Cullen/Frost Bankers Inc. (CFR) Upgraded to “Hold” by Zacks Investment Research
Cullen/Frost Bankers Inc. (NYSE:CFR) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a research note issued on Thursday.
According to Zacks, “Cullen/Frost’s estimates have been stable lately ahead of its third-quarter 2016 earnings release. The company’s organic growth remains on track with increasing loans and deposits balances. Further, in a rising interest rate environment, the company’s non-interest bearing deposits, which are a major low-cost funding source, will likely have a positive impact on net interest income and net interest margin. Notably, management expects 2016 EPS to exceed market expectations of $4.39. However, rising costs stemming largely from expanding franchise are likely to deter bottom-line growth. Also, significant exposure to the risky real estate loans and deteriorating credit quality as a result of the still weak energy sector, continue to pose near-term headwinds, along with stringent regulatory requirements.”
Other equities analysts have also issued research reports about the company. Royal Bank Of Canada boosted their price objective on Cullen/Frost Bankers from $63.00 to $70.00 and gave the stock a “sector perform” rating in a research note on Thursday, July 28th. Barclays PLC upped their price target on Cullen/Frost Bankers from $70.00 to $72.00 and gave the company an “underweight” rating in a research note on Thursday, July 28th. Maxim Group upped their price target on Cullen/Frost Bankers from $70.00 to $85.00 and gave the company a “buy” rating in a research note on Thursday, July 28th. RBC Capital Markets reaffirmed a “sector perform” rating and set a $70.00 price target (up previously from $63.00) on shares of Cullen/Frost Bankers in a research note on Thursday, July 28th. Finally, Keefe, Bruyette & Woods upped their price target on Cullen/Frost Bankers from $57.00 to $68.00 and gave the company a “market perform” rating in a research note on Thursday, July 28th. Four research analysts have rated the stock with a sell rating, nine have assigned a hold rating and three have assigned a buy rating to the stock. Cullen/Frost Bankers presently has a consensus rating of “Hold” and an average price target of $67.83.
This story is the sole property of American Banking News and it was originally published by American Banking News. If you are reading this story on another website, that means this article was illegally copied and re-published to this website in violation of U.S. and International copyright law. The original version of this article is available at https://www.americanbankingnews.com/2016/10/13/cullenfrost-bankers-inc-cfr-upgraded-to-hold-by-zacks-investment-research.html
Shares of Cullen/Frost Bankers (NYSE:CFR) traded down 3.13% during trading on Thursday, reaching $70.36. The company had a trading volume of 137,538 shares. Cullen/Frost Bankers has a 52-week low of $42.41 and a 52-week high of $74.12. The firm has a market capitalization of $4.37 billion, a P/E ratio of 16.63 and a beta of 1.11. The company has a 50 day moving average of $71.30 and a 200-day moving average of $65.58.
Cullen/Frost Bankers (NYSE:CFR) last posted its quarterly earnings data on Wednesday, July 27th. The company reported $1.11 EPS for the quarter, topping analysts’ consensus estimates of $1.05 by $0.06. Cullen/Frost Bankers had a return on equity of 9.67% and a net margin of 24.81%. During the same period last year, the company earned $1.11 EPS. Equities analysts expect that Cullen/Frost Bankers will post $4.56 earnings per share for the current year.
The company also recently disclosed a quarterly dividend, which was paid on Thursday, September 15th. Investors of record on Wednesday, August 31st were issued a dividend of $0.54 per share. The ex-dividend date of this dividend was Monday, August 29th. This represents a $2.16 dividend on an annualized basis and a dividend yield of 2.97%. Cullen/Frost Bankers’s payout ratio is presently 50.82%.
In related news, Chairman Phillip D. Green sold 13,500 shares of the stock in a transaction dated Thursday, July 28th. The stock was sold at an average price of $69.42, for a total transaction of $937,170.00. Following the completion of the transaction, the chairman now directly owns 49,763 shares in the company, valued at $3,454,547.46. The transaction was disclosed in a filing with the SEC, which can be accessed through this link. Also, insider Richard Kardys sold 25,500 shares of the stock in a transaction dated Thursday, July 28th. The stock was sold at an average price of $69.54, for a total value of $1,773,270.00. Following the transaction, the insider now owns 128,078 shares of the company’s stock, valued at $8,906,544.12. The disclosure for this sale can be found here. Corporate insiders own 8.03% of the company’s stock.
Several hedge funds and other institutional investors have recently bought and sold shares of the company. Bessemer Group Inc. increased its position in Cullen/Frost Bankers by 5.3% in the first quarter. Bessemer Group Inc. now owns 2,033 shares of the company’s stock worth $112,000 after buying an additional 103 shares during the last quarter. Creative Planning boosted its position in shares of Cullen/Frost Bankers by 112.3% in the second quarter. Creative Planning now owns 3,132 shares of the company’s stock valued at $200,000 after buying an additional 1,657 shares during the period. Rench Wealth Management Inc. bought a new position in shares of Cullen/Frost Bankers during the second quarter valued at approximately $204,000. LS Investment Advisors LLC boosted its position in shares of Cullen/Frost Bankers by 72.2% in the second quarter. LS Investment Advisors LLC now owns 3,267 shares of the company’s stock valued at $208,000 after buying an additional 1,370 shares during the period. Finally, Fruth Investment Management bought a new position in shares of Cullen/Frost Bankers during the second quarter valued at approximately $216,000. Institutional investors and hedge funds own 84.76% of the company’s stock.
Cullen/Frost Bankers Company Profile
Cullen/Frost Bankers, Inc is a financial holding and bank holding company. The Company, through its subsidiaries, offers commercial and consumer banking services, as well as trust and investment management, insurance, brokerage, mutual funds, leasing, treasury management, capital markets advisory and item processing services.
For more information about research offerings from Zacks Investment Research, visit Zacks.com
Receive News & Ratings for Cullen/Frost Bankers Inc. Daily - Enter your email address below to receive a concise daily summary of the latest news and analysts' ratings for Cullen/Frost Bankers Inc. and related companies with MarketBeat.com's FREE daily email newsletter.