Prosperity Bancshares (NYSE:PB) Stock Rating Raised to “Strong-Buy” at Stonex Financia

Prosperity Bancshares (NYSE:PB) was upgraded by equities researchers at Stonex Financia from a “hold” rating to a “strong-buy” rating in a note issued to investors on Thursday, Zacks reports.

PB has been the subject of several other research reports. Royal Bank Of Canada raised their price target on shares of Prosperity Bancshares from $77.00 to $79.00 and gave the company a “sector perform” rating in a research note on Thursday. Citigroup increased their price objective on Prosperity Bancshares from $77.00 to $78.00 and gave the company a “neutral” rating in a report on Thursday. Stephens raised their target price on Prosperity Bancshares from $85.00 to $87.00 and gave the stock an “overweight” rating in a research report on Thursday. Raymond James Financial raised Prosperity Bancshares from a “market perform” rating to an “outperform” rating and set a $78.00 target price for the company in a research report on Tuesday, October 6th. Finally, Piper Sandler cut their target price on Prosperity Bancshares from $80.00 to $78.00 and set a “neutral” rating on the stock in a report on Thursday. One research analyst has rated the stock with a Strong Buy rating, seven have given a Buy rating, six have given a Hold rating and two have assigned a Sell rating to the stock. According to data from MarketBeat, Prosperity Bancshares currently has a consensus rating of “Hold” and an average target price of $78.36.

Prosperity Bancshares Price Performance

Shares of NYSE:PB opened at $71.98 on Thursday. The firm has a 50 day moving average of $69.52 and a 200-day moving average of $70.35. The stock has a market capitalization of $7.26 billion, a PE ratio of 11.61, a PEG ratio of 0.80 and a beta of 0.66. The company has a current ratio of 0.77, a quick ratio of 0.75 and a debt-to-equity ratio of 0.01. Prosperity Bancshares has a 12 month low of $63.20 and a 12 month high of $77.20.

Prosperity Bancshares (NYSE:PB) last announced its quarterly earnings data on Wednesday, October 28th. The bank reported $1.67 earnings per share for the quarter, topping the consensus estimate 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 during the quarter, compared to the consensus estimate of $491.49 million. During the same period in the prior year, the company earned $1.45 EPS. Prosperity Bancshares’s revenue for the quarter was up 56.0% on a year-over-year basis. On average, equities research analysts predict that Prosperity Bancshares will post 6.46 EPS for the current fiscal year.

Insider Transactions at Prosperity Bancshares

In related news, Director Ned Holmes sold 600 shares of the stock in a transaction on Wednesday, August 5th. The stock was sold at an average price of $74.61, for a total value of $44,766.00. Following the transaction, the director directly owned 39,400 shares in the company, valued at $2,939,634. This trade represents a 1.50% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at this link. Insiders sold a total of 13,800 shares of company stock valued at $973,234 in the last 90 days. 3.96% of the stock is currently owned by corporate insiders.

Institutional Investors Weigh In On Prosperity Bancshares

Several institutional investors have recently bought and sold shares of PB. Provenance Wealth Advisors LLC purchased a new stake in shares of Prosperity Bancshares in the third quarter worth $25,000. Parkside Financial Bank & Trust lifted its position in Prosperity Bancshares by 52.0% in the 2nd quarter. Parkside Financial Bank & Trust now owns 576 shares of the bank’s stock worth $42,000 after buying an additional 197 shares during the last quarter. Global Retirement Partners LLC purchased a new stake in shares of Prosperity Bancshares in the 2nd quarter valued at $54,000. MADDEN SECURITIES Corp purchased a new stake in Prosperity Bancshares during the third quarter valued at about $67,000. Finally, Root Financial Partners LLC grew its position in Prosperity Bancshares by 310.6% during the 1st quarter. Root Financial Partners LLC now owns 1,162 shares of the bank’s stock worth $78,000 after acquiring an additional 879 shares during the last quarter. Institutional investors own 80.69% of the company’s stock.

Prosperity Bancshares News Summary

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

About Prosperity Bancshares

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.