BOK Financial (BOKF) Stock Forecast & Price Target

BOK Financial Corp's net interest income rose by 2.9% quarter-over-quarter, totaling $337.6 million, supported by an 11 basis point increase in its net interest margin, which reached 2.91%, outperforming both forecasts and consensus expectations. The company's average loans grew across all categories, with a significant increase in commercial and industrial loans, marking a turnaround after four consecutive quarters of decline, while period-end loans increased 2.4% quarter-over-quarter to $24.87 billion and 3.7% year-over-year. Additionally, the assets under management achieved record growth of 4.1% to $122.7 billion, underscoring strong momentum from both new client acquisitions and rising market valuations.

BOK Financial Corp is facing significant financial pressures, particularly from a 14% year-over-year decline in payoffs from the energy sector, resulting in a $445 million reduction. Additionally, trading revenues have shown a slight downturn, with net interest income decreasing from $16.1 million to $14.3 million quarter-over-quarter, coinciding with a decline in average trading securities to the lower end of the targeted range. Finally, while management reports a decrease in nonperforming assets and a manageable allowance for credit losses, the recent adjustments to earnings per share estimates, stemming from increased expenses, also contribute to a negative outlook for the stock.