Texas Capital Bancshares (NASDAQ:TCBI) Announces Earnings Results

Texas Capital Bancshares (NASDAQ:TCBI) issued its quarterly earnings results on Thursday. The bank reported $1.58 earnings per share (EPS) for the quarter, topping the consensus estimate of $1.41 by $0.17, FiscalAI reports. Texas Capital Bancshares had a net margin of 16.52% and a return on equity of 10.05%. The business had revenue of $323.99 million for the quarter, compared to analysts’ expectations of $318.10 million. During the same quarter in the prior year, the company earned $0.92 earnings per share. The business’s quarterly revenue was up 15.5% on a year-over-year basis.

Here are the key takeaways from Texas Capital Bancshares’ conference call:

• Adjusted EPS rose 72% year‑over‑year to $1.58, total revenue increased 16% and non‑interest revenue grew 56% with record fee income, driving continued PPNR expansion and stronger revenue diversification.
• The firm returned capital and signaled confidence—repurchasing roughly $75M of stock in Q1 and initiating a $0.20 quarterly common dividend—while maintaining CET1 of 11.99% and TCE/TA of 9.87%.
• Management reorganized to accelerate growth and scale, naming Matt Scurlock President, appointing a new COO, creating a head of Private Bank & Family Office, and hiring a CHRO to align talent with strategy.
• Credit strain remains in pockets of the portfolio—Q1 net charge‑offs were $17.4M and select CRE multifamily credits were downgraded—though the allowance stands at $331M and management is planning provisions of 35–40 bps (ex‑mortgage finance).
• Mortgage finance volumes were elevated and volatile (period‑end ~ $7.0B) with 67% in enhanced credit structures; management expects a 70–80% self‑funding ratio and Q2 NII of $260–265M with margin ~3.35–3.40%.

Texas Capital Bancshares Stock Up 1.2%

Texas Capital Bancshares stock traded up $1.27 during trading on Thursday, reaching $103.81. The stock had a trading volume of 132,140 shares, compared to its average volume of 461,482. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.19. Texas Capital Bancshares has a 52-week low of $66.25 and a 52-week high of $108.92. The stock has a market cap of $4.59 billion, a PE ratio of 15.26, a P/E/G ratio of 0.96 and a beta of 0.67. The business has a 50 day moving average price of $97.64 and a 200 day moving average price of $93.74.

Wall Street Analysts Forecast Growth

Several equities research analysts recently weighed in on TCBI shares. Citigroup upped their target price on shares of Texas Capital Bancshares from $75.00 to $88.00 and gave the stock a “sell” rating in a research note on Monday, January 26th. Piper Sandler raised their price target on shares of Texas Capital Bancshares from $86.00 to $96.00 and gave the company a “neutral” rating in a research report on Friday, January 23rd. Weiss Ratings restated a “buy (b-)” rating on shares of Texas Capital Bancshares in a research note on Wednesday, January 28th. Zacks Research lowered Texas Capital Bancshares from a “strong-buy” rating to a “hold” rating in a research report on Monday, March 30th. Finally, TD Cowen lifted their target price on Texas Capital Bancshares from $103.00 to $110.00 and gave the company a “hold” rating in a report on Monday, January 26th. Four equities research analysts have rated the stock with a Buy rating, seven have given a Hold rating and three have given a Sell rating to the company’s stock. According to data from MarketBeat.com, the stock has an average rating of “Hold” and a consensus target price of $100.75.

Insider Buying and Selling at Texas Capital Bancshares

In other Texas Capital Bancshares news, Director Laura L. Whitley bought 500 shares of the company’s stock in a transaction that occurred on Monday, January 26th. The shares were purchased at an average price of $97.51 per share, with a total value of $48,755.00. Following the completion of the acquisition, the director directly owned 7,961 shares of the company’s stock, valued at $776,277.11. This represents a 6.70% increase in their position. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which can be accessed through this link. Also, Director Paola M. Arbour purchased 1,000 shares of the business’s stock in a transaction on Wednesday, March 11th. The stock was acquired at an average price of $91.50 per share, for a total transaction of $91,500.00. Following the completion of the purchase, the director owned 6,671 shares of the company’s stock, valued at $610,396.50. This represents a 17.63% increase in their ownership of the stock. The disclosure for this purchase is available in the SEC filing. In the last three months, insiders have bought 49,500 shares of company stock valued at $1,252,855. Insiders own 1.91% of the company’s stock.

Institutional Investors Weigh In On Texas Capital Bancshares

Several institutional investors have recently added to or reduced their stakes in the business. Danske Bank A S purchased a new stake in Texas Capital Bancshares during the third quarter worth approximately $25,000. Advisory Services Network LLC purchased a new position in Texas Capital Bancshares in the third quarter valued at approximately $32,000. Smartleaf Asset Management LLC raised its holdings in Texas Capital Bancshares by 147.1% during the fourth quarter. Smartleaf Asset Management LLC now owns 519 shares of the bank’s stock worth $48,000 after purchasing an additional 309 shares in the last quarter. Caitong International Asset Management Co. Ltd raised its holdings in Texas Capital Bancshares by 793.3% during the third quarter. Caitong International Asset Management Co. Ltd now owns 536 shares of the bank’s stock worth $45,000 after purchasing an additional 476 shares in the last quarter. Finally, EverSource Wealth Advisors LLC lifted its position in shares of Texas Capital Bancshares by 452.6% during the 2nd quarter. EverSource Wealth Advisors LLC now owns 746 shares of the bank’s stock worth $59,000 after buying an additional 611 shares during the last quarter. Hedge funds and other institutional investors own 96.88% of the company’s stock.

Texas Capital Bancshares Company Profile

Texas Capital Bancshares, Inc is a bank holding company headquartered in Dallas, Texas, operating through its wholly owned subsidiary, Texas Capital Bank. The company specializes in providing commercial banking services to middle-market companies, entrepreneurs, professional service firms, real estate developers, and not-for-profit organizations. Its broad range of offerings includes commercial lending, treasury and cash management, real estate finance, equipment finance, and energy lending, all designed to address the unique financial needs of businesses navigating growth and market challenges.

In addition to its core commercial banking capabilities, Texas Capital Bancshares delivers private banking and wealth management services for business owners and high-net-worth individuals.