Cullen/Frost Bankers, Inc. (NYSE:CFR) was downgraded by Zacks Investment Research from a “hold” rating to a “sell” rating in a research note issued on Wednesday.

According to Zacks, “Shares of Cullen/Frost have outperformed the industry over the past year. This performance was supported by the company’s impressive earnings surprise history. It hasn’t missed the Zacks Consensus Estimate for earnings in any of the trailing four quarters. With a rising interest rate environment and improving non-interest bearing deposits, the company's net interest income and net interest margin is expected to grow. However, rising costs stemming mainly from expanding franchise are likely to deter bottom-line growth to some extent. Also, the company’s risky loan portfolio keeps us apprehensive.”

A number of other research firms also recently weighed in on CFR. BidaskClub upgraded Cullen/Frost Bankers from a “sell” rating to a “hold” rating in a research report on Wednesday, July 5th. Barclays PLC boosted their target price on Cullen/Frost Bankers from $97.00 to $100.00 and gave the stock an “equal weight” rating in a research report on Friday, July 28th. Morgan Stanley restated an “equal weight” rating and set a $93.00 target price (up previously from $90.00) on shares of Cullen/Frost Bankers in a research report on Thursday, July 6th. Citigroup Inc. downgraded Cullen/Frost Bankers to an “underperform” rating in a research report on Thursday, August 10th. They noted that the move was a valuation call. Finally, Raymond James Financial, Inc. restated a “market perform” rating on shares of Cullen/Frost Bankers in a research report on Tuesday, July 4th. Five investment analysts have rated the stock with a sell rating, twelve have given a hold rating and two have assigned a buy rating to the stock. The company has a consensus rating of “Hold” and a consensus target price of $95.04.

Cullen/Frost Bankers (NYSE CFR) traded up 0.21% on Wednesday, reaching $89.12. The company had a trading volume of 129,962 shares. The company has a market capitalization of $5.72 billion, a price-to-earnings ratio of 17.56 and a beta of 1.33. Cullen/Frost Bankers has a 12 month low of $67.86 and a 12 month high of $99.20. The company’s 50 day moving average price is $88.04 and its 200-day moving average price is $91.13.

Cullen/Frost Bankers (NYSE:CFR) last released its earnings results on Thursday, July 27th. The bank reported $1.29 earnings per share for the quarter, hitting analysts’ consensus estimates of $1.29. The company had revenue of $295.87 million during the quarter, compared to the consensus estimate of $316.40 million. Cullen/Frost Bankers had a return on equity of 11.23% and a net margin of 28.49%. During the same quarter in the previous year, the company posted $1.11 earnings per share. On average, equities analysts predict that Cullen/Frost Bankers will post $5.22 earnings per share for the current fiscal year.

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Institutional investors have recently made changes to their positions in the business. Parallax Volatility Advisers L.P. increased its holdings in shares of Cullen/Frost Bankers by 124.1% in the second quarter. Parallax Volatility Advisers L.P. now owns 1,087 shares of the bank’s stock worth $102,000 after acquiring an additional 602 shares in the last quarter. Invictus RG acquired a new position in shares of Cullen/Frost Bankers during the first quarter worth about $109,000. Tower Research Capital LLC TRC acquired a new position in shares of Cullen/Frost Bankers during the second quarter worth about $114,000. Westwood Holdings Group Inc. acquired a new position in shares of Cullen/Frost Bankers during the second quarter worth about $131,000. Finally, Fiduciary Trust Co. acquired a new position in shares of Cullen/Frost Bankers during the second quarter worth about $136,000. Institutional investors own 82.39% of the company’s stock.

About Cullen/Frost Bankers

Cullen/Frost Bankers, Inc is a financial holding company and a bank holding company. The Company, through its subsidiaries, provides a range of products and services throughout Texas markets. The Company’s segments include Banking, Frost Wealth Advisors and Non-Banks. The Banking segment includes both commercial and consumer banking services, and Frost Insurance Agency.

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Analyst Recommendations for Cullen/Frost Bankers (NYSE:CFR)

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