Start here if you're new
what it is
Prosperity is a regional bank that takes your deposits, makes loans, and clips fees across Texas and Oklahoma.
how it gets paid
Last year Prosperity Banc made $1.6B in revenue. interest income was the main engine at $1.14B, or 71% of sales.
why growth slowed
Revenue fell 3.3% last year. The cleaner read is the full-year trend. Quarterly EPS improved to $1.37 in 4Q24 from $1.02 in 4Q23.
what just happened
Revenue hit $1.2B and EPS came in at $4.23, a huge from a year ago jump off a weak base.
At a glance
A balance sheet — strong enough to weather a downturn
90/100 earnings predictability — you can trust these numbers
12.9x trailing p/e — the market's not buying it — or you found a deal
3.7% dividend yield — cash in your pocket every quarter
$5.05 fy2024 eps est
xvary composite: 73/100 — average
What they do
Prosperity is a regional bank that takes your deposits, makes loans, and clips fees across Texas and Oklahoma.
You do not casually move your checking account, mortgage, payroll, and bill pay setup. That friction matters when Prosperity already sits on $38.3 billion in assets. Deposits (customer cash parked at the bank → cheap funding → better lending economics) are sticky, and sticky money is the whole trick.
How they make money
$1.6B
annual revenue · their business grew -3.3% last year
interest income
$1.14B
dn
service charges and fees
$0.19B
flat
deposit account services
$0.13B
flat
internet banking and treasury services
$0.08B
up
other banking income
$0.06B
flat
The products that matter
originates loans
Commercial & Consumer Loans
$1.3B · 81.3% of revenue
This lending book is the engine. It generates the $1.3B net interest income stream off a $38.5B asset base.
core profit driver
funds the balance sheet
Deposit Accounts
supports $38.5B in assets
Deposits are the raw material for banking. If funding costs rise, the spread on that $38.5B balance sheet gets tighter fast.
funding source
generates fee income
Wealth Management & Treasury
$300M · 18.7% of revenue
This fee bucket is smaller, but it matters because it keeps 18.7% of revenue outside the pure lending spread.
diversifier
Key numbers
12.9x
trailing p/e
You are paying 12.9 times trailing earnings for a bank expected to earn $5.05 this year, which is a plain cheap setup.
$38.3B
asset base
That asset base tells you this is not a tiny local lender. It has real scale in its markets.
3.7%
dividend yield
You are getting paid while you wait, and 3.7% is real cash, not a story.
$3.2B
long-term debt
Debt equals 33% of capital, which is manageable but leaves less margin for error if credit costs rise.
Financial health
A
strength
- balance sheet grade A — very strong financial position
- risk rank 3 — safer than 50% of stocks
- price stability 90 / 100
- long-term debt $3.2B (33% of capital)
A — among the top-rated companies for balance sheet quality.
Total return vs. market
Return history isn't available for PB right now.
source: institutional data · return history unavailable
What just happened
beat estimates
Revenue hit $1.2B and EPS came in at $4.23, a huge from a year ago jump off a weak base.
The cleaner read is the full-year trend. Quarterly EPS improved to $1.37 in 4Q24 from $1.02 in 4Q23, while full-year EPS recovered to $5.05 from $4.51.
$1.2B
revenue
$4.23
eps
+197%
vs. last year revenue growth
the number that mattered
The number that mattered was $5.05 in FY2024 EPS, because it put earnings back above 2023's $4.51 and keeps the stock at a modest 12.9x earnings.
source: company earnings report, 2026
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What could go wrong
the #1 risk is net interest margin pressure after a revenue slowdown.
med
Net interest margin compression
Net interest income is $1.3B, or 81.3% of revenue. If deposit costs stay high or loan yields soften, the core engine slows fast.
81.3% of revenue sits in the rate-sensitive part of the business.
med
Acquisition integration
PB completed the American Bank Holding deal in july 2025 and closed Southwest Bancshares on feb 2, 2026. Two integrations close together raise the odds of cost saves arriving late.
If integration slips, the 43.44% profit margin is the first thing to watch.
low
Geographic concentration
This is a Texas and Oklahoma bank. That focus can help local knowledge, but it also ties loan demand and credit quality to one regional economy.
The footprint is concentrated, so regional weakness does not get diversified away.
PB can absorb some pressure because the balance sheet is rated A, but a revenue base this concentrated in spread income leaves less room for mistakes than the 3.7% yield suggests.
source: institutional data · regulatory filings · risk analysis
Pay attention to
capital return
5% stock repurchase program authorized
Announced jan 26, 2026. At 12.9x earnings, repurchases matter if management actually uses the authorization.
integration risk
Southwest Bancshares merger is now live
Completed feb 2, 2026. This follows the july 2025 all-stock deal for American Bank Holding, so execution is now the story.
calendar
2026 annual shareholder meeting
Scheduled for april 21, 2026 at 10:00 a.m. in Sugar Land, Texas. Expect tone on integration and capital return to matter more than ceremony.
shareholder return
Quarterly common dividend declared again
Announced jan 21, 2026. The continuity matters because income is a major part of why investors own this bank.
Analyst rankings
earnings predictability
90 / 100
In human-speak, analysts see a bank that usually does what it says it will do.
risk rank
3
That puts PB in the safer half of the market, but not in the no-surprises tier.
price stability
90 / 100
The stock usually behaves like a bank stock, not like a biotech chart.
source: institutional data
Institutional activity
institutional ownership data for PB is being compiled.
source: institutional data
Price targets
3-5 year target range
n/a
n/a
$72
current price
n/a
target midpoint · n/a from current
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