Cullen/Frost Bankers, Inc.

NYSE:CFR Stock Report

Market Cap: US$8.8b

Cullen/Frost Bankers Valuation

Is CFR undervalued compared to its fair value, analyst forecasts and its price relative to the market?

Valuation Score

3/6

Valuation Score 3/6

  • Below Fair Value

  • Significantly Below Fair Value

  • Price-To-Earnings vs Peers

  • Price-To-Earnings vs Industry

  • Price-To-Earnings vs Fair Ratio

  • Analyst Forecast

Share Price vs Fair Value

What is the Fair Price of CFR when looking at its future cash flows? For this estimate we use a Discounted Cash Flow model.

Below Fair Value: CFR ($137.79) is trading below our estimate of fair value ($212.72)

Significantly Below Fair Value: CFR is trading below fair value by more than 20%.

Key Valuation Metric

Which metric is best to use when looking at relative valuation for CFR?

Key metric: As CFR is profitable we use its Price-To-Earnings Ratio for relative valuation analysis.

The above table shows the Price to Earnings ratio for CFR. This is calculated by dividing CFR's market cap by their current earnings.
What is CFR's PE Ratio?
PE Ratio17.1x
EarningsUS$517.44m
Market CapUS$8.84b

Price to Earnings Ratio vs Peers

How does CFR's PE Ratio compare to its peers?

The above table shows the PE ratio for CFR vs its peers. Here we also display the market cap and forecasted growth for additional consideration.
CompanyForward PEEstimated GrowthMarket Cap
Peer Average17.4x
WTFC Wintrust Financial
14.4x6.7%US$8.7b
WAL Western Alliance Bancorporation
13.8x22.7%US$9.7b
PNFP Pinnacle Financial Partners
23x23.6%US$9.4b
CBSH Commerce Bancshares
18.4x0.3%US$9.2b
CFR Cullen/Frost Bankers
17.1x1.4%US$8.8b

Price-To-Earnings vs Peers: CFR is good value based on its Price-To-Earnings Ratio (17.1x) compared to the peer average (17.4x).

Price to Earnings Ratio vs Industry

How does CFR's PE Ratio compare vs other companies in the US Banks Industry?

4 CompaniesPrice / EarningsEstimated GrowthMarket Cap
FRCB First Republic Bank
0.02xn/aUS$27.98m
BKGM BankGuam Holding
1xn/aUS$18.48m
SBNY Signature Bank
0.002xn/aUS$2.18m
BCBH.F Caribbean Investment Holdings
0.00001xn/aUS$132.00
No more companies available in this PE range
CFR 17.1xIndustry Avg. 12.8xNo. of Companies75PE0612182430+
4 CompaniesEstimated GrowthMarket Cap
No more companies

Price-To-Earnings vs Industry: CFR is expensive based on its Price-To-Earnings Ratio (17.1x) compared to the US Banks industry average (12.8x).

Price to Earnings Ratio vs Fair Ratio

What is CFR's PE Ratio compared to its Fair PE Ratio? This is the expected PE Ratio taking into account the company's forecast earnings growth, profit margins and other risk factors.

CFR PE Ratio vs Fair Ratio.
Fair Ratio
Current PE Ratio17.1x
Fair PE Ratio13.5x

Price-To-Earnings vs Fair Ratio: CFR is expensive based on its Price-To-Earnings Ratio (17.1x) compared to the estimated Fair Price-To-Earnings Ratio (13.5x).

Analyst Price Targets

What is the analyst 12-month forecast and do we have any statistical confidence in the consensus price target?

The above table shows the analyst CFR forecast and predictions for the stock price in 12 month’s time.
DateShare PriceAverage 1Y Price TargetDispersionHighLow1Y Actual priceAnalysts
CurrentUS$137.79
US$128.08
-7.0%
9.2%US$149.00US$106.00n/a12
Nov ’25US$125.98
US$125.54
-0.4%
9.9%US$149.00US$106.00n/a13
Oct ’25US$107.98
US$124.00
+14.8%
8.1%US$140.00US$104.00n/a13
Sep ’25US$112.23
US$124.00
+10.5%
7.7%US$140.00US$107.00n/a14
Aug ’25US$112.64
US$123.36
+9.5%
8.1%US$140.00US$107.00n/a14
Jul ’25US$100.74
US$116.36
+15.5%
8.7%US$132.00US$93.00n/a14
Jun ’25US$101.58
US$117.86
+16.0%
8.9%US$140.00US$94.00n/a14
May ’25US$105.29
US$118.43
+12.5%
8.7%US$140.00US$94.00n/a14
Apr ’25US$111.97
US$117.93
+5.3%
7.8%US$135.00US$94.00n/a14
Mar ’25US$107.55
US$117.07
+8.8%
7.7%US$135.00US$94.00n/a15
Feb ’25US$103.50
US$116.13
+12.2%
8.1%US$135.00US$94.00n/a15
Jan ’25US$108.49
US$111.87
+3.1%
10.3%US$135.00US$94.00n/a15
Dec ’24US$102.15
US$110.36
+8.0%
10.5%US$135.00US$97.00n/a14
Nov ’24US$89.84
US$111.07
+23.6%
10.6%US$135.00US$97.00US$125.9815
Oct ’24US$91.21
US$115.87
+27.0%
9.0%US$135.00US$97.00US$107.9815
Sep ’24US$95.74
US$118.20
+23.5%
6.6%US$135.00US$100.00US$112.2315
Aug ’24US$107.65
US$118.40
+10.0%
7.2%US$135.00US$97.00US$112.6415
Jul ’24US$107.53
US$122.60
+14.0%
8.3%US$135.00US$98.00US$100.7415
Jun ’24US$102.23
US$122.40
+19.7%
8.0%US$136.00US$98.00US$101.5815
May ’24US$107.20
US$123.60
+15.3%
8.2%US$136.00US$98.00US$105.2915
Apr ’24US$105.34
US$138.40
+31.4%
13.4%US$170.00US$107.00US$111.9715
Mar ’24US$133.00
US$151.00
+13.5%
9.3%US$180.00US$133.00US$107.5514
Feb ’24US$129.23
US$152.40
+17.9%
8.2%US$180.00US$132.00US$103.5015
Jan ’24US$133.70
US$158.40
+18.5%
7.6%US$180.00US$132.00US$108.4915
Dec ’23US$141.13
US$160.62
+13.8%
7.6%US$180.00US$129.00US$102.1513
Nov ’23US$156.53
US$159.93
+2.2%
7.5%US$180.00US$129.00US$89.8414

Analyst Forecast: Target price is lower than the current share price.

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