Hilltop Holdings reported third quarter results that missed Wall Street’s revenue and non-GAAP profit expectations, reflecting several operational challenges. Management attributed the shortfall primarily to the impact of higher and more volatile interest rates, which led to mark-to-market losses in its mortgage and trading businesses. CEO Jeremy Ford pointed to “a drastic intra-quarter increase in mortgage rates” as a key factor that pressured PrimeLending’s volumes and margins. Additionally, the firm faced higher credit loss provisions and a challenging environment for its broker-dealer segment.
Is now the time to buy HTH? Find out in our full research report (it’s free for active Edge members).
Hilltop Holdings (HTH) Q3 2026 highlights:
- Revenue: $308 million vs analyst estimates of $320.5 million (7% year-on-year decline, 3.9% miss)
- Adjusted EPS: $0.44 vs analyst expectations of $0.64 (31.5% miss)
- Market Capitalization: $2.08 billion
While we enjoy listening to the management’s commentary, our favorite part of earnings calls is the analyst questions. Those are unscripted and can often highlight topics that management teams would rather avoid or topics where the answer is complicated. Here is what has caught our attention.
Our top 5 analyst questions from Hilltop Holdings’s Q3 earnings call
- Hannah Wynn (KBW) asked about PrimeLending’s prospects and expense management given ongoing mortgage headwinds; CFO Will Furr reiterated a focus on controlling costs and recruiting productive loan officers while expecting continued market challenges.
- Hannah Wynn (KBW) followed up on net interest margin outlook; Furr stated that while loan growth will drive net interest income, deposit costs are likely to rise, which could cause margins to level out or decrease slightly.
- Matt Olney (Stephens) inquired about drivers of strong loan growth and whether momentum could continue; Furr attributed growth to commercial real estate and C&I loans in Texas, supported by robust pipelines and successful banker recruiting.
- Matt Olney (Stephens) asked about the pace of share repurchases; Furr explained the slower activity was due to stock price levels and rising rates, but noted remaining authorization and an intent to act opportunistically.
- Evan Yee (Raymond James) questioned the sustainability of lower non-variable expenses; Furr emphasized ongoing productivity gains from process improvements and technology, with stable costs expected barring major changes.
Catalysts in upcoming quarters
In upcoming quarters, the StockStory team will watch (1) whether PlainsCapital Bank can sustain its loan and deposit growth amid a more competitive deposit environment, (2) how quickly PrimeLending can adjust its cost base and regain profitability as mortgage headwinds persist, and (3) whether HilltopSecurities can navigate volatile markets and stabilize trading revenues. Execution on technology-driven productivity initiatives will also be a key signpost.
Hilltop Holdings currently trades at $36.35, down from $37.28 just before the earnings. In the wake of this quarter, is it a buy or sell? Find out in our full research report (it’s free).
The best stocks for high-quality investors
ONE MORE THING: Top 6 Stocks for This Week. This market is separating quality stocks from expensive ones fast. AI is taking down whole sectors with no warning. In a rotation this fast, you need more than a list of good companies.
Our AI system flagged Palantir before it ran 1,662% between October 2022 and February 2026. AppLovin before it ran 753% between February 2024 and February 2026. Nvidia before it ran 1,178% between January 2023 and February 2026. Each week it produces 6 new names that pass the same tests. Get Our Top 6 Stocks for Free HERE.
Stocks that have made our list include now familiar names such as Nvidia (+1,460% between June 2020 and June 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+1,154% between June 2020 and June 2025). Find your next big winner with StockStory today.
