Cullen/Frost Bankers Q3 net income rises on loan growth

By Reuters News


Overview

  • Texas regional bank's Q3 net income and EPS rose yr/yr

  • Net interest income for Q3 increased 5.8% from a year earlier

  • Company repurchased $15 mln in shares during the quarter


Outlook

  • Company did not provide specific financial guidance for future quarters or the full year in the press release


Result Drivers

  • LOAN GROWTH - Co said average loans rose 9% yr/yr, driven by organic growth strategy

  • CUSTOMER BASE EXPANSION - Co said banking customer base grew at a 5% yearly rate, with new additions across Texas

  • NON-INTEREST INCOME GAINS - Co said non-interest income rose 8.2% yr/yr, helped by investment management fees and gains on sale of bank properties


Company press release:


Key Details

Metric

Beat/Miss

Actual

Consensus Estimate

Q3 EPS

$2.84

Q3 Net Income

$180.21 mln

Q3 Net Interest Income

$467.87 mln

Q3 Basic EPS

$2.84

Q3 Pretax Profit

$214.54 mln


Analyst Coverage

  • The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 7 "hold" and 1 "sell" or "strong sell"

  • The average consensus recommendation for the banks peer group is "buy."

  • Wall Street's median 12-month price target for Cullen/Frost Bankers, Inc. is $177.00, about 12.7% above its October 28 closing price of $157.01

  • The stock recently traded at 13 times the next 12-month earnings vs. a P/E of 14 three months ago


Reuters Recommended Reads

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  • Oct 28 - Stock Yards Bancorp Q3 profit rises 20% on merger boost


For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.


(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)

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