Citigroup Inc. Lowers Holdings in Prosperity Bancshares, Inc. $PB

Key Points

• Citigroup Inc. sold 4,058 shares of Prosperity Bancshares, reducing its holdings by 3.9%, and now owns approximately 0.11% of the bank valued at $7.17 million.
• Prosperity Bancshares announced a quarterly dividend of $0.58, which reflects a 3.5% annualized yield, with an ex-dividend date set for September 15.
• The bank reported $1.42 EPS for the last quarter, surpassing analysts' estimates, although revenue of $310.70 million fell short of expectations.

Citigroup Inc. decreased its holdings in Prosperity Bancshares, Inc. (NYSE:PB - Free Report) by 3.9% in the 1st quarter, according to the company in its most recent Form 13F filing with the SEC. The firm owned 100,555 shares of the bank's stock after selling 4,058 shares during the quarter. Citigroup Inc. owned 0.11% of Prosperity Bancshares worth $7,177,000 at the end of the most recent reporting period.

Other hedge funds and other institutional investors have also made changes to their positions in the company. Wealth Enhancement Advisory Services LLC boosted its stake in shares of Prosperity Bancshares by 8.2% in the first quarter. Wealth Enhancement Advisory Services LLC now owns 7,362 shares of the bank's stock valued at $525,000 after purchasing an additional 561 shares during the period. Principal Financial Group Inc. boosted its stake in shares of Prosperity Bancshares by 0.4% in the first quarter. Principal Financial Group Inc. now owns 219,056 shares of the bank's stock valued at $15,634,000 after purchasing an additional 855 shares during the period. Envestnet Asset Management Inc. boosted its stake in shares of Prosperity Bancshares by 1.8% in the first quarter. Envestnet Asset Management Inc. now owns 58,236 shares of the bank's stock valued at $4,156,000 after purchasing an additional 1,016 shares during the period. Teacher Retirement System of Texas boosted its stake in shares of Prosperity Bancshares by 23.1% in the first quarter. Teacher Retirement System of Texas now owns 21,818 shares of the bank's stock valued at $1,557,000 after purchasing an additional 4,098 shares during the period. Finally, PNC Financial Services Group Inc. boosted its stake in shares of Prosperity Bancshares by 9.2% in the first quarter. PNC Financial Services Group Inc. now owns 2,968 shares of the bank's stock valued at $212,000 after purchasing an additional 249 shares during the period. Hedge funds and other institutional investors own 80.69% of the company's stock.

Insider Activity at Prosperity Bancshares

In other news, Director Ned S. Holmes sold 600 shares of Prosperity Bancshares stock in a transaction on Wednesday, May 28th. The shares were sold at an average price of $70.30, for a total value of $42,180.00. Following the transaction, the director directly owned 45,600 shares of the company's stock, valued at $3,205,680. The trade was a 1.30% decrease in their position. The sale was disclosed in a legal filing with the SEC, which is available through this link. Over the last 90 days, insiders have sold 14,300 shares of company stock valued at $998,411. Insiders own 4.20% of the company's stock.

Prosperity Bancshares Stock Performance

PB stock traded down $0.2310 during midday trading on Thursday, reaching $67.4790. 867,794 shares of the company were exchanged, compared to its average volume of 915,499. Prosperity Bancshares, Inc. has a 1-year low of $61.57 and a 1-year high of $86.75. The stock's 50-day simple moving average is $69.53 and its 200 day simple moving average is $70.66. The company has a market cap of $6.41 billion, a price-to-earnings ratio of 12.27, a price-to-earnings-growth ratio of 1.02 and a beta of 0.71.

Prosperity Bancshares (NYSE:PB - Get Free Report) last released its quarterly earnings data on Wednesday, July 23rd. The bank reported $1.42 earnings per share for the quarter, topping 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 company had revenue of $310.70 million for the quarter, compared to analysts' expectations of $315.66 million. During the same quarter last year, the company earned $1.22 earnings per share. On average, research analysts anticipate that Prosperity Bancshares, Inc. will post 5.83 earnings per share for the current year.

Prosperity Bancshares Announces Dividend

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

Wall Street Analyst Weigh In

Several research firms have recently commented on PB. Piper Sandler lowered their price objective on shares of Prosperity Bancshares from $86.00 to $84.00 and set an "overweight" rating for the company in a research note on Thursday, July 24th. Wall Street Zen upgraded shares of Prosperity Bancshares from a "sell" rating to a "hold" rating in a research note on Tuesday, May 13th. Keefe, Bruyette & Woods decreased their price target on shares of Prosperity Bancshares from $95.00 to $90.00 and set an "outperform" rating for the company in a research note on Monday, May 5th. Royal Bank Of Canada decreased their price target on shares of Prosperity Bancshares from $85.00 to $78.00 and set a "sector perform" rating for the company in a research note on Thursday, April 24th. Finally, Jefferies Financial Group initiated coverage on shares of Prosperity Bancshares in a research note on Wednesday, May 21st. They issued a "buy" rating and a $85.00 price target for the company. Nine analysts have rated the stock with a Buy rating and six have assigned a Hold rating to the company. Based on data from MarketBeat.com, the company has an average rating of "Moderate Buy" and a consensus target price of $84.57.

Prosperity Bancshares 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.