Prosperity Bancshares (NYSE:PB) Coverage Initiated at Cantor Fitzgerald

Key Points

• Cantor Fitzgerald has initiated coverage on Prosperity Bancshares (NYSE:PB) with an "overweight" rating, indicating positive sentiment toward the bank's stock.
• Prosperity Bancshares recently reported earnings of $1.42 per share, exceeding analysts' expectations, and has shown a market capitalization of approximately $6.39 billion.
• In recent months, various analysts have adjusted their price targets for Prosperity Bancshares, with the consensus average target price set at $83.75.

Cantor Fitzgerald initiated coverage on shares of Prosperity Bancshares (NYSE:PB - Free Report) in a research note published on Tuesday, September 9th, MarketBeat.com reports. The brokerage issued an overweight rating and a $78.00 price objective on the bank's stock.

Several other research firms have also recently issued reports on PB. 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 target price for the company. Hovde Group decreased 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. Wall Street Zen upgraded shares of Prosperity Bancshares from a "sell" rating to a "hold" rating in a research note on Tuesday, May 13th. Citigroup boosted their target price on shares of Prosperity Bancshares from $76.00 to $78.00 and gave the company a "buy" rating in a research note on Tuesday, August 26th. Finally, Piper Sandler decreased their target price 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. Ten research analysts have rated the stock with a Buy rating and seven have given a Hold rating to the company. Based on data from MarketBeat, Prosperity Bancshares has an average rating of "Moderate Buy" and an average target price of $83.13.

Prosperity Bancshares Trading Down 1.3%

Shares of PB stock traded down $0.88 during trading hours on Tuesday, hitting $64.98. The company's stock had a trading volume of 389,436 shares, compared to its average volume of 719,994. The company has a 50 day moving average of $68.97 and a 200 day moving average of $69.41. The stock has a market cap of $6.17 billion, a PE ratio of 11.82, a price-to-earnings-growth ratio of 1.02 and a beta of 0.74. Prosperity Bancshares has a 12-month low of $61.57 and a 12-month high of $86.75.

Prosperity Bancshares (NYSE:PB - Get Free Report) last posted 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 firm had revenue of $310.70 million during the quarter, compared to analysts' expectations of $315.66 million. During the same period in the previous year, the business posted $1.22 EPS. As a group, analysts anticipate that Prosperity Bancshares will post 5.83 earnings per share for the current fiscal year.

Prosperity Bancshares Dividend Announcement

The company also recently disclosed a quarterly dividend, which will be paid on Wednesday, October 1st. Investors of record on Monday, September 15th will be issued a $0.58 dividend. The ex-dividend date of this dividend is Monday, September 15th. This represents a $2.32 dividend on an annualized basis and a dividend yield of 3.6%. Prosperity Bancshares's dividend payout ratio is currently 42.18%.

Insider Activity

In related news, Director Ned S. Holmes sold 500 shares of the company's stock in a transaction dated Wednesday, September 10th. The shares were sold at an average price of $67.19, for a total value of $33,595.00. Following the completion of the sale, the director owned 93,415 shares of the company's stock, valued at approximately $6,276,553.85. This represents a 0.53% decrease in their ownership of the stock. The sale was disclosed in a document filed with the SEC, which can be accessed through this link. Insiders have sold a total of 15,400 shares of company stock valued at $1,069,500 over the last ninety days. Corporate insiders own 4.20% of the company's stock.

Institutional Investors Weigh In On Prosperity Bancshares

A number of hedge funds have recently modified their holdings of PB. Ameriprise Financial Inc. grew its holdings in shares of Prosperity Bancshares by 7.3% in the fourth quarter. Ameriprise Financial Inc. now owns 319,320 shares of the bank's stock valued at $24,065,000 after purchasing an additional 21,857 shares during the period. Bank of America Corp DE boosted its stake in Prosperity Bancshares by 4.3% during the fourth quarter. Bank of America Corp DE now owns 259,125 shares of the bank's stock worth $19,525,000 after buying an additional 10,622 shares during the period. Cetera Investment Advisers boosted its stake in Prosperity Bancshares by 5.9% during the fourth quarter. Cetera Investment Advisers now owns 7,675 shares of the bank's stock worth $578,000 after buying an additional 427 shares during the period. Deutsche Bank AG boosted its stake in Prosperity Bancshares by 10.6% during the fourth quarter. Deutsche Bank AG now owns 6,194 shares of the bank's stock worth $467,000 after buying an additional 592 shares during the period. Finally, Lazard Asset Management LLC purchased a new position in Prosperity Bancshares during the fourth quarter worth about $270,000. Hedge funds and other institutional investors own 80.69% of the company's stock.

About Prosperity Bancshares

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.