Hsbc Holdings PLC Raises Stake in Prosperity Bancshares, Inc. $PB

Key Points

• Hsbc Holdings PLC increased its stake in Prosperity Bancshares by 2,115.2%, owning 87,589 shares valued at approximately $6.20 million as of the latest filing.
• Several institutional investors, including Dimensional Fund Advisors and Vaughan Nelson Investment Management, have also increased their holdings in Prosperity Bancshares, reflecting growing interest in the company.
• Prosperity Bancshares announced a quarterly dividend of $0.58 per share, with a yield of 3.4%, to be paid on October 1st.

Hsbc Holdings PLC grew its position in Prosperity Bancshares, Inc. (NYSE:PB - Free Report) by 2,115.2% during the 1st quarter, according to the company in its most recent disclosure with the Securities & Exchange Commission. The institutional investor owned 87,589 shares of the bank's stock after acquiring an additional 83,635 shares during the period. Hsbc Holdings PLC owned about 0.09% of Prosperity Bancshares worth $6,199,000 at the end of the most recent quarter.

Several other large investors have also recently added to or reduced their stakes in the company. NewEdge Advisors LLC raised its stake in shares of Prosperity Bancshares by 15.5% during the 4th quarter. NewEdge Advisors LLC now owns 5,333 shares of the bank's stock worth $402,000 after buying an additional 715 shares in the last quarter. Marshall Wace LLP increased its holdings in shares of Prosperity Bancshares by 201.3% in the 4th quarter. Marshall Wace LLP now owns 14,900 shares of the bank's stock valued at $1,123,000 after purchasing an additional 9,955 shares in the last quarter. Tower Research Capital LLC TRC boosted its holdings in Prosperity Bancshares by 107.5% during the fourth quarter. Tower Research Capital LLC TRC now owns 8,703 shares of the bank's stock worth $656,000 after buying an additional 4,508 shares in the last quarter. Price T Rowe Associates Inc. MD increased its holdings in Prosperity Bancshares by 7.8% in the fourth quarter. Price T Rowe Associates Inc. MD now owns 60,113 shares of the bank's stock valued at $4,530,000 after buying an additional 4,339 shares in the last quarter. Finally, Boothbay Fund Management LLC purchased a new stake in shares of Prosperity Bancshares during the 4th quarter worth approximately $241,000. 80.69% of the stock is owned by hedge funds and other institutional investors.

Prosperity Bancshares Stock Down 0.2%

Prosperity Bancshares stock traded down $0.13 on Friday, hitting $69.21. The company's stock had a trading volume of 769,674 shares, compared to its average volume of 949,543. The firm has a market cap of $6.57 billion, a P/E ratio of 12.58, a price-to-earnings-growth ratio of 1.04 and a beta of 0.74. The company has a fifty day moving average price of $69.75 and a 200-day moving average price of $70.12. Prosperity Bancshares, Inc. has a one year low of $61.57 and a one year high of $86.75.

Prosperity Bancshares (NYSE:PB - Get Free Report) last issued its quarterly earnings results on Wednesday, July 23rd. The bank reported $1.42 earnings per share for the quarter, beating analysts' consensus estimates of $1.40 by $0.02. Prosperity Bancshares had a net margin of 29.37% and a return on equity of 6.99%. The business had revenue of $310.70 million during the quarter, compared to analyst estimates of $315.66 million. During the same quarter last year, the business posted $1.22 earnings per share. Analysts anticipate that Prosperity Bancshares, Inc. will post 5.83 EPS for the current year.

Prosperity Bancshares Announces Dividend

The company also recently announced a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Monday, September 15th will be issued a dividend of $0.58 per share. This represents a $2.32 dividend on an annualized basis and a yield of 3.4%. The ex-dividend date is Monday, September 15th. Prosperity Bancshares's payout ratio is presently 42.18%.

Insider Transactions at Prosperity Bancshares

In other Prosperity Bancshares news, Director Ned S. Holmes sold 500 shares of the stock in a transaction dated Wednesday, August 27th. The shares were sold at an average price of $68.85, for a total value of $34,425.00. Following the transaction, the director directly owned 94,415 shares of the company's stock, valued at $6,500,472.75. This represents a 0.53% decrease in their position. The transaction was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders sold a total of 14,300 shares of company stock valued at $997,378 in the last 90 days. 4.20% of the stock is owned by corporate insiders.

Wall Street Analysts Forecast Growth

A number of research analysts have recently weighed in on PB shares. Wall Street Zen upgraded Prosperity Bancshares from a "sell" rating to a "hold" rating in a research report on Tuesday, May 13th. Piper Sandler lowered their target price on Prosperity Bancshares from $86.00 to $84.00 and set an "overweight" rating on the stock in a report on Thursday, July 24th. Jefferies Financial Group began coverage on Prosperity Bancshares in a research report on Wednesday, May 21st. They set a "buy" rating and a $85.00 price objective for the company. Keefe, Bruyette & Woods cut their price objective on shares of Prosperity Bancshares from $95.00 to $90.00 and set an "outperform" rating for the company in a research report on Monday, May 5th. Finally, Hovde Group lowered their target price on shares of Prosperity Bancshares from $85.00 to $83.00 and set an "outperform" rating for the company in a research note on Thursday, July 24th. Ten equities research analysts have rated the stock with a Buy rating and six have given a Hold rating to the company. According to data from MarketBeat.com, the stock has a consensus rating of "Moderate Buy" and a consensus target price of $84.13.

Prosperity Bancshares Company Profile

Prosperity Bancshares, Inc operates as bank holding company for the Prosperity Bank that provides financial products and services to businesses and consumers. It accepts various deposit products, such as demand, savings, money market, and time accounts, as well as and certificates of deposit. The company also offers 1-4 family residential mortgage, commercial real estate and multifamily residential, commercial and industrial, agricultural, and non-real estate agricultural loans, as well as construction, land development, and other land loans; consumer loans, including automobile, recreational vehicle, boat, home improvement, personal, and deposit account collateralized loans; term loans and lines of credit; and consumer durables and home equity loans, as well as loans for working capital, business expansion, and purchase of equipment and machinery.