- Prosperity Banc reported second-quarter earnings per share (EPS) of $1.42, exceeding last year’s $1.17 and surpassing the estimate of $1.41.
- The net interest margin on a taxable-equivalent basis rose to 3.18%, up from 2.94% the previous year but below the estimated 3.23%.
- Net interest income increased by 3.5% year-over-year to $267.7 million, though it fell short of the projected $274.5 million.
- No provisions for credit losses were made, contrasting with $9.07 million last year and an expected $1.66 million.
- The business-friendly environment in Texas and Oklahoma, coupled with no state income tax, continues to attract more people and companies.
- Analyst ratings include 9 buy, 5 hold, and no sell recommendations for the company.
A look at Prosperity Bancshares Smart Scores
| Factor | Score | Magnitude |
|---|---|---|
| Value | 5 | |
| Dividend | 4 | |
| Growth | 3 | |
| Resilience | 4 | |
| Momentum | 4 | |
| OVERALL SMART SCORE | 4.0 |
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
Prosperity Bancshares, Inc. shows promising signs for long-term growth based on its Smartkarma Smart Scores. With a top score in Value and strong scores in Dividend, Resilience, and Momentum, the company’s overall outlook appears positive. The high Value score suggests that the company is considered to be undervalued relative to its peers, which could indicate the potential for future price appreciation. Additionally, the solid scores in Dividend and Resilience highlight the company’s ability to generate steady income for investors and its resilience in adverse economic conditions. Combined with a respectable Momentum score, Prosperity Bancshares seems well-positioned for sustained success in the foreseeable future.
Prosperity Bancshares, the holding company for Prosperity Bank, primarily operates in the greater Houston metropolitan area and neighboring counties in Texas. The company focuses on attracting deposits from the general public to fund its commercial and consumer loan origination. With an overall positive assessment from the Smartkarma Smart Scores, Prosperity Bancshares is poised to continue its growth trajectory by capitalizing on its strong value proposition, dividend payments, resilience, and momentum in the market.
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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