1st Source stock carries a Q2 earnings beat after 38 percent gain

Published on 10/07/2026 at 06:01 | Editorial responsibility: Rafael Müller, Editor-in-Chief AD HOC NEWS

1st Source stock posted USD 1.95 in Q2 EPS against USD 1.71 expected on July 23, 2026. Revenue reached USD 118.16 million, while five analysts set a Hold consensus.

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1st Source Corporation (ISIN US3369011032) closed at USD 86.26 on Nasdaq on October 5, 2026, down 0.68 percent for the session. The latest quarterly result remains the central company signal: MarketBeat reported that second-quarter diluted EPS reached USD 1.95 on July 23, 2026, versus a USD 1.71 consensus estimate.

Q2 earnings beat expectations

The earnings comparison was accompanied by revenue of USD 118.16 million, ahead of the USD 114.13 million estimate, according to MarketBeat. The same quarter produced a 28.09 percent net margin and a 12.94 percent return on equity, placing the result above the immediate consensus benchmarks on both earnings and sales.

MarketBeat describes 1st Source as a financial services holding company serving businesses, individuals and organizations through 1st Source Bank. Its activities include commercial and consumer lending, deposits, treasury management, wealth services, insurance and specialized financing for aircraft, marine and construction equipment.

Consensus stays near the stock

The valuation signal is more restrained than the earnings beat. MarketBeat lists a Hold consensus from five analysts, with an average target of USD 89.67, a high target of USD 100.00 and a low target of USD 82.00. The average target stood 3.95 percent above the October 5 closing price, a modest gap that leaves the market focused on execution rather than a large valuation reset.

MarketBeat also reported that Zacks Research downgraded 1st Source from Strong Buy to Hold in a report issued on September 30, 2026. The change sits alongside two Buy ratings and three Hold ratings in the published analyst mix, while the quarterly dividend had risen to USD 0.45 from USD 0.43 per share.

Stock remains below yearly high

The October 5 close was 5.69 percent below the 52-week high of USD 91.46 and 51.62 percent above the 52-week low of USD 56.89. The session included a high of USD 87.03, a low of USD 86.04 and volume of 116,406 shares, while year-to-date performance stood at 38.04 percent.

1st Source stock therefore combines a measurable Q2 earnings beat with a share price close to its yearly high. The next valuation test is whether subsequent results can extend the earnings lead over consensus.