PB Stock Analysis: Prosperity Bancshares | NYSE
Banks - Regional | NYSE, USA | Market Cap: 8.402m USD | 12M Return: 6.2% | US7436061052 | Charts, Fundamentals & Technical Analysis
Avg Turnover: 68.7M
EPS Trend: 89.0%
Qual. Beats: 2
Rev. Trend: 80.2%
Qual. Beats: 0
Warnings
Tailwinds
Seasonality 11.7 years of data
How good or bad each month usually is (without trend). The score below shows how much you can trust it: 0 = pure chance, >40 gets interesting and >55 is strong.
Prosperity Bancshares, Inc. (NYSE: PB) is a Houston, Texas-based bank holding company that operates Prosperity Bank, providing a full suite of financial products and services to both businesses and consumers. Founded in 1983, the company maintains a traditional community banking model centered on deposit gathering and diversified lending.
The companys deposit franchise spans demand, savings, money market, and time accounts, including certificates of deposit, while its loan portfolio covers a broad range of segments such as 1-4 family residential mortgages, commercial real estate, multifamily residential, commercial and industrial, agricultural, construction and land development, and various consumer loan products. It also offers term loans, lines of credit, and specialized financing for working capital, business expansion, and equipment purchases.
In addition to core banking, Prosperity provides digital, internet, and mobile banking services, along with trust and wealth management, retail brokerage, mortgage services, treasury management, and debit and credit card offerings. As a mid-cap regional bank, it operates in a highly regulated sector overseen by the Federal Reserve and other banking regulators, and its Houston headquarters positions it in a market closely tied to the energy industry, which is a notable source of commercial lending opportunities for Texas-based banks.
- Net interest margin compresses on rising deposit costs
- Texas commercial real estate loan losses pressure credit quality
- Whole-bank acquisitions drive branch and loan growth
| Net Income: 562.3m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA 0.53 > 1.0 |
| NWC/Revenue: -50.51% < 20% (prev -1.65k%; Δ 1.60k% < -1%) |
| CFO/TA 0.01 > 3% & CFO 620.7m > Net Income 562.3m |
| Net Debt (640.9m) to EBITDA (750.7m): 0.85 < 3 |
| Current Ratio: 0.65 > 1.5 & < 3 |
| Outstanding Shares: last quarter (100.8m) vs 12m ago 5.78% < -2% |
| Gross Margin: 72.69% > 18% (prev 68.36%; Δ 4.33% > 0.5%) |
| Asset Turnover: 4.32% > 50% (prev 4.54%; Δ -0.22% > 0%) |
| Interest Coverage Ratio: 1.48 > 6 (EBIT TTM 720.4m / Interest Expense TTM 485.9m) |
| A: -0.02 (Total Current Assets 1.70b - Total Current Liabilities 2.60b) / Total Assets 43.9b |
| B: 0.09 (Retained Earnings 4.03b / Total Assets 43.9b) |
| C: 0.02 (EBIT TTM 720.4m / Avg Total Assets 41.2b) |
| D: 0.23 (Book Value of Equity 8.29b / Total Liabilities 35.6b) |
| Altman-Z'' = 0.53 = B |
| DSRI: 1.16 (Receivables 119.8m/101.6m, Revenue 1.78b/1.74b) |
| GMI: 0.94 (GM 68.36% / 72.69%) |
| AQI: 1.01 (AQ_t 0.95 / AQ_t-1 0.94) |
| SGI: 1.02 (Revenue 1.78b / 1.74b) |
| TATA: -0.00 (NI 562.3m - CFO 620.7m) / TA 43.9b) |
| Beneish M = -2.93 (Cap -4..+1) = A |
As of September 27, 2026, the stock is trading at USD 67.77 with a total of 1,028,369 shares traded. Over the past week, the price has changed by -3.21%, over one month by -5.77%, over three months by -6.86% and over the past year by +6.16%.
Current recommended Stop Loss: 66.20 (which is 2.3% or 1.3 ATR below the current price).
Prosperity Bancshares has received a consensus analysts rating of 4.00. Therefore, it is recommended to buy PB.
- StrongBuy: 5
- Buy: 4
- Hold: 5
- Sell: 0
- StrongSell: 0
| Analysts Target Price | 81.2 | 19.9% |
P/E Trailing = 12.1161
P/E Forward = 9.4607
P/S = 6.0387
P/B = 1.0132
P/EG = 4.2635
Revenue TTM = 1.78b USD
EBIT TTM = 720.4m USD
EBITDA TTM = 750.7m USD
Long Term Debt = 2.47b USD (from longTermDebt, last quarter)
Short Term Debt = 2.60b USD (from shortTermDebt, last quarter)
Debt = 2.67b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 640.9m USD (calculated: Debt 2.67b - CCE 2.03b)
Enterprise Value = 9.04b USD (8.40b + Debt 2.67b - CCE 2.03b)
Interest Coverage Ratio = 1.48 (Ebit TTM 720.4m / Interest Expense TTM 485.9m)
EV/FCF = 15.02x (Enterprise Value 9.04b / FCF TTM 602.1m)
FCF Yield = 6.66% (FCF TTM 602.1m / Enterprise Value 9.04b)
FCF Margin = 33.84% (FCF TTM 602.1m / Revenue TTM 1.78b)
Net Margin = 31.61% (Net Income TTM 562.3m / Revenue TTM 1.78b)
Gross Margin = 72.69% ((Revenue TTM 1.78b - Cost of Revenue TTM 485.9m) / Revenue TTM)
Gross Margin QoQ = 75.20% (prev 70.06%)
Tobins Q-Ratio = 0.21 (Enterprise Value 9.04b / Total Assets 43.9b)
Interest Expense / Debt = 18.20% (Interest Expense 485.9m / Debt 2.67b)
Taxrate = 21.95% (158.2m / 720.5m)
NOPAT = 562.2m (EBIT 720.4m * (1 - 21.95%))
Current Ratio = 0.65 (Total Current Assets 1.70b / Total Current Liabilities 2.60b)
Debt / Equity = 0.32 (Debt 2.67b / totalStockholderEquity, last quarter 8.29b)
Debt / EBITDA = 0.85 (Net Debt 640.9m / EBITDA 750.7m)
Debt / FCF = 1.06 (Net Debt 640.9m / FCF TTM 602.1m)
Total Stockholder Equity = 7.94b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.37% (Net Income 562.3m / Total Assets 43.9b)
RoE = 7.08% (Net Income TTM 562.3m / Total Stockholder Equity 7.94b)
RoCE = 6.92% (EBIT 720.4m / Capital Employed (Equity 7.94b + L.T.Debt 2.47b))
RoIC = 1.28% (NOPAT 562.2m / Invested Capital 43.8b)
WACC = 9.42% (E(8.40b)/V(11.1b) * Re(7.90%) + D(2.67b)/V(11.1b) * Rd(18.20%) * (1-Tc(0.22)))
Discount Rate = 7.90% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: 69.97 | Cagr: 3.29%
[DCF] Terminal Value 74.58% ; FCFF base≈490.2m ; Y1≈561.9m ; Y5≈827.0m
[DCF] Fair Price = 81.79 (EV 10.5b - Net Debt 640.9m = Equity 9.83b / Shares 120.2m; r=9.42% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: 89.03 | EPS CAGR: 11.41% | SUE: 3.29 | # QB: 2
Revenue Correlation: 80.20 | Revenue CAGR: 4.86% | SUE: 0.72 | # QB: 0
EPS current Quarter (2026-09-30): EPS=1.61 | Chg30d=+0.04% | Revisions=+40% | Analysts=14
EPS current Year (2026-12-31): EPS=6.41 | Chg30d=+0.16% | Revisions=+69% | GrowthEPS=+12.6% | GrowthRev=+39.6%
EPS next Year (2027-12-31): EPS=7.33 | Chg30d=+0.12% | Revisions=+67% | GrowthEPS=+14.4% | GrowthRev=+17.5%
[Analyst] Revisions Ratio: +68% (up=32, down=5)