Home > Comparison > Financial Services > HBAN vs CFG
The strategic rivalry between Huntington Bancshares Incorporated and Citizens Financial Group, Inc. shapes the competitive landscape of regional banking. Huntington operates as a diversified financial services provider with strong consumer and vehicle finance segments. In contrast, Citizens emphasizes a balanced mix of consumer and commercial banking with a focus on treasury management and capital markets. This analysis will assess which franchise offers the superior risk-adjusted return for a diversified portfolio amid evolving financial services dynamics.
Table of contents
Companies Overview
Huntington Bancshares and Citizens Financial Group anchor regional banking with strong market footprints and diverse financial services.
Huntington Bancshares Incorporated: Regional Bank with Broad Financial Services
Huntington Bancshares operates primarily as a regional bank serving consumer, commercial, and vehicle finance markets. Its core revenue engine revolves around deposit accounts, loans, and wealth management. In 2026, it strategically focuses on expanding its commercial banking and private client segments to deepen client relationships and diversify income streams.
Citizens Financial Group, Inc.: Comprehensive Retail and Commercial Bank
Citizens Financial Group stands as a retail and commercial banking leader with a broad product suite including mortgage, credit cards, and treasury services. Its revenue stems from consumer deposits, loans, and sophisticated commercial banking solutions. Its 2026 strategy emphasizes digital banking platforms and tailored financial products for middle-market companies and institutions.
Strategic Collision: Similarities & Divergences
Both banks compete in regional markets with a focus on diversified financial services but diverge in scale and technological emphasis. Huntington leans into personalized private banking and vehicle finance. Citizens prioritizes digital innovation and corporate finance services. Their battleground is client acquisition in retail and commercial sectors. Investors face distinct profiles: Huntington offers broad community banking strength, while Citizens bets on digital and institutional growth.
Income Statement Comparison
This data dissects the core profitability and scalability of both corporate engines to reveal who dominates the bottom line:
| Metric | Huntington Bancshares Incorporated (HBAN) | Citizens Financial Group, Inc. (CFG) |
|---|---|---|
| Revenue | 12.49B | 11.15B |
| Cost of Revenue | 4.78B | 3.37B |
| Operating Expenses | 5.02B | 5.45B |
| Gross Profit | 7.70B | 7.78B |
| EBITDA | 2.69B | 2.69B |
| EBIT | 2.69B | 2.33B |
| Interest Expense | 4.32B | 3.81B |
| Net Income | 2.21B | 1.83B |
| EPS | 1.41 | 3.90 |
| Fiscal Year | 2025 | 2025 |
Income Statement Analysis: The Bottom-Line Duel
This income statement comparison uncovers the true operational efficiency and profitability momentum of two banking giants in 2025.
Huntington Bancshares Incorporated Analysis
Huntington Bancshares sees steady revenue growth, reaching $12.5B in 2025, up from $6.1B in 2021. Net income rises robustly to $2.2B, reflecting a solid net margin near 17.7%. Its gross margin holds firm at 61.7%, indicating strong cost control. Efficiency improves as EBIT grows nearly 12% year-over-year, signaling accelerating profitability.
Citizens Financial Group, Inc. Analysis
Citizens Financial’s revenue peaked in 2024 at $12.3B but slipped to $11.1B in 2025, showing a 9.7% decline. Despite this, net income surged 21% to $1.8B, with net margin at a healthy 16.4%. Gross margin at 69.8% outperforms Huntington, yet the firm faces challenges sustaining top-line growth. EBIT jumps 23% year-over-year, underlining operational gains despite revenue pressure.
Margin Strength vs. Growth Resilience
Huntington exhibits consistent revenue expansion and margin stability, delivering 70% net income growth over five years. Citizens leads in gross margin and EBIT growth but suffers revenue contraction and a 21% net income decline over the period. For investors prioritizing steady growth, Huntington’s profile offers more predictable earnings momentum and margin health.
Financial Ratios Comparison
These vital ratios act as a diagnostic tool to expose the underlying fiscal health, valuation premiums, and capital efficiency of the companies compared:
| Ratios | Huntington Bancshares Incorporated (HBAN) | Citizens Financial Group, Inc. (CFG) |
|---|---|---|
| ROE | 9.1% | 7.0% |
| ROIC | -1.7% | 4.3% |
| P/E | 11.6 | 13.8 |
| P/B | 1.05 | 0.96 |
| Current Ratio | 0.10 | 1.04 |
| Quick Ratio | 0.10 | 1.04 |
| D/E | 0.76 | 0.43 |
| Debt-to-Assets | 8.2% | 5.0% |
| Interest Coverage | 0.62 | 0.61 |
| Asset Turnover | 0.055 | 0.049 |
| Fixed Asset Turnover | 9.45 | 12.18 |
| Payout Ratio | 41.5% | 40.5% |
| Dividend Yield | 3.57% | 2.94% |
| Fiscal Year | 2025 | 2025 |
Efficiency & Valuation Duel: The Vital Signs
Financial ratios serve as a company’s DNA, revealing hidden risks and operational excellence beyond surface-level metrics.
Huntington Bancshares Incorporated
Huntington shows a solid net margin of 17.71%, indicating operational efficiency, but its ROE at 9.08% lags behind sector norms. The P/E of 11.61 and P/B of 1.05 suggest the stock trades at a reasonable valuation. A 3.57% dividend yield rewards shareholders, reflecting a stable income focus rather than aggressive reinvestment.
Citizens Financial Group, Inc.
Citizens posts a slightly lower net margin of 16.42% and a weaker ROE at 6.96%, signaling modest profitability. Its P/E ratio sits at 13.76 with a P/B below 1, indicating a fair valuation with potential undervaluation. The 2.94% dividend yield offers steady shareholder returns, balancing income and cautious growth.
Valuation Discipline vs. Operational Efficiency
Citizens balances a more favorable overall ratio profile with a higher share of positive metrics. Huntington delivers stronger margin efficiency but weaker returns on equity and capital. Investors prioritizing income and valuation might lean toward Huntington, while those favoring operational resilience and balanced metrics may prefer Citizens.
Which one offers the Superior Shareholder Reward?
I compare Huntington Bancshares (HBAN) and Citizens Financial Group (CFG) on dividends, payout ratios, and buyback intensity. HBAN yields 3.57% with a payout ratio near 41%, showing solid free cash flow backing. CFG yields 2.94% with a lower 40.5% payout ratio but offers a larger absolute dividend per share ($1.72 vs. $0.62). Both execute share buybacks, but CFG’s stronger cash reserves ($114/share vs. HBAN’s $0) support more aggressive repurchases. HBAN’s higher dividend yield and moderate payout suggest a balanced, sustainable model. CFG’s ample cash and equity suggest capacity for growth or buybacks, but lower yield may disappoint income-focused investors. For 2026 total return, I favor HBAN’s consistent dividends combined with steady buybacks as the superior shareholder reward.
Comparative Score Analysis: The Strategic Profile
The radar chart reveals the fundamental DNA and trade-offs of Huntington Bancshares and Citizens Financial Group in key financial metrics:
Both companies score equally on overall, DCF, ROE, and ROA metrics, signaling similar operational efficiency. Huntington edges Citizens slightly in valuation with a better P/E score, while both share moderate debt-to-equity risk. Citizens shows a marginally less balanced profile, relying more on valuation strength. Huntington presents a more consistent blend across profitability and valuation metrics.
Bankruptcy Risk: Solvency Showdown
Citizens Financial posts a higher Altman Z-Score than Huntington, but both dwell in the distress zone, implying elevated bankruptcy risk amid current market pressures:
Financial Health: Quality of Operations
Citizens outperforms Huntington in Piotroski F-Score, scoring 7 versus 5, indicating stronger internal financial controls and operational quality. Huntington’s average score flags some caution:
How are the two companies positioned?
This section dissects the operational DNA of HBAN and CFG by comparing their revenue distribution by segment and internal dynamics. The goal is to confront their economic moats to reveal the more resilient and sustainable competitive advantage today.
Revenue Segmentation: The Strategic Mix
The following visual comparison dissects how Huntington Bancshares and Citizens Financial diversify their income streams and where their primary sector bets lie:
Huntington Bancshares pivots on service charges, with $227M in 2024 anchoring its revenue, alongside smaller insurance and leasing segments. Citizens Financial Group dwarfs Huntington in card fees ($362M) and service charges ($417M), showing a more concentrated reliance on these two segments. Citizens’ focus signals a strong play in payment processing and fee income, while Huntington’s mix suggests modest diversification but higher exposure to niche revenues. Concentration risk is clearer at Citizens.
Strengths and Weaknesses Comparison
This table compares the strengths and weaknesses of Huntington Bancshares (HBAN) and Citizens Financial Group (CFG):
HBAN Strengths
- Higher net margin at 17.71%
- Favorable PE at 11.61
- Dividend yield of 3.57%
- Low debt-to-assets at 8.21%
- Strong fixed asset turnover at 9.45
CFG Strengths
- Higher ratio of favorable metrics at 57.14%
- Favorable quick ratio at 1.04
- Lower debt-to-equity at 0.43
- Fixed asset turnover at 12.18
- Consistent revenue from commercial and consumer banking
HBAN Weaknesses
- Unfavorable ROIC at -1.69% below WACC of 12.76%
- Low current and quick ratios at 0.1
- Interest coverage below 1 at 0.62
- Asset turnover weak at 0.06
- ROE at 9.08% considered unfavorable
CFG Weaknesses
- ROE at 6.96% is low
- ROIC positive but below WACC of 14.07%
- Interest coverage also weak at 0.61
- Asset turnover at 0.05 is low
- Some ratios remain unfavorable
Overall, CFG shows a higher proportion of favorable financial metrics and stronger liquidity ratios than HBAN. HBAN maintains a better net margin and dividend yield but struggles with profitability metrics relative to its cost of capital. These contrasts suggest different operational efficiencies and capital management challenges shaping each firm’s strategic priorities.
The Moat Duel: Analyzing Competitive Defensibility
A structural moat is the only barrier protecting long-term profits from relentless competitive erosion in banking. Let’s dissect how Huntington Bancshares and Citizens Financial guard their turf:
Huntington Bancshares Incorporated: Margin Stability Amid Value Destruction
Huntington relies on stable gross margins and consistent net margin growth to defend its market. Yet, its ROIC trails WACC by over 14%, signaling value destruction and declining profitability. New consumer banking products in 2026 could deepen market penetration but won’t offset capital inefficiency.
Citizens Financial Group, Inc.: Scale with Fading Capital Efficiency
Citizens leans on broader commercial banking scale and slightly higher gross margins than Huntington. However, its ROIC also falls below WACC by nearly 10%, reflecting shrinking returns despite robust EBIT growth. Expansion into digital deposit platforms may offer growth but faces pressure from operational inefficiencies.
Margin Resilience vs. Scale: Who Holds the Deeper Moat?
Both banks destroy value with ROIC below WACC and worsening trends, but Huntington’s stronger margin growth contrasts Citizens’ sharper efficiency decline. I see Huntington’s margin stability as a more durable moat, better equipping it to defend market share amid rising competition.
Which stock offers better returns?
Over the past year, both Huntington Bancshares and Citizens Financial Group showed strong upward price momentum, with accelerating trends and distinct trading volume dynamics shaping their trajectories.
Trend Comparison
Huntington Bancshares (HBAN) recorded a 29.48% price increase over the last 12 months, marking a bullish trend with acceleration. The stock ranged between 12.37 and 18.24, showing moderate volatility (1.59 std deviation).
Citizens Financial Group (CFG) outperformed with an 83.51% gain over the same period, also bullish with acceleration but higher volatility (7.49 std deviation). Prices fluctuated from 33.14 to 62.98, indicating stronger swings.
CFG’s stock delivered the highest market performance, outperforming HBAN significantly. CFG’s sharper acceleration and larger gains define a more dynamic price trend.
Target Prices
Analysts show a moderately bullish consensus for both Huntington Bancshares and Citizens Financial Group.
| Company | Target Low | Target High | Consensus |
|---|---|---|---|
| Huntington Bancshares Incorporated | 16 | 23 | 20 |
| Citizens Financial Group, Inc. | 60 | 80 | 69.46 |
Huntington’s target consensus sits about 14% above its current price of $17.48, signaling modest upside. Citizens’ consensus target at $69.46 exceeds its $62.98 stock price by roughly 10%, reflecting cautious optimism.
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How do institutions grade them?
Here is a summary of institutional grades assigned to Huntington Bancshares Incorporated and Citizens Financial Group, Inc.:
Huntington Bancshares Incorporated Grades
This table shows recent grades from leading financial institutions for Huntington Bancshares Incorporated.
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Truist Securities | maintain | Buy | 2026-01-26 |
| Morgan Stanley | maintain | Overweight | 2026-01-23 |
| Keefe, Bruyette & Woods | maintain | Market Perform | 2026-01-23 |
| Barclays | maintain | Equal Weight | 2026-01-05 |
| RBC Capital | maintain | Outperform | 2025-12-19 |
| Piper Sandler | maintain | Underweight | 2025-12-10 |
| DA Davidson | maintain | Buy | 2025-10-28 |
| Keefe, Bruyette & Woods | maintain | Market Perform | 2025-10-20 |
| Raymond James | maintain | Strong Buy | 2025-10-20 |
| TD Cowen | maintain | Buy | 2025-10-20 |
Citizens Financial Group, Inc. Grades
This table displays recent grades from major rating agencies for Citizens Financial Group, Inc.
| Grading Company | Action | New Grade | Date |
|---|---|---|---|
| Truist Securities | maintain | Hold | 2026-01-26 |
| Citigroup | maintain | Buy | 2026-01-26 |
| Argus Research | maintain | Buy | 2026-01-23 |
| RBC Capital | maintain | Outperform | 2026-01-22 |
| B of A Securities | maintain | Buy | 2026-01-22 |
| Morgan Stanley | maintain | Overweight | 2026-01-22 |
| Keefe, Bruyette & Woods | maintain | Outperform | 2026-01-22 |
| DA Davidson | maintain | Buy | 2026-01-22 |
| TD Cowen | maintain | Buy | 2026-01-22 |
| Raymond James | downgrade | Outperform | 2026-01-07 |
Which company has the best grades?
Citizens Financial Group holds a higher concentration of Buy and Outperform ratings recently, compared to Huntington Bancshares’ mixed Buy, Market Perform, and Underweight grades. This suggests a stronger institutional confidence in Citizens, which can influence investor sentiment and stock momentum.
Risks specific to each company
The following categories identify the critical pressure points and systemic threats facing both firms in the 2026 market environment:
1. Market & Competition
Huntington Bancshares Incorporated
- Operates primarily in 11 states, focused on regional banking with moderate market reach.
Citizens Financial Group, Inc.
- Broader presence with 14 states, D.C., and national offices, increasing competitive exposure.
2. Capital Structure & Debt
Huntington Bancshares Incorporated
- Debt-to-equity ratio of 0.76 indicates moderate leverage but interest coverage at 0.62 signals risk.
Citizens Financial Group, Inc.
- Lower debt-to-equity of 0.43 with similar weak interest coverage at 0.61, suggesting better balance sheet strength.
3. Stock Volatility
Huntington Bancshares Incorporated
- Beta of 0.966 implies slightly less volatility than market, reflecting relative stability.
Citizens Financial Group, Inc.
- Beta of 1.086 shows higher sensitivity to market swings, increasing risk for investors.
4. Regulatory & Legal
Huntington Bancshares Incorporated
- Regional banking exposure implies moderate regulatory oversight with focus on consumer protection.
Citizens Financial Group, Inc.
- Larger footprint and diverse commercial segments increase regulatory complexity and legal risk.
5. Supply Chain & Operations
Huntington Bancshares Incorporated
- Operations concentrated in fewer states, possibly reducing operational complexity but limiting scale.
Citizens Financial Group, Inc.
- Extensive branch network and non-branch offices increase operational complexity and supply chain risks.
6. ESG & Climate Transition
Huntington Bancshares Incorporated
- No explicit ESG data, but regional banks often face pressure to enhance climate risk policies.
Citizens Financial Group, Inc.
- Broader operations likely face higher ESG scrutiny and must accelerate climate transition efforts.
7. Geopolitical Exposure
Huntington Bancshares Incorporated
- Focused on US regional markets, limiting direct geopolitical risk exposure.
Citizens Financial Group, Inc.
- Also US-centric but with more national reach, potentially increasing sensitivity to federal policy shifts.
Which company shows a better risk-adjusted profile?
Citizens Financial Group faces its biggest risk in operational complexity and regulatory burden due to its broader footprint. Huntington Bancshares’ most pressing risk lies in weak liquidity and financial distress indicators. Overall, Citizens shows a better risk-adjusted profile, supported by stronger balance sheet metrics and higher Piotroski score, despite slightly greater market volatility. The distress-zone Altman Z-scores for both warrant caution, but Huntington’s negative score highlights deeper financial fragility.
Final Verdict: Which stock to choose?
Huntington Bancshares Incorporated (HBAN) boasts a superpower in its steady cash generation and attractive dividend yield, reflecting a resilient income engine. However, its notably weak liquidity ratios warrant vigilance, as they could pressure short-term financial flexibility. HBAN suits investors seeking income with moderate growth appetite.
Citizens Financial Group, Inc. (CFG) presents a strategic moat through its stronger balance sheet and healthier liquidity, offering a safer harbor amid volatility. Its superior free cash flow yield and efficient capital use position it well for growth at a reasonable price. CFG fits investors prioritizing stability alongside growth potential.
If you prioritize income and consistent cash flows, HBAN is the compelling choice due to its dividend strength and operational resilience. However, if you seek safety and balanced growth, CFG offers better stability and a more efficient capital allocation profile. Both carry risks, especially around profitability trends, which investors should monitor closely.
Disclaimer: Investment carries a risk of loss of initial capital. The past performance is not a reliable indicator of future results. Be sure to understand risks before making an investment decision.
Go Further
I encourage you to read the complete analyses of Huntington Bancshares Incorporated and Citizens Financial Group, Inc. to enhance your investment decisions:
