- Cullen/Frost’s fourth-quarter earnings per share (EPS) were $2.36, significantly higher than the previous year’s $1.55 and above the estimated $2.16.
- The return on average assets rose to 1.19% from last year’s 0.82%.
- The return on average equity increased to 15.6%, compared to the previous year’s 13.5% and the estimated 13.9%.
- Net interest income was reported at $413.5 million, a 6.5% increase year-over-year, surpassing the estimated $407.2 million.
- Net interest margin improved to 3.53%, up from the previous year’s 3.41% but slightly below the estimated 3.55%.
- Net charge-offs were $14.0 million, reflecting a 28% increase from the previous year and exceeding the estimated $11.7 million.
- The Common Equity Tier 1 ratio stood at 13.6%, above the estimated 13.3%.
- Cullen/Frost’s leadership credited the strong financial results to the dedication and execution of its employees, contributing to consistent growth and robust customer relationships.
- Analyst recommendations for Cullen/Frost include 4 buys, 6 holds, and 4 sells.
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A look at Cullen/Frost Bankers Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 3 | |
| Dividend | 4 | |
| Growth | 4 | |
| Resilience | 2 | |
| Momentum | 5 | |
| OVERALL SMART SCORE | 3.6 |
Smart Score is a compound score for the Company indicating its overall outlook. It is derived by taking an equally weighted average of underlying Factor scores computed by Smartkarma
Analysts at Smartkarma have assigned Cullen/Frost Bankers a solid overall outlook with a mix of scores across different factors. The company scored well in terms of Dividend and Growth, indicating a positive long-term perspective for investors seeking stable returns and potential for expansion. Momentum, the highest score received, suggests strong market momentum in favor of the company. On the other hand, Resilience scored relatively low, showing some concerns about the company’s ability to weather economic downturns. Overall, the combination of these scores paints a favorable picture for Cullen/Frost Bankers, highlighting its strengths in dividend payouts, growth prospects, and market momentum.
Cullen/Frost Bankers, Inc., as the holding company for The Frost National Bank, offers a range of banking and financial services across Texas, including commercial and consumer banking, investment services, trust services, and more. With a diversified portfolio of offerings, the company is positioned to serve a wide range of clients and maintain a strong presence in the Texas banking sector. The positive scores in Dividend and Growth reflect the company’s commitment to rewarding investors and pursuing opportunities for expansion, supported by its established network of offices and services.
Disclaimer: This article by Smartkarma is general in nature and based on historical data and analyst forecasts only using an unbiased methodology and our articles are not intended to be financial advice. It does not constitute a recommendation to buy or sell any stock, and does not take account of your objectives, or your financial situation. Note that our articles may not factor in the latest price-sensitive company announcements or qualitative material.
While all reasonable care has been taken in the preparation, Smartkarma makes no assurance about the accuracy of any generated data or content. All content is indicative only and should be independently checked for accuracy and confirmed before use. Smartkarma accepts no responsibility for any loss or damage caused as a result of any inaccuracy or error within the Lab online tools or generated data.
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