Prosperity Bancshares (NYSE:PB) Price Target Raised to $79.00

Prosperity Bancshares (NYSE:PB) had its target price increased by Royal Bank Of Canada from $77.00 to $79.00 in a research note issued to investors on Thursday morning,Benzinga reports. They currently have a sector perform rating on the bank’s stock.

Other equities analysts also recently issued reports about the company. Piper Sandler lowered their price target on Prosperity Bancshares from $80.00 to $78.00 and set a “neutral” rating for the company in a report on Thursday. Citigroup boosted their price objective on shares of Prosperity Bancshares from $77.00 to $78.00 and gave the stock a “neutral” rating in a research report on Thursday. Stephens boosted their price objective on shares of Prosperity Bancshares from $85.00 to $87.00 and gave the stock an “overweight” rating in a research report on Thursday. Keefe, Bruyette & Woods restated an “outperform” rating on shares of Prosperity Bancshares in a report on Thursday. Finally, TD Cowen increased their target price on shares of Prosperity Bancshares from $78.00 to $80.00 and gave the company a “buy” rating in a research report on Thursday. One equities research analyst has rated the stock with a Strong Buy rating, seven have assigned a Buy rating, six have assigned a Hold rating and two have given a Sell rating to the company. Based on data from MarketBeat.com, the stock presently has an average rating of “Hold” and a consensus target price of $78.36.

Prosperity Bancshares Stock Down 0.8%

Shares of NYSE PB opened at $71.98 on Thursday. The company has a market capitalization of $7.26 billion, a price-to-earnings ratio of 13.09, a price-to-earnings-growth ratio of 0.80 and a beta of 0.66. The company has a debt-to-equity ratio of 0.01, a current ratio of 0.77 and a quick ratio of 0.75. The business has a 50-day moving average of $69.52 and a two-hundred day moving average of $70.35. Prosperity Bancshares has a 1 year low of $63.20 and a 1 year high of $77.20.

Prosperity Bancshares (NYSE:PB) last released its quarterly earnings data on Wednesday, October 28th. The bank reported $1.67 EPS for the quarter, beating analysts’ consensus estimates of $1.35 by $0.32. Prosperity Bancshares had a return on equity of 7.68% and a net margin of 26.99%. The business had revenue of $495.70 million for the quarter, compared to the consensus estimate of $491.49 million. During the same quarter in the prior year, the business posted $1.45 EPS. The business’s revenue for the quarter was up 56.0% on a year-over-year basis. On average, analysts forecast that Prosperity Bancshares will post 6.46 earnings per share for the current fiscal year.

Prosperity Bancshares Increases Dividend

The business also recently declared a quarterly dividend, which will be paid on Monday, January 4th. Stockholders of record on Tuesday, December 15th will be paid a dividend of $0.64 per share. This represents a $2.56 annualized dividend and a dividend yield of 3.6%. This is a boost from Prosperity Bancshares’s previous quarterly dividend of $0.60. The ex-dividend date is Tuesday, December 15th. Prosperity Bancshares’s dividend payout ratio (DPR) is currently 43.64%.

Insider Buying and Selling

In other news, Director Ned Holmes sold 600 shares of the business’s stock in a transaction dated Wednesday, August 5th. The shares were sold at an average price of $74.61, for a total transaction of $44,766.00. Following the transaction, the director directly owned 39,400 shares in the company, valued at $2,939,634. The trade was a 1.50% decrease in their ownership of the stock. The sale was disclosed in a legal filing with the SEC, which is available through this link. In the last ninety days, insiders have sold 13,800 shares of company stock worth $973,234. 3.96% of the stock is currently owned by corporate insiders.

Institutional Trading of Prosperity Bancshares

Several hedge funds and other institutional investors have recently made changes to their positions in PB. Soltis Investment Advisors LLC raised its position in Prosperity Bancshares by 4.4% during the third quarter. Soltis Investment Advisors LLC now owns 3,617 shares of the bank’s stock worth $239,000 after acquiring an additional 151 shares during the last quarter. Parkside Financial Bank & Trust grew its holdings in shares of Prosperity Bancshares by 52.0% during the second quarter. Parkside Financial Bank & Trust now owns 576 shares of the bank’s stock worth $42,000 after buying an additional 197 shares in the last quarter. Earned Wealth Advisors LLC grew its holdings in shares of Prosperity Bancshares by 6.2% during the first quarter. Earned Wealth Advisors LLC now owns 3,639 shares of the bank’s stock worth $244,000 after buying an additional 213 shares in the last quarter. Profund Advisors LLC raised its position in shares of Prosperity Bancshares by 6.7% in the third quarter. Profund Advisors LLC now owns 3,514 shares of the bank’s stock valued at $233,000 after buying an additional 221 shares during the last quarter. Finally, Farther Finance Advisors LLC raised its position in shares of Prosperity Bancshares by 15.9% in the third quarter. Farther Finance Advisors LLC now owns 1,867 shares of the bank’s stock valued at $124,000 after buying an additional 256 shares during the last quarter. Institutional investors and hedge funds own 80.69% of the company’s stock.

Key Stories Impacting Prosperity Bancshares

Here are the key news stories impacting Prosperity Bancshares this week:

• Positive Sentiment: Strong Q3 results support the growth outlook. Prosperity Bancshares reported quarterly EPS of $1.67, exceeding the $1.35 consensus estimate, while revenue of $495.7 million also topped expectations. Revenue increased 56% year over year, and management highlighted approximately 41% asset growth. The results have raised expectations for margin-driven growth. Prosperity Bancshares Q3 Earnings Lift Hopes For Margin Driven Growth
• Positive Sentiment: StoneX upgraded PB to Buy. The upgrade indicates that the analyst sees sufficient upside in the bank’s earnings, balance-sheet expansion, or valuation following the quarterly report. Prosperity Bancshares trades higher as StoneX upgrades to Buy
• Positive Sentiment: Analysts raised their targets. Royal Bank of Canada increased its target from $77 to $79, while Citigroup lifted its target from $77 to $78. Although both firms retained relatively cautious “sector perform” or “neutral” ratings, the higher targets imply additional potential upside from the referenced share price. Royal Bank of Canada recommendations Citigroup recommendations
• Neutral Sentiment: Piper Sandler lowered its target but maintained a neutral rating. The target moved from $80 to $78, signaling more restrained expectations even though the revised target remains above the referenced trading level. Piper Sandler recommendations
• Neutral Sentiment: Late-trading European quotation provided little new fundamental information. PB was quoted at EUR 64.75 in late trading, but the item did not identify a new company development or catalyst. Prosperity Bancshares stock quoted at EUR 64.75 in late trading
• Negative Sentiment: A director sold a combined 1,100 shares. Ned Holmes sold shares worth approximately $77,000 in two transactions. The sales were small relative to his remaining holdings, but insider selling can create a minor overhang for sentiment. SEC insider ownership filing

Prosperity Bancshares Company Profile

Prosperity Bancshares, Inc is a regional bank holding company headquartered in Houston, Texas. Through its principal subsidiary, Prosperity Bank, the company provides banking and financial services to individuals, businesses, and public entities.

Prosperity Bank offers deposit products, commercial and consumer lending, mortgage and real estate lending, treasury management, online and mobile banking, and other traditional banking services. Its lending activities include financing for commercial businesses, agriculture, residential and commercial real estate, and personal needs.

Founded in 1983, Prosperity Bancshares has expanded primarily through organic growth and the acquisition of community banks.