Truist's Path to Long-Term Growth: Branching Out and Going Digital

Zacks Investment Research - Thu Aug 21, 9:04AM CDT Contributor Content

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Truist Financial TFC has announced a multi‑year growth plan, blending traditional branch expansion with cutting‑edge digital banking. The strategy underscores the company’s aim to capture growth opportunities in dynamic U.S. markets while enhancing its digital capabilities.

TFC Expands Branch Network & Accelerates Digital Capabilities

Over the next five years, Truist plans to open 100 new branches and renovate more than 300 existing locations in high‑growth opportunity cities, including Atlanta, Austin, Charlotte, Dallas, Miami, Orlando, Philadelphia and Washington, DC. These branches will feature modern designs, technology integration and advisory spaces. The initiative is aimed at serving mass affluent and Premier clients more effectively while maintaining a strong physical presence in vibrant markets.

Digital adoption continues to grow rapidly at Truist, with digital openings now comprising 43% of all new accounts. In the second quarter of 2025 alone, the bank added roughly 37,000 new checking accounts, reflecting strong digital engagement. Platforms such as LightStream by Truist strengthen its digital lending franchise, while innovations like artificial intelligence (AI)-powered Truist Assist and the Truist Insights platform deliver personalized, real‑time financial guidance. To enhance user experience and protect clients, Truist is introducing smarter appointment scheduling, seamless account onboarding and advanced fraud prevention tools. AI‑driven monitoring and identity verification, both in‑branch and digital, reflect the company’s commitment to trust and safety.

Truist Enhancing Commercial Banking

Truist is also investing in its business banking ecosystem. The launch of Truist Merchant Engage, powered by Pollinate, modernizes payments for small and midsize businesses by integrating banking and payment services. This initiative aligns with the company’s goal to deliver scalable, digitally driven business solutions that enhance efficiency and provide actionable insights.

The bank has strengthened its Commercial and Corporate Banking division through strategic hiring across key industries, including healthcare, energy, technology and consumer sectors. This talent expansion supports Truist’s national strategy to deliver tailored solutions to complex corporate clients.

Our Take on Truist’s Expansion Initiative

Truist’s multi‑pronged strategy signals a disciplined growth trajectory anchored in both physical expansion and digital innovation. By enhancing client engagement, modernizing payments and scaling business banking, it aims to boost fee income, loan growth and operational efficiency. Together with a strong capital base and targeted talent investments, the bank is well‑placed to deliver sustainable earnings growth and enhanced shareholder returns over the long term.

Additionally, Truist’s branch expansion strategy positions it directly against its peers like PNC Financial PNC, Fifth Third Bancorp FITB and Huntington HBAN. These major regional players are aggressively growing in the Southeast and Sun Belt. PNC Financial doubled its branch network to 200, focusing on several cities that Truist is targeting. Likewise, Fifth Third plans 200 new branches by 2028, while Huntington is pursuing acquisitions, including its $1.9 billion Veritex deal in Dallas, to expand its footprint. Shares of TFC have gained 12.4% in the past three months, outperforming the industry’s rally of 11.6%.

Truist's Path To Long-Term Growth: Branching Out And Going Digital

Truist Financial Corporation (TFC) announced a five‑year growth plan that combines opening 100 new branches and renovating 300 existing ones in high‑growth U.S. cities with a rapid expansion of digital banking services. The bank reports that 43% of new accounts are now digital, added 37,000 checking accounts in Q2 2025, and is launching AI‑powered tools such as Truist Assist and Truist Insights. TFC also rolled out Truist Merchant Engage, powered by Pollinate, to modernize payments for small and midsize businesses, and has strengthened its Commercial and Corporate Banking division through strategic hiring. The strategy aims to boost fee income, loan growth, and operational efficiency, positioning TFC competitively against peers like PNC, Fifth Third, and Huntington.