Prosperity Bancshares, Inc. (NYSE:PB – Get Free Report) Director Ned Holmes sold 600 shares of the firm’s stock in a transaction on Wednesday, October 21st. The stock was sold at an average price of $68.24, for a total value of $40,944.00. Following the completion of the transaction, the director owned 38,300 shares in the company, valued at $2,613,592. The trade was a 1.54% decrease in their position. The sale was disclosed in a document filed with the SEC, which is available through this hyperlink.
Prosperity Bancshares Stock Up 2.4%
PB stock opened at $69.77 on Friday. Prosperity Bancshares, Inc. has a 52 week low of $62.28 and a 52 week high of $77.20. The business has a 50-day simple moving average of $69.89 and a 200 day simple moving average of $70.53. The company has a quick ratio of 0.75, a current ratio of 0.75 and a debt-to-equity ratio of 0.01. The company has a market cap of $7.04 billion, a PE ratio of 11.30, a price-to-earnings-growth ratio of 0.76 and a beta of 0.66.
Prosperity Bancshares (NYSE:PB – Get Free Report) last announced its quarterly earnings data on Wednesday, July 29th. The bank reported $1.62 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $1.50 by $0.12. Prosperity Bancshares had a net margin of 29.95% and a return on equity of 7.39%. The firm had revenue of $391.25 million for the quarter, compared to the consensus estimate of $380.73 million. During the same period in the prior year, the company posted $1.42 earnings per share. The business’s revenue for the quarter was up 25.9% on a year-over-year basis. Sell-side analysts anticipate that Prosperity Bancshares, Inc. will post 6.46 EPS for the current fiscal year.
Prosperity Bancshares Increases Dividend
The company also recently declared a quarterly dividend, which will be paid on Monday, January 4th. Stockholders of record on Tuesday, December 15th will be issued a dividend of $0.64 per share. This is a boost from Prosperity Bancshares’s previous quarterly dividend of $0.60. The ex-dividend date of this dividend is Tuesday, December 15th. This represents a $2.56 dividend on an annualized basis and a dividend yield of 3.7%. Prosperity Bancshares’s payout ratio is currently 41.59%.
Wall Street Analysts Forecast Growth
A number of brokerages recently issued reports on PB. Citigroup decreased their price objective on shares of Prosperity Bancshares from $79.00 to $77.00 and set a “neutral” rating on the stock in a research note on Tuesday, September 22nd. Barclays upped their target price on Prosperity Bancshares from $68.00 to $70.00 and gave the stock an “underweight” rating in a research note on Monday, October 5th. Raymond James Financial raised Prosperity Bancshares from a “market perform” rating to an “outperform” rating and set a $78.00 target price on the stock in a report on Tuesday, October 6th. Morgan Stanley lifted their price target on Prosperity Bancshares from $80.00 to $81.00 and gave the company an “underweight” rating in a research note on Monday, September 28th. Finally, Royal Bank Of Canada lowered their price target on Prosperity Bancshares from $80.00 to $77.00 and set a “sector perform” rating for the company in a report on Friday, October 9th. Six research analysts have rated the stock with a Buy rating, six have assigned a Hold rating and two have issued a Sell rating to the company’s stock. Based on data from MarketBeat.com, Prosperity Bancshares has a consensus rating of “Hold” and a consensus target price of $77.55.
View Our Latest Stock Analysis on PB
Key Prosperity Bancshares News
Here are the key news stories impacting Prosperity Bancshares this week:
- Positive Sentiment: The board increased the quarterly dividend to $0.64 per share from $0.60, a 6.7% increase. The annualized payout is $2.56 per share, implying a yield of approximately 3.7%; the dividend is payable January 4, 2027, to shareholders of record December 15. The increase signals confidence in cash generation and may appeal to income-focused investors. Prosperity Bancshares Increases Common Stock Dividend
- Positive Sentiment: Analyst commentary points to potential earnings growth and a possible earnings beat in the upcoming report. This follows the bank’s prior quarterly results, when it exceeded consensus earnings and revenue estimates, supporting the view that operating performance remains solid. Prosperity Bancshares Earnings Expected to Grow
- Neutral Sentiment: Investment manager Brown Advisory added PB to its Mid-Cap Growth Strategy portfolio. The purchase provides institutional validation, although the report does not disclose the size or timing of the position. Brown Advisory Adds Prosperity Bancshares to Its Portfolio
- Negative Sentiment: Director Ned Holmes reported two sales totaling 1,100 shares for approximately $75,000. The transactions reduced reported holdings by less than 2% each, making them relatively small, but insider selling can weigh modestly on sentiment.
- Negative Sentiment: Prosperity has completed three bank acquisitions in seven months while raising its dividend. Commentary highlights a first-quarter increase in loan losses and questions whether the company can fund both expansion and shareholder returns without weakening credit quality or capital flexibility. Prosperity Bancshares Acquisitions and Dividend Analysis
Institutional Investors Weigh In On Prosperity Bancshares
A number of hedge funds have recently made changes to their positions in the stock. Bull Harbor Capital LLC bought a new position in Prosperity Bancshares in the 1st quarter valued at approximately $1,019,000. Bank of New York Mellon Corp acquired a new stake in Prosperity Bancshares in the second quarter valued at approximately $57,877,000. First National Bank of Omaha bought a new stake in shares of Prosperity Bancshares during the second quarter worth $12,316,000. SummitTX Capital L.P. bought a new stake in shares of Prosperity Bancshares during the first quarter worth $3,878,000. Finally, Bank of America Corp DE grew its stake in shares of Prosperity Bancshares by 11.6% during the first quarter. Bank of America Corp DE now owns 487,616 shares of the bank’s stock worth $32,758,000 after buying an additional 50,575 shares during the last quarter. 80.69% of the stock is currently owned by institutional investors and hedge funds.
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.
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