Prosperity Bancshares, Inc. (NYSE:PB) to Issue Dividend Increase - $0.58 Per Share

Prosperity Bancshares, Inc. (NYSE:PB - Get Free Report) announced a quarterly dividend on Thursday, October 17th, Wall Street Journal reports. Stockholders of record on Friday, December 13th will be given a dividend of 0.58 per share by the bank on Thursday, January 2nd. This represents a $2.32 dividend on an annualized basis and a dividend yield of 3.10%. The ex-dividend date of this dividend is Friday, December 13th. This is a boost from Prosperity Bancshares's previous quarterly dividend of $0.56.

Prosperity Bancshares has increased its dividend by an average of 5.7% per year over the last three years and has increased its dividend every year for the last 26 years. Prosperity Bancshares has a dividend payout ratio of 38.8% meaning its dividend is sufficiently covered by earnings. Equities analysts expect Prosperity Bancshares to earn $5.74 per share next year, which means the company should continue to be able to cover its $2.24 annual dividend with an expected future payout ratio of 39.0%.

Prosperity Bancshares Stock Performance

NYSE PB traded up $0.59 during trading hours on Thursday, reaching $74.73. 708,846 shares of the company's stock were exchanged, compared to its average volume of 566,029. The company has a market capitalization of $7.17 billion, a price-to-earnings ratio of 17.09, a price-to-earnings-growth ratio of 1.49 and a beta of 0.89. The company's 50-day moving average is $71.81 and its two-hundred day moving average is $66.20. Prosperity Bancshares has a one year low of $49.60 and a one year high of $74.96.

Prosperity Bancshares (NYSE:PB - Get Free Report) last announced its earnings results on Wednesday, July 24th. The bank reported $1.22 earnings per share for the quarter, topping analysts' consensus estimates of $1.20 by $0.02. Prosperity Bancshares had a net margin of 25.10% and a return on equity of 6.32%. The firm had revenue of $458.95 million during the quarter, compared to analyst estimates of $290.06 million. During the same period in the prior year, the business earned $1.21 EPS. Research analysts predict that Prosperity Bancshares will post 5.03 earnings per share for the current fiscal year.

Wall Street Analysts Forecast Growth

A number of equities analysts have recently commented on PB shares. Piper Sandler increased their price objective on shares of Prosperity Bancshares from $73.00 to $80.00 and gave the stock an "overweight" rating in a research note on Thursday, July 25th. Barclays raised their price target on Prosperity Bancshares from $70.00 to $75.00 and gave the company an "equal weight" rating in a research note on Friday, September 27th. StockNews.com lowered Prosperity Bancshares from a "hold" rating to a "sell" rating in a research report on Wednesday, August 28th. Raymond James downgraded Prosperity Bancshares from a "strong-buy" rating to an "outperform" rating and set a $80.00 price objective for the company. in a report on Tuesday, September 17th. Finally, Truist Financial cut shares of Prosperity Bancshares from a "buy" rating to a "hold" rating and decreased their target price for the company from $81.00 to $79.00 in a research note on Friday, September 20th. One analyst has rated the stock with a sell rating, four have issued a hold rating and nine have assigned a buy rating to the company. Based on data from MarketBeat.com, Prosperity Bancshares has a consensus rating of "Moderate Buy" and a consensus target price of $77.27.

About Prosperity Bancshares

Prosperity Bancshares, Inc operates as bank holding company for the Prosperity Bank that provides financial products and services to businesses and consumers. It accepts various deposit products, such as demand, savings, money market, and time accounts, as well as and certificates of deposit. The company also offers 1-4 family residential mortgage, commercial real estate and multifamily residential, commercial and industrial, agricultural, and non-real estate agricultural loans, as well as construction, land development, and other land loans; consumer loans, including automobile, recreational vehicle, boat, home improvement, personal, and deposit account collateralized loans; term loans and lines of credit; and consumer durables and home equity loans, as well as loans for working capital, business expansion, and purchase of equipment and machinery.

This instant news alert was generated by narrative science technology and financial data from MarketBeat in order to provide readers with the fastest and most accurate reporting. This story was reviewed by MarketBeat's editorial team prior to publication. Please send any questions or comments about this story to contact@marketbeat.com.