Regional banking company Prosperity Bancshares (NYSE: PB) will be reporting results this Wednesday morning. Here’s what you need to know.
Prosperity Bancshares met analysts’ revenue expectations last quarter, reporting revenues of $318.2 million, up 3.4% year on year. It was a slower quarter for the company, with a narrow beat of analysts’ EPS estimates and a slight miss of analysts’ net interest income estimates.
Is Prosperity Bancshares a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Prosperity Bancshares’s revenue to grow 17% year on year, improving from the 10.7% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business to stay the course heading into earnings. Prosperity Bancshares has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Prosperity Bancshares’s peers in the regional banks segment, some have already reported their Q1 results, giving us a hint as to what we can expect. OFG Bancorp delivered year-on-year revenue growth of 4.2%, beating analysts’ expectations by 4.8%, and First Financial Bancorp reported revenues up 26.1%, topping estimates by 3.1%. OFG Bancorp traded up 7.6% following the results while First Financial Bancorp was also up 2.4%.
Read our full analysis of OFG Bancorp’s results here and First Financial Bancorp’s results here.
There has been positive sentiment among investors in the regional banks segment, with share prices up 9.3% on average over the last month. Prosperity Bancshares is up 8.1% during the same time and is heading into earnings with an average analyst price target of $77.38 (compared to the current share price of $69.50).
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