TD Cowen Issues Pessimistic Forecast for Texas Capital Bancshares (NASDAQ:TCBI) Stock Price

Key Points

• TD Cowen lowered its price target for Texas Capital Bancshares from $109 to $106 while maintaining a “hold” rating; the broader analyst consensus is also “Hold,” with a $105.83 target.
• TCBI shares fell 0.8% to $98.50, despite the bank slightly exceeding quarterly EPS and revenue estimates. Quarterly revenue increased 9.1% year over year to $335.5 million.
• Insiders sold more than $10.3 million of stock over the past 90 days, including significant sales by the CEO and another insider, while institutional investors continue to own 96.88% of shares.

Texas Capital Bancshares (NASDAQ:TCBI - Get Free Report) had its target price cut by TD Cowen from $109.00 to $106.00 in a report issued on Monday,Benzinga reports. The brokerage currently has a "hold" rating on the bank's stock. TD Cowen's price objective points to a potential upside of 7.61% from the company's previous close.

Several other analysts have also issued reports on the company. Piper Sandler increased their price objective on Texas Capital Bancshares from $96.00 to $100.00 and gave the stock a "neutral" rating in a report on Friday, April 24th. Fundamental Research set a $110.00 target price on Texas Capital Bancshares in a research note on Wednesday, July 1st. Weiss Ratings reaffirmed a "buy (b)" rating on shares of Texas Capital Bancshares in a research report on Monday, July 6th. Citigroup raised their price target on Texas Capital Bancshares from $105.00 to $107.00 and gave the stock a "neutral" rating in a research note on Friday. Finally, Royal Bank Of Canada lifted their price target on Texas Capital Bancshares from $110.00 to $114.00 and gave the company a "sector perform" rating in a report on Friday, April 24th. Four research analysts have rated the stock with a Buy rating, seven have given a Hold rating and two have issued a Sell rating to the company. According to MarketBeat, the company presently has a consensus rating of "Hold" and a consensus price target of $105.83.

Texas Capital Bancshares Stock Down 0.8%

Shares of TCBI traded down $0.75 during trading hours on Monday, reaching $98.50. The company's stock had a trading volume of 150,519 shares, compared to its average volume of 490,342. The firm has a market cap of $4.28 billion, a price-to-earnings ratio of 12.81, a P/E/G ratio of 1.46 and a beta of 0.67. Texas Capital Bancshares has a 1-year low of $75.41 and a 1-year high of $108.92. The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.15. The company has a 50 day moving average of $101.32 and a two-hundred day moving average of $99.55.

Texas Capital Bancshares (NASDAQ:TCBI - Get Free Report) last posted its quarterly earnings results on Wednesday, July 22nd. The bank reported $1.88 EPS for the quarter, topping the consensus estimate of $1.87 by $0.01. Texas Capital Bancshares had a net margin of 17.90% and a return on equity of 10.86%. The business had revenue of $335.50 million during the quarter, compared to analysts' expectations of $333.37 million. During the same period last year, the company posted $1.63 earnings per share. The firm's quarterly revenue was up 9.1% compared to the same quarter last year. As a group, research analysts predict that Texas Capital Bancshares will post 7.41 EPS for the current fiscal year.

Insider Activity

In related news, insider Anna M. Alvarado sold 3,500 shares of the firm's stock in a transaction that occurred on Tuesday, June 9th. The stock was sold at an average price of $100.95, for a total value of $353,325.00. Following the transaction, the insider directly owned 23,810 shares of the company's stock, valued at approximately $2,403,619.50. This trade represents a 12.82% decrease in their position. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is accessible through this link. Also, CEO Rob C. Holmes sold 49,500 shares of the business's stock in a transaction that occurred on Monday, June 8th. The stock was sold at an average price of $101.22, for a total value of $5,010,390.00. Following the completion of the sale, the chief executive officer owned 167,635 shares of the company's stock, valued at approximately $16,968,014.70. This trade represents a 22.80% decrease in their ownership of the stock. The disclosure for this sale is available in the SEC filing. Over the last 90 days, insiders have sold 102,100 shares of company stock worth $10,366,023. Corporate insiders own 1.91% of the company's stock.

Institutional Trading of Texas Capital Bancshares

A number of institutional investors and hedge funds have recently modified their holdings of the company. Danske Bank A S acquired a new position in Texas Capital Bancshares in the 3rd quarter valued at $25,000. Farther Finance Advisors LLC grew its position in shares of Texas Capital Bancshares by 1,381.8% in the fourth quarter. Farther Finance Advisors LLC now owns 326 shares of the bank's stock valued at $30,000 after purchasing an additional 304 shares during the last quarter. Root Financial Partners LLC grew its position in shares of Texas Capital Bancshares by 85.2% in the first quarter. Root Financial Partners LLC now owns 326 shares of the bank's stock valued at $31,000 after purchasing an additional 150 shares during the last quarter. Advisory Services Network LLC bought a new position in shares of Texas Capital Bancshares in the third quarter worth about $32,000. Finally, Thurston Springer Miller Herd & Titak Inc. lifted its position in shares of Texas Capital Bancshares by 169.7% during the 4th quarter. Thurston Springer Miller Herd & Titak Inc. now owns 391 shares of the bank's stock worth $35,000 after purchasing an additional 246 shares during the last quarter. 96.88% of the stock is currently owned by institutional investors and hedge funds.

Texas Capital Bancshares Company Profile

Texas Capital Bancshares, Inc is a bank holding company headquartered in Dallas, Texas, operating through its wholly owned subsidiary, Texas Capital Bank. The company specializes in providing commercial banking services to middle-market companies, entrepreneurs, professional service firms, real estate developers, and not-for-profit organizations. Its broad range of offerings includes commercial lending, treasury and cash management, real estate finance, equipment finance, and energy lending, all designed to address the unique financial needs of businesses navigating growth and market challenges.

In addition to its core commercial banking capabilities, Texas Capital Bancshares delivers private banking and wealth management services for business owners and high-net-worth individuals.

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