Prosperity Bancshares (NYSE:PB) Stock Price Down 4.2% - Should You Sell?

Prosperity Bancshares, Inc. (NYSE:PB - Get Free Report) shares fell 4.2% on Wednesday . The stock traded as low as $69.78 and last traded at $69.82. 266,113 shares traded hands during trading, a decline of 56% from the average session volume of 604,679 shares. The stock had previously closed at $72.89.

Wall Street Analyst Weigh In

Several equities analysts recently weighed in on the stock. Keefe, Bruyette & Woods reduced 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 report on Monday, May 5th. Wall Street Zen upgraded Prosperity Bancshares from a "sell" rating to a "hold" rating in a research note on Tuesday, May 13th. Barclays cut their price target on Prosperity Bancshares from $88.00 to $86.00 and set an "equal weight" rating for the company in a research note on Tuesday, April 8th. Hovde Group cut 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 report on Thursday. Finally, Royal Bank Of Canada cut their price objective on shares of Prosperity Bancshares from $85.00 to $78.00 and set a "sector perform" rating for the company in a report on Thursday, April 24th. Seven analysts have rated the stock with a hold rating and ten have assigned a buy rating to the company. According to data from MarketBeat.com, Prosperity Bancshares currently has a consensus rating of "Moderate Buy" and a consensus price target of $84.27.

Prosperity Bancshares Stock Performance

The stock has a market cap of $6.42 billion, a P/E ratio of 12.25, a P/E/G ratio of 0.96 and a beta of 0.68. The stock has a 50-day moving average price of $70.84 and a 200-day moving average price of $72.18.

Prosperity Bancshares (NYSE:PB - Get Free Report) last announced its earnings results on Wednesday, July 23rd. The bank reported $1.42 earnings per share (EPS) for the quarter, beating the consensus estimate 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 period in the previous year, the business posted $1.22 earnings per share. Sell-side analysts forecast that Prosperity Bancshares, Inc. will post 5.83 earnings per share for the current fiscal year.

Prosperity Bancshares Dividend Announcement

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 given a $0.58 dividend. The ex-dividend date is Monday, September 15th. This represents a $2.32 dividend on an annualized basis and a yield of 3.44%. Prosperity Bancshares's payout ratio is 44.19%.

Insiders Place Their Bets

In related news, Director Ned S. Holmes sold 500 shares of the business's stock in a transaction that occurred on Wednesday, July 23rd. The stock was sold at an average price of $70.21, for a total value of $35,105.00. Following the completion of the sale, the director owned 96,915 shares in the company, valued at $6,804,402.15. The trade was a 0.51% decrease in their position. The transaction was disclosed in a filing with the SEC, which is available through the SEC website. In the last ninety days, insiders sold 12,500 shares of company stock valued at $885,446. Insiders own 4.20% of the company's stock.

Institutional Investors Weigh In On Prosperity Bancshares

A number of hedge funds have recently made changes to their positions in the business. Steph & Co. bought a new stake in shares of Prosperity Bancshares in the 2nd quarter valued at about $38,000. BI Asset Management Fondsmaeglerselskab A S bought a new stake in Prosperity Bancshares in the first quarter valued at approximately $48,000. IFP Advisors Inc lifted its position in Prosperity Bancshares by 1,251.4% in the second quarter. IFP Advisors Inc now owns 973 shares of the bank's stock valued at $68,000 after purchasing an additional 901 shares during the last quarter. Aster Capital Management DIFC Ltd raised its holdings in Prosperity Bancshares by 349.5% during the 4th quarter. Aster Capital Management DIFC Ltd now owns 917 shares of the bank's stock valued at $69,000 after buying an additional 713 shares during the last quarter. Finally, Parallel Advisors LLC raised its holdings in Prosperity Bancshares by 16.8% during the 2nd quarter. Parallel Advisors LLC now owns 978 shares of the bank's stock valued at $69,000 after buying an additional 141 shares during the last quarter. 80.69% of the stock is currently owned by institutional investors.

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.