moneyheap
PB · Analysis updated Nov 10, 2026, 6:00 PM ET
Why is Prosperity Bancshares Inc (PB) stock moving?
PB closed at $73.15 on Nov 10, about 4.7% above its $69.85 close on Oct 22 and roughly 3% below the $75.49 intraday high of Nov 4-5. The stock jumped on Oct 28 on volume of about 1.75M shares, the biggest day in the 30-day window, after Q3 results. Results were mixed on the headline: GAAP diluted EPS of $1.18 was well below the $1.39 consensus, but adjusted EPS of $1.67 and revenue of $497.35M both beat estimates. Operating metrics were solid: net interest margin rose 26 bp quarter over quarter to 3.73%, noninterest-bearing deposits were 33.6% of total, nonperforming assets were 0.41%, and the company bought back 1.5M shares in 2026. Loan and deposit growth of 28.1% and 26.5% largely reflects the Stellar merger closed July 1, so organic growth is harder to read. Analysts moved targets higher after the print: StoneX upgraded to Buy at $85, Stephens reiterated Overweight at $87, TD Cowen Buy at $80, BofA raised to $82 on Nov 4, and RBC, Citi and Piper Sandler sit at $78-79 with Neutral or Sector Perform ratings. The average target of roughly $80-82 implies about 9-12% upside from $73.15. Offsetting this, Benzinga flagged RSI above 70 in late October, and the stock has given back some of its post-earnings gain since Nov 4. The 10-Q filed Nov 9 is listed but its content was not provided, so it is not reflected here.
News behind the analysis
- Prosperity Bancshares, Inc. Reports Q3 2026 Financial ResultsReported Q3 2026 net income of $141.5M and diluted EPS of $1.18, with adjusted EPS of $1.67 excluding merger costs. Revenue was $495.7M and the quarterly dividend rises 6.67% to $0.64.
- CORRECTION: Prosperity Bancshares Q3 Adj. EPS $1.67 Beats $1.39 Estimate, Sales $497.350M Beat $491.186M EstimateBenzinga's corrected report shows adjusted Q3 EPS of $1.67 beating the $1.39 estimate and sales of $497.35M beating the $491.19M estimate.
- Prosperity Bancshares Q3 Adj. EPS $1.18 Misses $1.39 Estimate, Sales $497.350M Beat $491.186M EstimateAn earlier Benzinga report flagged a Q3 EPS miss at $1.18 against a $1.39 estimate, while sales beat. This conflicts with the later correction that uses the $1.67 adjusted figure.
- StoneX Upgrades Prosperity Bancshares to BuyStoneX upgraded PB from Hold to Buy with a new price target of $85 per share.
- Stephens & Co. Maintains Overweight on Prosperity Bancshares, Raises Price Target to $87Stephens & Co. kept its Overweight rating and raised its price target to $87.
- TD Cowen Maintains Buy on Prosperity Bancshares, Raises Price Target to $80TD Cowen kept its Buy rating and raised its price target to $80.
- Piper Sandler Maintains Neutral on Prosperity Bancshares, Lowers Price Target to $78Piper Sandler kept a Neutral rating but cut its price target to $78 from $80.
- Citigroup Maintains Neutral on Prosperity Bancshares, Raises Price Target to $78Citigroup kept a Neutral rating and raised its price target to $78.
- BofA Securities Adjusts Price Target on Prosperity Bancshares to $82BofA Securities raised its price target on PB from $79 to $82.
- Top 3 Financial Stocks That May Collapse In OctoberBenzinga flags PB, S&P Global and Aflac as overbought with RSI above 70 after strong gains, warning momentum investors.
About Prosperity Bancshares Inc
Prosperity Bancshares is the Houston-based parent company of Prosperity Bank, a regional bank with branches mainly in Texas and Oklahoma and about $54 billion in assets as of September 30, 2026. It is known for growing mostly by buying other banks. In 2026 alone it completed three mergers: American Bank, Southwest Bancshares and Stellar Bancorp.
How it makes money
Most of its revenue is net interest income. That is the gap between the interest it earns on loans (commercial real estate, business, home and consumer loans) and securities, and the interest it pays on deposits. Its net interest margin was about 3.5% in early 2026. A smaller share, very roughly 10%, comes from fees such as service charges, card fees, wealth management and trust services.
What usually moves PB
- Interest rates and net interest margin
- Texas and Oklahoma economic conditions, including energy
- Integration of acquisitions and cost savings from mergers
- Loan losses and credit quality, especially commercial real estate
- Deposit growth and funding costs