’s continued growth within the digital asset platform sector.
RBC’s action on BB&T centers on measurable near-term items: the stabilization seen in the combined-company reporting, the forthcoming systems conversion intended to reduce costs and lift EPS, and an accounting-related change that affects earnings modeling. Management’s reaffirmation of guidance and RBC’s stated comfort with provisioning and growth assumptions helped underpin the maintained Sector Perform stance, even as the price target was raised.
Key points
- RBC raised BB&T Capital’s price target to $31.00 from $28.00 while keeping a Sector Perform rating.
- The fourth-quarter report was described as BB&T’s first full combined quarter, showing stable core trends.
- A systems conversion planned for February is expected to reduce operating expenses and support improved earnings per share; management reiterated prior guidance.
Risks and uncertainties
- The anticipated benefits of the February systems conversion are presented as expected outcomes rather than certainties, leaving near-term cost and EPS impacts subject to execution.
- RBC’s revised estimates incorporate an accounting change for previously acquired loans, indicating that adjustments in accounting treatment are influencing analysts’ models.
- Bullish’s results are concentrated in the digital asset platform sector; while the company reported record adjusted revenue and EBITDA that exceeded expectations, its performance is described within that specific sector context.