Prosperity Bancshares’ (PB) Neutral Rating Reiterated at DA Davidson

Prosperity Bancshares (NYSE:PB)‘s stock had its “neutral” rating reissued by equities research analysts at DA Davidson in a research report issued to clients and investors on Thursday, MarketBeat reports. They presently have a $76.00 price objective on the bank’s stock. DA Davidson’s price objective suggests a potential upside of 10.73% from the stock’s current price.

PB has been the topic of several other reports. Weiss Ratings restated a “hold (c)” rating on shares of Prosperity Bancshares in a research note on Wednesday, October 8th. Stephens increased their target price on shares of Prosperity Bancshares from $77.00 to $81.00 and gave the stock an “overweight” rating in a research report on Thursday, October 30th. Barclays set a $75.00 target price on shares of Prosperity Bancshares in a report on Thursday. Royal Bank Of Canada cut their price target on Prosperity Bancshares from $78.00 to $72.00 and set a “sector perform” rating for the company in a research note on Friday, October 10th. Finally, TD Cowen restated a “buy” rating on shares of Prosperity Bancshares in a research note on Wednesday, January 7th. Seven investment analysts have rated the stock with a Buy rating and seven have issued a Hold rating to the company. Based on data from MarketBeat.com, Prosperity Bancshares presently has a consensus rating of “Moderate Buy” and an average price target of $79.31.

Prosperity Bancshares Trading Up 2.3%

Shares of PB traded up $1.52 during mid-day trading on Thursday, reaching $68.63. The company’s stock had a trading volume of 1,247,144 shares, compared to its average volume of 1,053,824. Prosperity Bancshares has a 1-year low of $61.06 and a 1-year high of $81.53. The business has a 50-day simple moving average of $70.86 and a two-hundred day simple moving average of $68.31. The stock has a market cap of $6.52 billion, a P/E ratio of 12.26, a PEG ratio of 0.95 and a beta of 0.68.

Prosperity Bancshares (NYSE:PB) last posted its quarterly earnings results on Wednesday, January 28th. The bank reported $1.46 earnings per share for the quarter, beating analysts’ consensus estimates of $1.45 by $0.01. Prosperity Bancshares had a return on equity of 7.06% and a net margin of 30.28%.The business had revenue of $317.73 million for the quarter, compared to analysts’ expectations of $319.30 million. During the same quarter in the prior year, the business earned $1.37 EPS. The firm’s revenue for the quarter was down 5.9% on a year-over-year basis. Research analysts anticipate that Prosperity Bancshares will post 5.83 EPS for the current year.

Insider Buying and Selling at Prosperity Bancshares

In other news, Director Ned S. Holmes sold 500 shares of the stock in a transaction on Wednesday, January 21st. The stock was sold at an average price of $74.29, for a total value of $37,145.00. Following the completion of the transaction, the director directly owned 83,915 shares in the company, valued at approximately $6,234,045.35. This represents a 0.59% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this hyperlink. Insiders have sold a total of 15,050 shares of company stock worth $1,056,009 over the last quarter. Insiders own 4.20% of the company’s stock.

Institutional Inflows and Outflows

Several large investors have recently bought and sold shares of PB. Mather Group LLC. acquired a new stake in shares of Prosperity Bancshares in the third quarter valued at about $26,000. Community Bank N.A. acquired a new stake in Prosperity Bancshares during the 3rd quarter valued at approximately $29,000. Danske Bank A S bought a new position in Prosperity Bancshares during the 3rd quarter worth approximately $40,000. Annis Gardner Whiting Capital Advisors LLC acquired a new position in shares of Prosperity Bancshares in the 3rd quarter worth approximately $42,000. Finally, Employees Retirement System of Texas bought a new stake in shares of Prosperity Bancshares in the 2nd quarter valued at $48,000. 80.69% of the stock is owned by institutional investors.

Key Stories Impacting Prosperity Bancshares

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

• Positive Sentiment: Analyst upgrade/price?target lift — Hovde raised its price target to $77 and kept an “outperform” view, signaling some analysts see upside after the deal and results. Finviz
• Positive Sentiment: Scale and market share gain — The $2.0B cash?and?stock deal for Stellar Bancorp would make Prosperity the second?largest Texas bank by deposits and strengthen its Houston/Dallas footprint, which could improve revenue growth and deposit mix over time. Benzinga
• Neutral Sentiment: Quarterly results were mixed — PB reported $1.46 EPS (beat by $0.01) and showed higher net interest income, but revenue was slightly below estimates and down ~6% YoY; operational metrics (ROE, net margin) remain intact. This explains the modestline?item reaction on fundamentals. Zacks earnings
• Negative Sentiment: Investor concern over the acquisition — Markets initially sold the stock following the Stellar announcement (reports note a roughly 8% intraday drop), reflecting worries about deal size, dilution, integration risk and the mix of cash vs. stock consideration. Coverage highlighting why PB shares dropped is driving the negative sentiment. Zacks on drop AAII analysis

About Prosperity Bancshares

Prosperity Bancshares, Inc is a holding company for Prosperity Bank, offering a broad range of commercial and consumer banking services across Texas, Oklahoma, Arkansas and Louisiana. Through its network of branches and digital platforms, the company provides deposit products, business and real estate lending, treasury management, mortgage origination and servicing, as well as wealth management and trust services.

Originally chartered in 1911 as First National Bank in McKinney, Texas, the organization rebranded to Prosperity Bank in 2009 following a series of strategic acquisitions aimed at deepening its regional presence.