S&T Bancorp (NASDAQ:STBA) Posts Earnings Results, Beats Expectations By $0.10 EPS

S&T Bancorp (NASDAQ:STBA) announced its earnings results on Thursday. The financial services provider reported $1.02 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.92 by $0.10, FiscalAI reports. The firm had revenue of $105.24 million for the quarter, compared to analyst estimates of $104.43 million. S&T Bancorp had a net margin of 23.71% and a return on equity of 9.35%.

Here are the key takeaways from S&T Bancorp’s conference call:

• S&T Bancorp reported a strong second quarter, with net income of $36.6 million and EPS of $1.02, up 8.5% sequentially and 22.9% year over year.
• Net interest margin expanded to 3.99% and net interest income rose to $90.4 million, supported by higher loan yields, lower funding costs, and a better deposit mix.
• Loan growth remained solid, with balances up $99 million in the quarter, led by C&I and construction lending, and management reiterated mid-single-digit loan growth expectations for the rest of 2026.
• Asset quality improved meaningfully as non-performing assets fell to 0.5% of loans plus OREO and net charge-offs were only $1 million, while the allowance for credit losses stayed essentially flat at 1.16% of loans.
• The bank continued aggressive share repurchases, buying back 1.1 million shares in the quarter and authorizing another $100 million, though management said future buybacks may slow if the stock price stays elevated.

S&T Bancorp Stock Up 1.3%

STBA traded up $0.65 on Friday, hitting $51.63. 34,776 shares of the company were exchanged, compared to its average volume of 251,506. The company has a market cap of $1.86 billion, a PE ratio of 14.46 and a beta of 0.84. S&T Bancorp has a 12 month low of $34.01 and a 12 month high of $52.12. The stock’s fifty day moving average is $47.33 and its 200-day moving average is $44.17. The company has a debt-to-equity ratio of 0.07, a quick ratio of 1.00 and a current ratio of 1.00.

S&T Bancorp Increases Dividend

The firm also recently declared a quarterly dividend, which was paid on Thursday, May 28th. Shareholders of record on Thursday, May 14th were given a dividend of $0.37 per share. This is a boost from S&T Bancorp’s previous quarterly dividend of $0.36. The ex-dividend date of this dividend was Thursday, May 14th. This represents a $1.48 annualized dividend and a yield of 2.9%. S&T Bancorp’s payout ratio is presently 41.46%.

Analyst Ratings Changes

Several research analysts have commented on the company. Weiss Ratings reissued a “buy (b)” rating on shares of S&T Bancorp in a research report on Monday, April 27th. Piper Sandler raised their price objective on shares of S&T Bancorp from $45.00 to $51.00 and gave the stock a “neutral” rating in a research note on Friday, June 26th. Two research analysts have rated the stock with a Buy rating and five have issued a Hold rating to the company. According to data from MarketBeat.com, the stock currently has a consensus rating of “Hold” and a consensus price target of $46.60.

Trending Headlines about S&T Bancorp

Here are the key news stories impacting S&T Bancorp this week:

• Positive Sentiment: S&T Bancorp reported second-quarter 2026 EPS of $1.02, beating the $0.92 consensus estimate, while revenue of $105.24 million also came in slightly ahead of expectations. S&T Bancorp, Inc. Announces Second Quarter 2026 Results
• Positive Sentiment: Net income rose to $36.6 million from $35.1 million in the prior quarter and $31.9 million a year earlier, signaling improving profitability. S&T Bancorp, Inc. Announces Second Quarter 2026 Results
• Positive Sentiment: The board approved a new $100 million share repurchase program, authorizing buybacks of up to 5.6% of shares outstanding, which investors typically view as a sign management believes the stock is undervalued. S&T Bancorp, Inc. Announces $100 Million Share Repurchase Program
• Neutral Sentiment: Multiple earnings-call summaries described the quarter as strong and the outlook as stable, reinforcing the positive tone around the results. S&T Bancorp Inc (STBA) Q2 2026 Earnings Call Highlights: Strong Financial Performance and …
• Neutral Sentiment: Analyst-focused coverage highlighted that the company surpassed expectations on earnings and revenue, but did not add new fundamental information beyond the reported beat. S&T Bancorp (STBA) Surpasses Q2 Earnings and Revenue Estimates

Institutional Investors Weigh In On S&T Bancorp

Several hedge funds have recently added to or reduced their stakes in the business. State Street Corp lifted its stake in shares of S&T Bancorp by 3.7% during the 4th quarter. State Street Corp now owns 1,723,385 shares of the financial services provider’s stock worth $67,815,000 after buying an additional 61,800 shares during the last quarter. Charles Schwab Investment Management Inc. grew its position in S&T Bancorp by 1.3% during the fourth quarter. Charles Schwab Investment Management Inc. now owns 1,624,436 shares of the financial services provider’s stock worth $63,922,000 after buying an additional 20,411 shares in the last quarter. Geode Capital Management LLC grew its holdings in shares of S&T Bancorp by 0.4% during the 4th quarter. Geode Capital Management LLC now owns 958,685 shares of the financial services provider’s stock worth $37,729,000 after purchasing an additional 3,388 shares in the last quarter. Millennium Management LLC increased its holdings in S&T Bancorp by 33.5% in the 3rd quarter. Millennium Management LLC now owns 459,153 shares of the financial services provider’s stock valued at $17,260,000 after buying an additional 115,333 shares during the period. Finally, Bridgeway Capital Management LLC increased its stake in S&T Bancorp by 2.5% in the third quarter. Bridgeway Capital Management LLC now owns 299,373 shares of the financial services provider’s stock valued at $11,253,000 after acquiring an additional 7,342 shares during the last quarter. Institutional investors and hedge funds own 65.22% of the company’s stock.

S&T Bancorp announced that its board has initiated a share repurchase plan on Thursday, July 23rd that authorizes the company to repurchase $100.00 million in outstanding shares. This repurchase authorization authorizes the financial services provider to buy up to 5.6% of its shares through open market purchases. Shares repurchase plans are usually an indication that the company’s board believes its shares are undervalued.

About S&T Bancorp

S&T Bancorp, Inc is a bank holding company headquartered in Indiana, Pennsylvania, serving as the parent of S&T Bank. Established as a banking organization in 1902 with the holding company formation following in the early 1980s, S&T Bancorp has built its reputation on delivering community-oriented financial services. The company operates under the NASDAQ ticker STBA, maintaining a focus on personalized banking solutions and local decision-making.

The company’s main business activities encompass a full suite of retail and commercial banking products.