National Bank Holdings’ second quarter results were shaped by disciplined loan and deposit pricing, targeted reductions in higher-risk lending segments, and ongoing expense management initiatives. Management described the period as one of "active caution," with CEO G. Timothy Laney highlighting efforts to decrease exposure in industries like trucking, agriculture, and commercial real estate while maintaining robust credit quality. The launch of the 2 Unifi digital platform also marked a significant milestone, although its financial impact is expected to build over time. CFO Nicole Van Denabeele emphasized that operating expenses were trimmed through personnel reductions and process automation, supporting improved profitability despite softer-than-expected revenue growth.

Is now the time to buy NBHC? Find out in our full research report (it’s free).

While we enjoy listening to the management's commentary, our favorite part of earnings calls are 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 National Bank Holdings’s Q2 Earnings Call

• Jeffrey Allen Rulis (D.A. Davidson): Asked if portfolio derisking is complete and whether loan growth will accelerate. CEO G. Timothy Laney stated most targeted reductions are done, with future loan growth now expected from stronger pipelines.

• Jeffrey Allen Rulis (D.A. Davidson): Inquired about margin expansion potential. President Aldis Birkans said deposit growth, especially in non-interest-bearing accounts, would be key to future margin increases.

• Unidentified Analyst (KBW): Sought details on the 2 Unifi launch and its revenue model. Laney described Unifi as a fee-driven, information-based platform, not designed to drive balance sheet growth.

• Robert Andrew Terrell (Stephens): Questioned whether deposit declines were tied to loan portfolio changes. Birkans confirmed deposit outflows were relationship-based, moving in tandem with loan reductions.

• Brett D. Rabatin (Hovde Group): Requested clarity on expense reduction sources. Van Denabeele said cuts were broad-based, focused on personnel and operational efficiency, with minimal restructuring charges incurred.

Catalysts in Upcoming Quarters

In the coming quarters, our analyst team will closely watch (1) the pace at which loan growth resumes following recent risk reductions, (2) user adoption and monetization progress for the 2 Unifi digital platform as marketing ramps up, and (3) the sustainability of expense controls amid ongoing investments in technology. Any changes in competitive loan pricing or shifts in the interest rate environment will also be important to monitor.

National Bank Holdings currently trades at $39.08, in line with $39.24 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).

Our Favorite Stocks Right Now

Trump’s April 2025 tariff bombshell triggered a massive market selloff, but stocks have since staged an impressive recovery, leaving those who panic sold on the sidelines.

Take advantage of the rebound by checking out our Top 5 Growth Stocks for this month. This is a curated list of our High Quality stocks that have generated a market-beating return of 183% over the last five years (as of March 31st 2025).

Stocks that made our list in 2020 include now familiar names such as Nvidia (+1,545% between March 2020 and March 2025) as well as under-the-radar businesses like the once-small-cap company Comfort Systems (+782% five-year return). Find your next big winner with StockStory today.

StockStory is growing and hiring equity analyst and marketing roles. Are you a 0 to 1 builder passionate about the markets and AI? See the open roles here.