Hsbc Holdings PLC Raises Stock Holdings in Cullen/Frost Bankers, Inc. $CFR

Key Points

• HSBC Holdings PLC increased its stake in Cullen/Frost Bankers by 85.7% in the fourth quarter, buying an additional 31,101 shares and bringing its total holdings to 67,379 shares valued at about $8.56 million.
• Cullen/Frost Bankers reported better-than-expected earnings for the latest quarter, posting $2.65 EPS versus the $2.49 consensus, though revenue came in slightly below estimates.
• The bank also raised its quarterly dividend to $1.03 per share from $1.00, implying an annualized yield of about 2.7%; meanwhile, analysts currently rate the stock a consensus Hold.

Hsbc Holdings PLC raised its stake in Cullen/Frost Bankers, Inc. (NYSE:CFR - Free Report) by 85.7% during the 4th quarter, according to its most recent disclosure with the Securities and Exchange Commission (SEC). The fund owned 67,379 shares of the bank's stock after purchasing an additional 31,101 shares during the period. Hsbc Holdings PLC owned 0.11% of Cullen/Frost Bankers worth $8,564,000 as of its most recent filing with the Securities and Exchange Commission (SEC).

A number of other large investors have also added to or reduced their stakes in CFR. M&T Bank Corp increased its position in Cullen/Frost Bankers by 13.5% during the 4th quarter. M&T Bank Corp now owns 109,154 shares of the bank's stock valued at $13,822,000 after buying an additional 12,990 shares in the last quarter. Concurrent Investment Advisors LLC boosted its holdings in Cullen/Frost Bankers by 863.1% in the fourth quarter. Concurrent Investment Advisors LLC now owns 21,448 shares of the bank's stock worth $2,716,000 after acquiring an additional 19,221 shares in the last quarter. ProShare Advisors LLC grew its stake in shares of Cullen/Frost Bankers by 3.7% during the fourth quarter. ProShare Advisors LLC now owns 268,194 shares of the bank's stock worth $33,961,000 after acquiring an additional 9,612 shares during the last quarter. Marshall Financial Group LLC acquired a new position in shares of Cullen/Frost Bankers during the fourth quarter valued at about $1,142,000. Finally, Tudor Investment Corp ET AL increased its stake in Cullen/Frost Bankers by 915.0% during the 3rd quarter. Tudor Investment Corp ET AL now owns 43,036 shares of the bank's stock valued at $5,456,000 after purchasing an additional 38,796 shares in the last quarter. 86.90% of the stock is currently owned by institutional investors.

Cullen/Frost Bankers Stock Performance

CFR opened at $155.18 on Friday. The firm has a fifty day moving average price of $141.73 and a 200 day moving average price of $138.38. Cullen/Frost Bankers, Inc. has a 1 year low of $119.00 and a 1 year high of $155.41. The stock has a market cap of $9.75 billion, a P/E ratio of 15.11, a P/E/G ratio of 3.86 and a beta of 0.55. The company has a debt-to-equity ratio of 0.05, a current ratio of 0.65 and a quick ratio of 0.65.

Cullen/Frost Bankers (NYSE:CFR - Get Free Report) last released its quarterly earnings results on Thursday, April 30th. The bank reported $2.65 EPS for the quarter, beating the consensus estimate of $2.49 by $0.16. The company had revenue of $574.84 million for the quarter, compared to analyst estimates of $587.28 million. Cullen/Frost Bankers had a net margin of 22.86% and a return on equity of 15.58%. During the same quarter last year, the business earned $2.30 earnings per share. Equities research analysts anticipate that Cullen/Frost Bankers, Inc. will post 10.54 earnings per share for the current year.

Cullen/Frost Bankers Increases Dividend

The firm also recently announced a quarterly dividend, which was paid on Monday, June 15th. Stockholders of record on Friday, May 29th were given a dividend of $1.03 per share. This is a boost from Cullen/Frost Bankers's previous quarterly dividend of $1.00. The ex-dividend date was Friday, May 29th. This represents a $4.12 dividend on an annualized basis and a dividend yield of 2.7%. Cullen/Frost Bankers's payout ratio is 40.12%.

Analyst Ratings Changes

A number of equities research analysts recently commented on CFR shares. Morgan Stanley dropped their target price on Cullen/Frost Bankers from $143.00 to $133.00 and set an "underweight" rating on the stock in a research report on Tuesday, March 31st. Weiss Ratings upgraded shares of Cullen/Frost Bankers from a "hold (c+)" rating to a "buy (b-)" rating in a research note on Monday, March 2nd. DA Davidson upped their price objective on shares of Cullen/Frost Bankers from $143.00 to $144.00 and gave the company a "neutral" rating in a report on Monday, May 4th. Citigroup increased their price objective on shares of Cullen/Frost Bankers from $125.00 to $131.00 and gave the stock a "sell" rating in a research note on Thursday, May 7th. Finally, TD Cowen raised shares of Cullen/Frost Bankers to a "strong-buy" rating in a report on Monday, April 13th. One investment analyst has rated the stock with a Strong Buy rating, four have issued a Buy rating, five have issued a Hold rating and two have assigned a Sell rating to the stock. According to MarketBeat, Cullen/Frost Bankers currently has a consensus rating of "Hold" and an average target price of $148.73.

Insider Buying and Selling at Cullen/Frost Bankers

In related news, EVP Carol Jean Severyn sold 837 shares of Cullen/Frost Bankers stock in a transaction dated Friday, June 12th. The stock was sold at an average price of $148.29, for a total value of $124,118.73. Following the completion of the transaction, the executive vice president owned 12,712 shares in the company, valued at $1,885,062.48. The trade was a 6.18% decrease in their position. The sale was disclosed in a document filed with the Securities & Exchange Commission, which is available at the SEC website. 1.14% of the stock is currently owned by corporate insiders.

Cullen/Frost Bankers Profile

Cullen/Frost Bankers, Inc is the holding company for Frost Bank, a Texas-chartered financial institution whose origins date back to 1868 in San Antonio. As one of the oldest banking organizations in the state, it offers a broad range of services to individuals, small and large businesses, and institutional clients. Core banking activities include commercial lending, deposit services, cash management and trade finance, while consumer products cover residential mortgages, personal lines of credit and home equity loans.

Beyond traditional banking, the company provides comprehensive treasury and equipment leasing solutions tailored to support working capital and capital expenditure requirements.

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