Prosperity Bancshares, Inc. operates as bank holding company for the Prosperity Bank that provides retail and commercial banking services to businesses and consumers. More Details
Flawless balance sheet with solid track record and pays a dividend.
Share Price & News
How has Prosperity Bancshares's share price performed over time and what events caused price changes?
Latest Share Price and Events
Stable Share Price: PB is less volatile than 75% of US stocks over the past 3 months, typically moving +/- 4% a week.
Volatility Over Time: PB's weekly volatility (4%) has been stable over the past year.
7 Day Return
1 Year Return
Return vs Industry: PB underperformed the US Banks industry which returned 63.4% over the past year.
Return vs Market: PB underperformed the US Market which returned 44.3% over the past year.
Long-Term Price Volatility Vs. Market
How volatile is Prosperity Bancshares's share price compared to the market and industry in the last 5 years?
Simply Wall St News
1 week ago | Simply Wall StDid Prosperity Bancshares' (NYSE:PB) Share Price Deserve to Gain 39%?
1 month ago | Simply Wall StNeed To Know: Prosperity Bancshares, Inc. (NYSE:PB) Insiders Have Been Selling Shares
2 months ago | Simply Wall StShareholders Will Most Likely Find Prosperity Bancshares, Inc.'s (NYSE:PB) CEO Compensation Acceptable
Is Prosperity Bancshares undervalued compared to its fair value and its price relative to the market?
Undervalued compared to fair value
Share Price vs. Fair Value
Below Fair Value: PB ($75) is trading below our estimate of fair value ($108.48)
Significantly Below Fair Value: PB is trading below fair value by more than 20%.
Price To Earnings Ratio
PE vs Industry: PB is poor value based on its PE Ratio (13.1x) compared to the US Banks industry average (12x).
PE vs Market: PB is good value based on its PE Ratio (13.1x) compared to the US market (19.7x).
Price to Earnings Growth Ratio
PEG Ratio: PB's earnings are forecast to decline next year, so we can't calculate its PEG ratio.
Price to Book Ratio
PB vs Industry: PB's PB Ratio (1.1x) is in line with the US Banks industry average.
How is Prosperity Bancshares forecast to perform in the next 1 to 3 years based on estimates from 14 analysts?
Forecasted annual earnings growth
Earnings and Revenue Growth Forecasts
Analyst Future Growth Forecasts
Earnings vs Savings Rate: PB's earnings are forecast to decline over the next 3 years (-1.1% per year).
Earnings vs Market: PB's earnings are forecast to decline over the next 3 years (-1.1% per year).
High Growth Earnings: PB's earnings are forecast to decline over the next 3 years.
Revenue vs Market: PB's revenue (0.6% per year) is forecast to grow slower than the US market (9.3% per year).
High Growth Revenue: PB's revenue (0.6% per year) is forecast to grow slower than 20% per year.
Earnings per Share Growth Forecasts
Future Return on Equity
Future ROE: PB's Return on Equity is forecast to be low in 3 years time (7.7%).
How has Prosperity Bancshares performed over the past 5 years?
Historical annual earnings growth
Earnings and Revenue History
Quality Earnings: PB has high quality earnings.
Growing Profit Margin: PB's current net profit margins (46.6%) are higher than last year (41.2%).
Past Earnings Growth Analysis
Earnings Trend: PB's earnings have grown by 13.8% per year over the past 5 years.
Accelerating Growth: PB's earnings growth over the past year (39.5%) exceeds its 5-year average (13.8% per year).
Earnings vs Industry: PB earnings growth over the past year (39.5%) exceeded the Banks industry 20.5%.
Return on Equity
High ROE: PB's Return on Equity (8.5%) is considered low.
How is Prosperity Bancshares's financial position? (This company is analysed differently as a bank or financial institution)
Financial Position Analysis
Debt to Equity History and Analysis
Financial Institutions Analysis
Asset Level: PB's Assets to Equity ratio (5.7x) is low.
Allowance for Bad Loans: PB has a sufficient allowance for bad loans (709%).
Low Risk Liabilities: 98% of PB's liabilities are made up of primarily low risk sources of funding.
Loan Level: PB has an appropriate level of Loans to Assets ratio (54%).
Low Risk Deposits: PB's Loans to Deposits ratio (67%) is appropriate.
Level of Bad Loans: PB has an appropriate level of bad loans (0.2%).
What is Prosperity Bancshares's current dividend yield, its reliability and sustainability?
Current Dividend Yield
Dividend Yield vs Market
Notable Dividend: PB's dividend (2.61%) is higher than the bottom 25% of dividend payers in the US market (1.27%).
High Dividend: PB's dividend (2.61%) is low compared to the top 25% of dividend payers in the US market (3.35%).
Stability and Growth of Payments
Stable Dividend: PB's dividends per share have been stable in the past 10 years.
Growing Dividend: PB's dividend payments have increased over the past 10 years.
Current Payout to Shareholders
Dividend Coverage: With its reasonably low payout ratio (33.1%), PB's dividend payments are well covered by earnings.
Future Payout to Shareholders
Future Dividend Coverage: PB's dividends in 3 years are forecast to be well covered by earnings (37.7% payout ratio).
How experienced are the management team and are they aligned to shareholders interests?
Average management tenure
David Zalman (63 yo)
Mr. David E. Zalman serves as the Senior Chairman of Prosperity Bancshares Inc. since November 1, 2019. He served as the Chairman of Prosperity Bancshares Inc. since 2001 until November 1, 2019 and also is...
CEO Compensation Analysis
Compensation vs Market: David's total compensation ($USD3.48M) is below average for companies of similar size in the US market ($USD6.52M).
Compensation vs Earnings: David's compensation has been consistent with company performance over the past year.
Experienced Management: PB's management team is seasoned and experienced (9.2 years average tenure).
Experienced Board: PB's board of directors are considered experienced (8 years average tenure).
Who are the major shareholders and have insiders been buying or selling?
Insider Trading Volume
Insider Buying: Insufficient data to determine if insiders have bought more shares than they have sold in the past 3 months.
Recent Insider Transactions
Dilution of Shares: Shareholders have not been meaningfully diluted in the past year.
Prosperity Bancshares, Inc.'s company bio, employee growth, exchange listings and data sources
- Name: Prosperity Bancshares, Inc.
- Ticker: PB
- Exchange: NYSE
- Founded: 1983
- Industry: Regional Banks
- Sector: Banks
- Market Cap: US$6.970b
- Shares outstanding: 92.94m
- Website: https://www.prosperitybankusa.com
Number of Employees
- Prosperity Bancshares, Inc.
- Prosperity Bank Plaza
- 4295 San Felipe
- United States
Prosperity Bancshares, Inc. operates as bank holding company for the Prosperity Bank that provides retail and commercial banking services to businesses and consumers. It accepts various deposit products, s...
Company Analysis and Financial Data Status
|Data||Last Updated (UTC time)|
|Company Analysis||2021/06/13 22:19|
|End of Day Share Price||2021/06/11 00:00|
Unless specified all financial data is based on a yearly period but updated quarterly. This is known as Trailing Twelve Month (TTM) or Last Twelve Month (LTM) Data. Learn more here.