Hancock Whitney Corp

Hancock Whitney Corporation completed its acquisition of OFB Bancshares, Inc., the parent company of One Florida Bank, in an all-cash transaction valued at $377.6 million. The deal adds approximately $1.7 billion in loans and $1.8 billion in deposits, with Florida deposits representing 21% of total deposits on a pro forma basis. Management expects the acquisition to be immediately accretive to earnings, projecting high-single-digit earnings growth and approximately $15.8 million in annual cost savings, while one-time merger-related charges are expected to be $30 million. The transaction resulted in a Common Equity Tier 1 ratio of 11.4% at closing and met or exceeded Hancock Whitney's minimum return thresholds for IRR and ROIC. Systems conversion is expected in the fourth quarter of 2026, and the company anticipates leveraging One Florida Bank's local relationships to drive loan growth and expand fee income opportunities.

Hancock Whitney Corp posted a 13% year-over-year increase in earnings per share and a 6% rise in pre-provision net revenue for the second quarter of 2026. Net income reached $127 million, or $1.55 per share, while loans grew 5% year-over-year and 10% on a linked-quarter annualized basis, and deposits rose 2% year-over-year and 8% linked-quarter annualized. The company reported a return on average assets of 1.42%, an efficiency ratio of 55.3%, and a return on tangible common equity of 14.9%. Net interest margin edged up 1 basis point to 3.56%, and fee income increased 2% after adjusting for a bond portfolio restructuring. Hancock Whitney also secured regulatory and shareholder approval for its One Florida Bank acquisition, which is expected to close on August 1.

Hancock Whitney, the Gulfport-based holding company of Whitney Bank and Hancock Bank, is highlighted as a top dividend stock, currently paying $0.50 per share with a dividend yield of 2.69%. This yield exceeds the Banks - Southeast industry average of 2.03% and the S&P 500's yield of 1.41%. The company's annualized dividend of $2.00 represents an 11.1% increase from last year, and over the past five years it has raised its dividend three times for an average annual increase of 11.55%. Hancock Whitney's payout ratio stands at 34% of trailing twelve-month earnings per share, and the Zacks Consensus Estimate for fiscal 2026 earnings is $6.47 per share, implying 13.11% growth from the prior year. The stock carries a Zacks Rank of #2, or Buy.