Bank of America Corp DE Takes $35.20 Million Position in Prosperity Bancshares, Inc. $PB

Key Points

• Bank of America acquired a new $35.2 million stake in Prosperity Bancshares during the second quarter, purchasing 481,953 shares and owning approximately 0.48% of the bank.
• Prosperity Bancshares reported quarterly EPS of $1.62, beating estimates of $1.50, while revenue rose 25.9% year over year to $391.25 million. The company also declared a quarterly dividend of $0.60 per share, implying a 3.4% yield.
• Analysts maintain a generally cautious outlook, with a consensus “Hold” rating and average price target of $78.36; institutional investors own 80.69% of the stock.

Bank of America Corp DE acquired a new position in Prosperity Bancshares, Inc. (NYSE:PB - Free Report) in the 2nd quarter, according to the company in its most recent Form 13F filing with the Securities & Exchange Commission. The firm acquired 481,953 shares of the bank's stock, valued at approximately $35,197,000. Bank of America Corp DE owned about 0.48% of Prosperity Bancshares at the end of the most recent reporting period.

Other hedge funds have also added to or reduced their stakes in the company. SouthState Bank Corp bought a new stake in Prosperity Bancshares during the 4th quarter valued at $49,000. Global Retirement Partners LLC bought a new position in Prosperity Bancshares in the second quarter worth about $54,000. Eurizon Capital SGR S.p.A. purchased a new position in shares of Prosperity Bancshares in the 4th quarter worth approximately $55,000. Root Financial Partners LLC raised its stake in shares of 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 in the last quarter. Finally, Hantz Financial Services Inc. raised its stake in shares of Prosperity Bancshares by 61.3% during the 4th quarter. Hantz Financial Services Inc. now owns 1,962 shares of the bank's stock worth $136,000 after acquiring an additional 746 shares in the last quarter. 80.69% of the stock is currently owned by institutional investors.

Insider Activity

In related news, Director Ned Holmes sold 500 shares of Prosperity Bancshares stock in a transaction that occurred on Wednesday, September 16th. The stock was sold at an average price of $70.95, for a total transaction of $35,475.00. Following the transaction, the director owned 68,615 shares in the company, valued at approximately $4,868,234.25. This trade represents a 0.72% decrease in their ownership of the stock. The sale was disclosed in a filing with the SEC, which can be accessed through this link. Insiders sold 12,100 shares of company stock valued at $880,912 in the last ninety days. 3.96% of the stock is owned by corporate insiders.

Prosperity Bancshares Stock Performance

PB opened at $69.87 on Tuesday. Prosperity Bancshares, Inc. has a 52-week low of $61.06 and a 52-week high of $77.20. The firm's fifty day simple moving average is $72.89 and its two-hundred day simple moving average is $70.38. 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 $7.05 billion, a price-to-earnings ratio of 12.11, a PEG ratio of 0.76 and a beta of 0.63.

Prosperity Bancshares (NYSE:PB - Get Free Report) last released its earnings results 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 business had revenue of $391.25 million during the quarter, compared to analyst estimates of $380.73 million. During the same quarter in the prior year, the firm earned $1.42 earnings per share. The company's revenue for the quarter was up 25.9% compared to the same quarter last year. Equities analysts anticipate that Prosperity Bancshares, Inc. will post 6.48 earnings per share for the current fiscal year.

Prosperity Bancshares Dividend Announcement

The business also recently announced a quarterly dividend, which will be paid on Thursday, October 1st. Stockholders of record on Tuesday, September 15th will be issued a dividend of $0.60 per share. This represents a $2.40 annualized dividend and a dividend yield of 3.4%. The ex-dividend date is Tuesday, September 15th. Prosperity Bancshares's payout ratio is currently 41.59%.

Analyst Ratings Changes

Several brokerages have weighed in on PB. Benchmark initiated coverage on shares of Prosperity Bancshares in a research note on Wednesday, June 24th. They issued a "hold" rating for the company. Piper Sandler lifted their target price on shares of Prosperity Bancshares from $75.00 to $80.00 and gave the stock a "neutral" rating in a research note on Thursday, July 30th. Weiss Ratings raised Prosperity Bancshares from a "buy (b-)" rating to a "buy (b)" rating in a research report on Wednesday, July 29th. Wall Street Zen upgraded Prosperity Bancshares from a "sell" rating to a "hold" rating in a research note on Saturday, August 1st. Finally, Cantor Fitzgerald reissued an "overweight" rating and issued a $80.00 price objective on shares of Prosperity Bancshares in a report on Tuesday, June 23rd. Five analysts have rated the stock with a Buy rating, seven have issued a Hold rating and two have given a Sell rating to the company. According to data from MarketBeat.com, the company has a consensus rating of "Hold" and an average price target of $78.36.

Prosperity Bancshares Profile

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

Prosperity Bank offers a range of deposit products, including checking, savings and time deposit accounts, along with consumer, residential mortgage, commercial and real estate lending. Its services also include treasury management, cash management, online and mobile banking, wealth management and other financial solutions designed for personal and business customers.

Founded in 1983, Prosperity Bancshares has expanded through organic growth and acquisitions.

Want to see what other hedge funds are holding PB? Visit HoldingsChannel.com to get the latest 13F filings and insider trades for Prosperity Bancshares, Inc. (NYSE:PB - Free Report).

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest reporting and unbiased coverage. Please send any questions or comments about this story to contact@marketbeat.com.