Texas Capital Bancshares (NASDAQ:TCBI) Stock Passes Above Two Hundred Day Moving Average - Time to Sell?

Key Points

• Technical breakout: Texas Capital Bancshares recently crossed above its 200-day moving average (200‑day SMA $94.47), trading around $99.59 (high $101.88); analysts have a consensus Hold rating with an average price target of $102.08.
• Earnings beat and growth: The bank reported Q1 EPS of $1.58 versus $1.42 expected and revenue up 15.5% year-over-year to $323.99M, with a P/E of 13.39, PEG of 0.96 and market cap of about $4.35B.
• Insiders and dividend: Insiders have recently bought shares (46,500 shares purchased in the last 90 days; insiders own 1.91%), and the company declared a $0.20 quarterly dividend (0.8% yield; ex-dividend June 1, payable June 15).

Texas Capital Bancshares, Inc. (NASDAQ:TCBI - Get Free Report)'s stock price crossed above its two hundred day moving average during trading on Monday . The stock has a two hundred day moving average of $94.47 and traded as high as $101.88. Texas Capital Bancshares shares last traded at $99.59, with a volume of 363,788 shares.

Analysts Set New Price Targets

TCBI has been the subject of a number of research analyst reports. Weiss Ratings reissued a "buy (b-)" rating on shares of Texas Capital Bancshares in a report on Wednesday, January 28th. Piper Sandler increased their target price on shares of Texas Capital Bancshares from $96.00 to $100.00 and gave the company a "neutral" rating in a research note on Friday, April 24th. Barclays raised their target price on shares of Texas Capital Bancshares from $90.00 to $100.00 and gave the stock an "underweight" rating in a report on Friday, January 23rd. Stephens raised their price objective on Texas Capital Bancshares from $111.00 to $114.00 and gave the stock an "overweight" rating in a research note on Friday, January 23rd. Finally, Hovde Group lifted their target price on Texas Capital Bancshares from $93.00 to $102.00 and gave the stock a "market perform" rating in a report on Tuesday, January 27th. Four research analysts have rated the stock with a Buy rating, seven have issued a Hold rating and three have assigned a Sell rating to the stock. According to MarketBeat.com, the stock currently has a consensus rating of "Hold" and a consensus price target of $102.08.

Texas Capital Bancshares Stock Performance

The firm's fifty day simple moving average is $97.27 and its 200 day simple moving average is $94.47. The company has a market capitalization of $4.35 billion, a price-to-earnings ratio of 13.39, a PEG ratio of 0.96 and a beta of 0.68. The company has a debt-to-equity ratio of 0.27, a current ratio of 1.01 and a quick ratio of 1.01.

Texas Capital Bancshares (NASDAQ:TCBI - Get Free Report) last released its quarterly earnings results on Thursday, April 23rd. The bank reported $1.58 earnings per share (EPS) for the quarter, beating analysts' consensus estimates of $1.42 by $0.16. Texas Capital Bancshares had a net margin of 17.71% and a return on equity of 10.76%. The business had revenue of $323.99 million for the quarter, compared to analyst estimates of $318.10 million. During the same quarter in the previous year, the business earned $0.92 earnings per share. The firm's revenue was up 15.5% compared to the same quarter last year. On average, sell-side analysts forecast that Texas Capital Bancshares, Inc. will post 7.64 EPS for the current year.

Texas Capital Bancshares Dividend Announcement

The company also recently announced a quarterly dividend, which will be paid on Monday, June 15th. Shareholders of record on Monday, June 1st will be paid a dividend of $0.20 per share. This represents a $0.80 annualized dividend and a yield of 0.8%. The ex-dividend date of this dividend is Monday, June 1st.

Insiders Place Their Bets

In other Texas Capital Bancshares news, Director Robert W. Stallings purchased 5,500 shares of the company's stock in a transaction that occurred on Friday, March 6th. The shares were purchased at an average cost of $22.80 per share, with a total value of $125,400.00. Following the completion of the transaction, the director owned 175,087 shares of the company's stock, valued at approximately $3,991,983.60. This represents a 3.24% increase in their ownership of the stock. The acquisition was disclosed in a legal filing with the SEC, which can be accessed through this link. Also, Director Paola M. Arbour acquired 1,000 shares of the firm's stock in a transaction on Wednesday, March 11th. The shares were acquired at an average price of $91.50 per share, with a total value of $91,500.00. Following the completion of the transaction, the director directly owned 6,671 shares in the company, valued at approximately $610,396.50. This trade represents a 17.63% increase in their position. The disclosure for this purchase is available in the SEC filing. Insiders bought 46,500 shares of company stock valued at $1,113,500 in the last 90 days. Corporate insiders own 1.91% of the company's stock.

Institutional Trading of Texas Capital Bancshares

A number of hedge funds have recently made changes to their positions in the stock. Evolve Private Wealth LLC boosted its holdings in shares of Texas Capital Bancshares by 1.7% during the first quarter. Evolve Private Wealth LLC now owns 5,987 shares of the bank's stock worth $568,000 after purchasing an additional 98 shares during the period. Vanguard Personalized Indexing Management LLC increased its stake in Texas Capital Bancshares by 4.5% in the 3rd quarter. Vanguard Personalized Indexing Management LLC now owns 2,902 shares of the bank's stock valued at $245,000 after buying an additional 126 shares during the period. Arizona State Retirement System lifted its position in Texas Capital Bancshares by 0.9% in the 3rd quarter. Arizona State Retirement System now owns 13,575 shares of the bank's stock worth $1,147,000 after buying an additional 126 shares in the last quarter. GAMMA Investing LLC lifted its position in Texas Capital Bancshares by 9.8% in the 4th quarter. GAMMA Investing LLC now owns 1,463 shares of the bank's stock worth $132,000 after buying an additional 131 shares in the last quarter. Finally, Commonwealth Equity Services LLC lifted its position in Texas Capital Bancshares by 2.3% in the 4th quarter. Commonwealth Equity Services LLC now owns 6,079 shares of the bank's stock worth $550,000 after buying an additional 135 shares in the last quarter. 96.88% of the stock is owned by hedge funds and other institutional investors.

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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