Prosperity Bancshares, Inc.PB
NYSE•Financial Services•Banks - Regional
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; and certificates of deposit. The company also offers 1-4 family residential mortgage, commercial real estate and multifamily residential, commercial and industrial, and agricultural and non-real estate agricultural loans; 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. In addition, it provides digital banking, internet banking, mobile banking, trust and wealth management, retail brokerage, mortgage services, and treasury management, and debit and credit cards services. The company was incorporated in 1983 and is headquartered in Houston, Texas.
Prosperity Bancshares, Inc. (PB) reported trailing twelve months revenue of $1.79B as of March 2026, a 0.6% decline year-over-year. Quarterly revenue reached $488.25M, reflecting a contraction in sales.
Prosperity Bancshares, Inc. generated $528.88M in TTM net income, with quarterly EBITDA of $161.14M. The operating margin contracted from 38.3% to 30.8%, suggesting rising cost pressures or pricing headwinds.
The spread between operating margin (30.8%) and net margin (23.8%) indicates moderate non-operating costs. Net margin has narrowed from 30.0% a year ago, reflecting increased costs or interest expense.
PB trades at a P/E of 13.4x (below the broader market average) and a P/S of 3.9x. The price-to-book ratio of 0.9x suggests the stock trades below its book value.
The company generated $178.10M in free cash flow over the trailing twelve months, a 4.1% increase year-over-year, indicating cash generation ability. The balance sheet shows $43.62B in total assets with no in long-term debt against $8.21B in stockholders equity. Data based on the most recent quarterly reports.
Competitive analysis based on 21 quarters of fundamental data
Operating margins are expanding at ~37.0%, suggesting durable pricing power and cost discipline.
ROE is positive at ~6.6% on average, adequate but below the threshold typically associated with wide moats.
Free cash flow is consistently positive and growing — a hallmark of a capital-light business that can self-fund growth.
Revenue shows resilience with 4 of 7 quarters posting growth — demand is generally stable but has seen some soft patches.
Data-driven red flags and warnings across 21 quarters
Margins are stable or improving at ~38.0% — no sign of cost or pricing stress.
FCF/Net Income has dropped below 0.7x in 3 quarters — monitor for earnings quality deterioration.
Limited debt-to-equity data available.
Revenue is stable or growing over recent quarters — demand appears durable.
Free cash flow is consistently positive — the business self-funds without external capital reliance.
Shares outstanding rose 4.2% — mild dilution. Compare to earnings growth to assess net per-share impact.