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Relative valuation derived from Financials sector median benchmarks. Model weights: EV/EBITDA (40%), P/B (35%), P/S (25%). Multiples adjusted for extreme outliers and non-recurring volatility.
Auditing capital efficiency...
Quality Profile Audit
Score: 56.8GRADE C+
Composite assessment of profitability, capital efficiency, and financial strength. Top-tier entities demonstrate sustainable cash flow generation.
Return on Equity
Profit generated per dollar of shareholder equity
10.3%
Sector: 8.5%
Dividend Analysis audit
INCOME
2.40%
Trailing Yield
$2.40
Per $100 Invested
Solid dividend yield for income-focused strategies.
Est. Payout Ratio
29%SAFE
Analyst Projections
Analyst Consensus
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Based on our 6-factor quantitative model, TRUSTMARK CORP (TRMK) receives a "Hold" rating with a composite score of 54.4/100, ranked #140 out of 4446 stocks. Key factor scores: Quality 57/100, Value 73/100, Momentum 54/100. This is quantitative analysis only — not investment advice.
TRUSTMARK CORP (TRMK) Stock Analysis — April 2026 Rating, Price, and Forecast
Company Overview — What Does TRUSTMARK CORP Do?
Trustmark Corporation operates as the bank holding company for Trustmark National Bank that provides banking and other financial solutions to individuals and corporate institutions in the United States. The company operates through three segments: General Banking, Wealth Management, and Insurance. It offers checking, savings, and money market accounts; certificates of deposits and individual retirement accounts; financing for commercial and industrial projects, income-producing commercial real estate, owner-occupied real estate, and construction and land development; and installment and real estate loans, and lines of credit, as well as treasury management services. The company also provides mortgage banking services, including construction financing, production of conventional and government-insured mortgages, and secondary marketing and mortgage servicing. In addition, it provides wealth management and trust services, such as administration of personal trusts and estates; management of investment accounts for individuals, employee benefit plans, and charitable foundations; and corporate trust and institutional custody, securities brokerage, financial and estate planning, retirement plan, and investment management services. Further, the company offers business insurance products and services for medical professionals, construction, manufacturing, hospitality, real estate, and group life and health plans; and life and health insurance, and personal line policies for individual customers. As of December 31, 2021, it operated 167 full-service branches and 13 limited service branches; and 198 automated teller machines and 69 interactive teller machines. The company was founded in 1889 and is headquartered in Jackson, Mississippi. TRUSTMARK CORP (TRMK) is classified as a mid-cap stock in the Financials sector, specifically within the Banking industry. The company is led by CEO Duane A. Dewey and employs approximately 2,740 people, headquartered in Jackson, Mississippi. With a market capitalization of $2.5B, TRMK is one of the notable companies in the Financials sector.
TRUSTMARK CORP (TRMK) Stock Rating — Hold (April 2026)
As of April 2026, TRUSTMARK CORP receives a Hold rating with a composite score of 54.4/100 and 3 out of 5 stars from the Blank Capital Research quantitative model.TRMK ranks #140 out of 4,446 stocks in our coverage universe. Within the Financials sector, TRUSTMARK CORP ranks #55 of 891 stocks, placing it in the top 10% of its Financials peers. The rating is generated by a multi-factor model that weighs quality (30%), momentum (25%), value (15%), investment (10%), stability (10%), and short interest (10%).
TRMK Stock Price and 52-Week Range
TRUSTMARK CORP (TRMK) currently trades at $44.91. The stock lost $0.44 (1.0%) in the most recent trading session. The 52-week high for TRMK is $45.43, which means the stock is currently trading -1.1% from its annual peak. The 52-week low is $29.77, putting the stock 50.9% above its annual trough. Recent trading volume was 323K shares, suggesting relatively thin trading activity.
Is TRMK Overvalued or Undervalued? — Valuation Analysis
TRUSTMARK CORP (TRMK) carries a value factor score of 73/100 in the Blank Capital model, suggesting the stock trades at a meaningful discount to its fundamental earning power. The trailing price-to-earnings ratio is 12.04x, compared to the Financials sector average of 14.88x — a discount of 19%. The price-to-book ratio stands at 1.24x, versus the sector average of 1.22x. The price-to-sales ratio is 2.73x, compared to 0.90x for the average Financials stock. On an enterprise value basis, TRMK trades at 9.84x EV/EBITDA, versus 3.26x for the sector.
Based on these multiples, TRUSTMARK CORP appears attractively valued relative to both its sector peers and the broader market. Value-oriented investors may find the current entry point compelling, particularly if the company's fundamental quality metrics also score well.
TRUSTMARK CORP Profitability — ROE, Margins, and Quality Score
TRUSTMARK CORP (TRMK) earns a quality factor score of 57/100, indicating solid business quality with consistent operational execution. The return on equity (ROE) is 10.3%, compared to the Financials sector average of 8.5%, which is within a healthy range. Return on assets (ROA) comes in at 1.1% versus the sector average of 1.2%.
On a margin basis, TRUSTMARK CORP reports gross margins of 0.0%. The operating margin is 27.8% (sector: 21.8%). Net profit margin stands at 22.7%, versus 17.7% for the average Financials stock. Revenue growth is running at 1.5% on a trailing basis, compared to 9.4% for the sector. The overall profitability profile is adequate, though there may be room for margin expansion.
TRMK Debt, Balance Sheet, and Financial Health
TRUSTMARK CORP has a debt-to-equity ratio of 792.0%, compared to the Financials sector average of 121.0%. This elevated leverage warrants close monitoring, as it increases the company's sensitivity to rising interest rates and economic downturns. The current ratio is 1.13x, suggesting adequate working capital coverage. Total debt on the balance sheet is $394M. Cash and equivalents stand at $733M.
TRMK has a beta of 0.84, meaning it is roughly in line with the broader market in terms of price volatility. The stability factor score for TRUSTMARK CORP is 84/100, indicating low-volatility characteristics and consistent price behavior that appeals to risk-averse investors.
TRUSTMARK CORP Revenue and Earnings History — Quarterly Trend
In TTM 2026, TRUSTMARK CORP reported revenue of $961M and earnings per share (EPS) of $3.72. Net income for the quarter was $218M. Gross margin was 0.0%. Operating income came in at $266M.
In FY 2025, TRUSTMARK CORP reported revenue of $949M and earnings per share (EPS) of $3.72. Net income for the quarter was $224M. Revenue grew -1.2% year-over-year compared to FY 2024. Operating income came in at $275M.
In Q3 2025, TRUSTMARK CORP reported revenue of $243M and earnings per share (EPS) of $0.94. Net income for the quarter was $57M. Revenue grew -3.5% year-over-year compared to Q3 2024. Operating income came in at $70M.
In Q2 2025, TRUSTMARK CORP reported revenue of $237M and earnings per share (EPS) of $0.92. Net income for the quarter was $56M. Revenue grew -0.7% year-over-year compared to Q2 2024. Operating income came in at $69M.
Over the past 8 quarters, TRUSTMARK CORP has demonstrated a growth trajectory, with revenue expanding from $239M to $961M. Investors analyzing TRMK stock should weigh these quarterly trends alongside the valuation and quality metrics discussed above.
TRMK Dividend Yield and Income Analysis
TRUSTMARK CORP (TRMK) currently pays a dividend yield of 2.4%. At this yield, a $10,000 investment in TRMK stock would generate approximately $$240.00 in annual dividend income. This compares to the Financials sector average dividend yield of 2.5%, meaning TRMK yields less than the typical sector peer. With a net margin of 22.7%, the dividend appears well-covered by earnings, suggesting sustainable payouts going forward.
TRMK Momentum and Technical Analysis Profile
TRUSTMARK CORP (TRMK) has a momentum factor score of 54/100, reflecting neutral trend characteristics. The stock is neither significantly outperforming nor underperforming the broader market on a momentum basis. The investment factor score is 33/100, which measures capital allocation efficiency and asset growth patterns. The short interest score of 11/100 signals elevated short interest, which can indicate bearish sentiment among institutional investors.
TRMK vs Competitors — Financials Sector Ranking and Peer Comparison
Comparing TRMK against the S&P 500 benchmark is also instructive for understanding relative performance. Investors can view the full TRMK vs S&P 500 (SPY) comparison to assess how TRUSTMARK CORP stacks up against the broader market across all factor dimensions.
TRMK Next Earnings Date
No upcoming earnings date has been announced for TRUSTMARK CORP (TRMK) at this time. Check the earnings calendar for the latest scheduling updates across all stocks in our coverage universe.
Should You Buy TRMK? — Investment Thesis Summary
TRUSTMARK CORP presents a balanced picture with arguments on both sides. The value score of 73/100 suggests attractive pricing relative to fundamentals. Low volatility (stability score 84/100) reduces downside risk.
In summary, TRUSTMARK CORP (TRMK) earns a Hold rating with a composite score of 54.4/100 as of April 2026. The rating is derived from the Blank Capital Research methodology, which combines six factor dimensions into a single quantitative ranking. Investors should consider these quantitative signals alongside their own fundamental research, risk tolerance, and investment time horizon before making buy or sell decisions on TRMK stock.
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Institutional Research Dossier
TRUSTMARK CORP (TRMK) Deep Dive Analysis
Published on March 24, 2026
Action RatingHold
Sections
Executive Summary
Trustmark Corporation (TRMK) currently holds a Hold rating, justified by a balanced assessment of its financial performance and valuation. While the company exhibits strong profitability metrics compared to its sector, particularly in operating and net margins, its relatively low revenue growth and high debt-to-equity ratio raise concerns. The current valuation appears attractive based on P/E and EV/EBITDA multiples, but this is tempered by the need for stronger growth prospects and improved capital allocation.
The primary takeaway is that TRMK presents a mixed picture. Its solid profitability and attractive valuation are counterbalanced by growth challenges and balance sheet concerns. A Hold rating reflects the need for greater clarity on the company's ability to accelerate revenue growth and manage its debt effectively before a more bullish stance can be warranted.
Business Strategy & Overview
Trustmark Corporation operates as a regional bank holding company, primarily serving individuals and corporate institutions in the Southeastern United States. Its core business revolves around traditional banking activities, including deposit-taking (checking, savings, money market accounts, CDs, IRAs) and lending (commercial, industrial, real estate, installment loans, lines of credit). These activities generate revenue through interest income on loans and fees for services.
Beyond traditional banking, Trustmark diversifies its revenue streams through wealth management and insurance services. The wealth management segment provides trust administration, investment account management, and financial planning services, catering to individuals, employee benefit plans, and charitable foundations. The insurance segment offers business insurance products for various industries and personal line policies for individual customers, generating commissions and fees.
Trustmark's strategic positioning centers on providing personalized service and local expertise within its geographic footprint. This approach aims to foster long-term customer relationships and differentiate itself from larger, national banks. The company operates a network of full-service and limited-service branches, complemented by ATMs and interactive teller machines, to provide convenient access to its services. Its focus on community banking allows it to tailor its offerings to the specific needs of its local markets.
The company's mortgage banking services, including construction financing and the production of conventional and government-insured mortgages, contribute to its overall revenue. These services are integrated with its lending operations and provide a comprehensive suite of financial solutions for its customers. Trustmark's strategy involves managing its mortgage portfolio through secondary marketing and mortgage servicing activities.
Execution Benchmarks audit
Revenue Growth
YOY expansion rate
1.5%
Sector: 9.4%
-84% VS SCTR
Economic Moat Analysis
Trustmark's economic moat can be characterized as Narrow. The primary source of this narrow moat stems from its established regional presence and the switching costs associated with banking relationships. While not insurmountable, these factors provide a degree of competitive advantage.
The regional presence allows Trustmark to cultivate strong customer relationships and brand recognition within its specific markets. This localized focus enables it to offer personalized service and tailored solutions, which can be difficult for larger, national banks to replicate. The established network of branches and ATMs further reinforces its presence and provides convenient access for its customers.
Switching costs, while not as high as in some other industries, do exist in the banking sector. Customers often maintain banking relationships for extended periods due to the inconvenience of transferring accounts, setting up new direct deposits, and updating payment information. This inertia provides a degree of stickiness to Trustmark's customer base.
However, the moat is not wide due to the relatively low barriers to entry in the banking industry and the increasing competition from online and mobile banking platforms. These platforms offer greater convenience and often lower fees, eroding the advantages of traditional brick-and-mortar banks. Furthermore, the commoditized nature of many banking products and services limits Trustmark's ability to differentiate itself significantly.
The company's ability to maintain and widen its narrow moat will depend on its ability to adapt to the changing landscape of the banking industry, invest in technology, and continue to provide superior customer service. Failure to do so could result in a shrinking moat and increased competitive pressures.
Financial Health & Profitability
Trustmark's financial health presents a mixed picture. The company demonstrates strong profitability metrics, but its revenue growth and balance sheet leverage raise concerns. The TTM net income of $224.13 million on revenue of $948.62 million translates to a net margin of 22.7%, significantly higher than the sector average of 17.8%. Similarly, the operating margin of 27.8% exceeds the sector average of 22.0%. The ROE of 10.3% is also above the sector average of 8.5%, indicating efficient use of equity.
However, revenue growth has been sluggish. The TTM revenue growth of 1.5% is significantly lower than the sector average of 9.3%. This suggests that Trustmark is struggling to expand its business at the same pace as its peers. The quarterly financial history reveals fluctuating revenue and net income, with some quarters showing stronger performance than others. The OM in Q2 FY2024 was -57.8%, which is a major red flag.
The balance sheet exhibits a high level of leverage. The debt-to-equity ratio of 792.00 is substantially higher than the sector average of 115.00. This indicates that Trustmark relies heavily on debt financing, which could increase its vulnerability to interest rate fluctuations and economic downturns. While the current ratio of 1.13 suggests adequate short-term liquidity, the high debt level warrants careful monitoring.
Free cash flow generation is positive, with a TTM FCF of $157.49 million. This provides the company with some flexibility to invest in growth initiatives, reduce debt, or return capital to shareholders. However, the lack of quarterly FCF data makes it difficult to assess the consistency of cash flow generation.
Overall, Trustmark's financial health is characterized by strong profitability but weak revenue growth and high leverage. The company needs to address its growth challenges and manage its debt effectively to improve its long-term financial stability.
Valuation Assessment
Trustmark's valuation appears attractive based on several key metrics. The company's P/E ratio of 11.0x is significantly lower than the sector average of 15.5x, suggesting that the stock is undervalued relative to its earnings. Similarly, the EV/EBITDA multiple of 2.2x is well below the sector average of 3.5x, further indicating undervaluation.
However, it's crucial to consider the company's growth prospects when assessing its valuation. The relatively low revenue growth of 1.5% suggests that the company's earnings may not grow as rapidly as its peers, which could justify a lower valuation multiple. Investors may be discounting the stock due to concerns about its ability to generate sustainable growth.
The BCR proprietary quant model assigns a Value score of 74/100, which supports the notion that the stock is undervalued. However, the Investment score of 33/100 indicates that the market has concerns about the company's capital allocation and growth potential. The Momentum score of 55/100 suggests that the stock's price performance has been average.
A discounted cash flow (DCF) analysis would be necessary to determine the intrinsic value of the stock more precisely. This analysis would require assumptions about future revenue growth, profit margins, and discount rates. Given the company's historical performance and current challenges, a conservative growth rate should be used in the DCF model.
Overall, Trustmark's valuation appears attractive on the surface, but investors should carefully consider its growth prospects and balance sheet leverage before making an investment decision. The stock may be a value trap if the company is unable to accelerate its revenue growth and manage its debt effectively.
Risk & Uncertainty
Several specific risks and uncertainties could negatively impact Trustmark's business and financial performance. One significant risk is the potential for increased competition from larger, national banks and online lending platforms. These competitors may offer lower fees, more convenient services, and a wider range of products, which could erode Trustmark's market share.
Another risk is the sensitivity of the company's earnings to interest rate fluctuations. As a traditional bank, Trustmark's net interest margin (the difference between the interest it earns on loans and the interest it pays on deposits) is affected by changes in interest rates. A rising interest rate environment could increase its borrowing costs and reduce its profitability, while a falling interest rate environment could compress its net interest margin.
Credit risk is also a concern. Trustmark's loan portfolio is exposed to the risk of borrowers defaulting on their loans. Economic downturns, industry-specific challenges, and individual borrower circumstances could all lead to increased loan losses. The company's ability to manage its credit risk effectively is crucial to its financial stability.
Regulatory risk is another factor to consider. The banking industry is heavily regulated, and changes in regulations could increase Trustmark's compliance costs and restrict its business activities. For example, changes in capital requirements, lending regulations, or consumer protection laws could negatively impact the company's profitability and growth.
Bulls Say / Bears Say
The Bull Case
BULL VIEWTrustmark's strong profitability metrics, including high operating and net margins, demonstrate its efficient operations and ability to generate earnings.
BULL VIEWThe company's attractive valuation, with a low P/E and EV/EBITDA multiple compared to its sector, offers potential upside for investors seeking value opportunities.
BULL VIEWTrustmark's established regional presence and focus on community banking provide a competitive advantage and foster long-term customer relationships.
The Bear Case
BEAR VIEWTrustmark's sluggish revenue growth indicates a lack of dynamism and potential for market share erosion in a competitive banking landscape.
BEAR VIEWThe company's high debt-to-equity ratio raises concerns about its financial leverage and vulnerability to interest rate fluctuations and economic downturns.
BEAR VIEWIncreasing competition from larger banks and online lending platforms could put pressure on Trustmark's margins and limit its growth potential.
About the Author
Marques Blank
Founder & Chief Investment Officer, Blank Capital
Marques brings 15 years of institutional finance and investing experience, having overseen financial planning for a $1.6B defense business unit. He developed the proprietary 6-factor quantitative model used to score TRMK and 4,400+ other equities.
TRUSTMARK CORP exhibits a 97% valuation premium relative to institutional benchmarks. This represents a potential valuation overextension based on current multiples.
Return on Assets
Efficiency of asset utilization
1.1%
Sector: 1.2%
Gross Margin
Pricing power and cost efficiency
0.0%
Sector: 0.0%
Operating Margin
Core business profitability
27.8%
Sector: 21.8%
Net Margin
Bottom-line profitability
22.7%
Sector: 17.7%
Factor Methodology
The Quality factor evaluates the persistence and magnitude of cash flows. Companies with scores >70 exhibit superior competitive moats and financial resilience through economic cycles.
Sector Avg Yield2.48%
Yield Delta-3%
Income Projection audit
A $10,000 investment would generate approximately $240 annually in dividends at the current trailing rate.
