Texas Capital Bancshares (NASDAQ:TCBI) Downgraded to "Hold" Rating by Zacks Research

Key Points

• Texas Capital Bancshares has been downgraded by Zacks Research from a "strong-buy" rating to a "hold" rating, amid mixed reviews from other analysts.
• The company's stock has a current consensus rating of "Hold" with a price target of $84.23.
• TCBI shares recently traded down by 5.8%, with the stock currently priced at $80.18.

Texas Capital Bancshares (NASDAQ:TCBI - Get Free Report) was downgraded by analysts at Zacks Research from a "strong-buy" rating to a "hold" rating in a note issued to investors on Thursday,Zacks.com reports.

Several other equities research analysts also recently issued reports on TCBI. Barclays set a $85.00 target price on shares of Texas Capital Bancshares and gave the company an "underweight" rating in a research note on Wednesday. Wall Street Zen upgraded shares of Texas Capital Bancshares from a "sell" rating to a "hold" rating in a research report on Sunday, July 13th. Hovde Group raised their price objective on shares of Texas Capital Bancshares from $75.00 to $95.00 and gave the stock a "market perform" rating in a research report on Friday, July 18th. Citigroup raised their price objective on shares of Texas Capital Bancshares from $69.00 to $79.00 and gave the stock a "sell" rating in a research report on Friday, July 18th. Finally, Weiss Ratings restated a "hold (c)" rating on shares of Texas Capital Bancshares in a research report on Wednesday. Three investment analysts have rated the stock with a Buy rating, eleven have assigned a Hold rating and three have given a Sell rating to the company's stock. Based on data from MarketBeat, the stock presently has a consensus rating of "Hold" and a consensus price target of $84.23.

Texas Capital Bancshares Trading Down 5.8%

Shares of NASDAQ:TCBI opened at $80.18 on Thursday. Texas Capital Bancshares has a 52-week low of $59.37 and a 52-week high of $94.61. The company has a market capitalization of $3.67 billion, a P/E ratio of 31.82, a price-to-earnings-growth ratio of 0.70 and a beta of 0.67. The company has a 50-day simple moving average of $84.99 and a 200 day simple moving average of $78.65. The company has a debt-to-equity ratio of 0.19, a quick ratio of 1.00 and a current ratio of 1.00.

Texas Capital Bancshares (NASDAQ:TCBI - Get Free Report) last issued its earnings results on Thursday, July 17th. The bank reported $1.63 earnings per share (EPS) for the quarter, beating the consensus estimate of $1.28 by $0.35. Texas Capital Bancshares had a net margin of 6.79% and a return on equity of 10.36%. The business had revenue of $307.46 million during the quarter, compared to the consensus estimate of $298.90 million. During the same period last year, the business posted $0.80 EPS. Sell-side analysts forecast that Texas Capital Bancshares will post 5.84 earnings per share for the current year.

Institutional Investors Weigh In On Texas Capital Bancshares

Hedge funds and other institutional investors have recently made changes to their positions in the business. AQR Capital Management LLC increased its stake in Texas Capital Bancshares by 84.8% in the first quarter. AQR Capital Management LLC now owns 1,432,771 shares of the bank's stock valued at $105,395,000 after acquiring an additional 657,630 shares during the last quarter. Norges Bank bought a new position in Texas Capital Bancshares in the second quarter valued at approximately $45,364,000. Azora Capital LP increased its stake in Texas Capital Bancshares by 141.3% in the second quarter. Azora Capital LP now owns 930,014 shares of the bank's stock valued at $73,843,000 after acquiring an additional 544,590 shares during the last quarter. Nuveen LLC bought a new position in Texas Capital Bancshares in the first quarter valued at approximately $25,808,000. Finally, Texas Capital Bank Wealth Management Services Inc increased its stake in Texas Capital Bancshares by 2,249.3% in the first quarter. Texas Capital Bank Wealth Management Services Inc now owns 249,401 shares of the bank's stock valued at $18,630,000 after acquiring an additional 238,785 shares during the last quarter. 96.88% of the stock is currently owned by institutional investors and hedge funds.

About Texas Capital Bancshares

Texas Capital Bancshares, Inc operates as the bank holding company for Texas Capital Bank, is a full-service financial services firm that delivers customized solutions to businesses, entrepreneurs, and individual customers. The company offers commercial banking; consumer banking; investment banking solutions, including capital markets, mergers and acquisitions, and syndicated finance, as well as financial sponsor coverage, capital solutions, and institutional services; and wealth management services, such as investment management, financial planning, lockbox and insurance, securities-based lending, estate planning, and business succession, as well as philanthropic, trustee and executor, custom credit, and depository services.

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