Prosperity Bancshares Inc (PB) Fair Value & Analysis
Financial Services · US · Market cap $8.6B · ISIN US7436061052
What is Prosperity Bancshares Inc really worth?
Prosperity Bancshares Inc
PB · US
A solid business, but trading 45% above our fair value of $49.97.
Strengths
Risks
For context
Fair value as of: Aug 30, 2026
From 6 valuation models · updated 6 days ago
Share price −3.3% over the past month.
What runs behind every stock
69 individual criteria per stock, every one traceable See the method →
What matters now
- The price sits above even our optimistic bull case ($62.46). The favourable scenario is already priced in.
- Solid but not exceptional quality (64/100) and above fair value, neither a clear bargain nor a standout compounder.
- For a financial, book-value and earnings-based methods matter more than a cash-flow DCF, which fits banks and insurers poorly.
Price vs Fair Value (5 years)
White line = price, green steps = our fair value per fiscal year, dashed = 300-day average. As of Aug 30, 2026.
How to read this chart
60‑month range $45.66 – $80.25 · fair‑value band $37.48 – $62.46 · the $72.42 price screens above the $49.97 fair value. Green steps = our fair value per fiscal year (point-in-time, no hindsight). Dashed = 300-day average. As of Aug 30, 2026.
Analysis
Prosperity Bancshares Inc (PB) currently trades at $72.42, while our model-based Fair Value estimate is $49.97, implying the stock looks roughly 44.9% overvalued today. The Quality Score stands at 64/100 (solid quality), in the Financial Services sector. Bull case: the Multiples group reads highest at a median of $58.88 per share, and 1 of the 6 models we run sit above the $72.42 price. Bear case: the Dividend Discount group reads lowest at $27.94, and 5 of the 6 models stay below the price. Evidence for this calculation is high.
Over the trailing twelve months, Prosperity Bancshares Inc generated revenue of $1.3B at a net margin of 40.4%. Revenue grew 19.9% year over year. It earns a return on equity of 6.7%. Net debt stands at $404M. Fundamentals as of Aug 30, 2026
Our scenario range runs from $37.48 (bear case) to $62.46 (bull case); at $72.42, the current price sits above that range. Bear and bull are the same models run on conservative and optimistic assumptions (margins, growth, valuation multiples), so a plausible valuation range, not a price target. The share trades about 5% below its 52-week high and 21% above its 52-week low, currently above its 200-day average. For context, the median of 10 Financial Services peers we cover trades at −10% fair-value upside, at −31%, PB screens richer than that median.
Fair Value models
This estimate rests on fiscal year 2025 figures, and about 8 months have passed since. In that time the company retained roughly $2.13 per share, which is 4.3 % of the fair value. The fair value deliberately does not add this in: the models value reported figures, not a projection.
Each model estimates fair value its own way; the Fair Value above is the evidence-weighted, family-balanced blend. Evidence (0–100) measures how completely this model’s inputs are available: well-fed models carry more weight in the blend. The spread across models is intentional, each one stresses a different value driver; dividend models, for instance, come out structurally low when payout is small. Every input is real reported data, nothing guessed.
All 6 models by family
Widest divergence: Multiples ($58.88) versus Dividend Discount ($27.94). Highest evidence: Residual Income (76).
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Key figures & financial health
More key figures
Figures from reported company fundamentals · as of Aug 30, 2026. TTM = trailing twelve months.
Quality Score breakdown
Of which business quality 57 · Market factors (momentum, volatility) 64
Non-valuation factor families (profitability, growth, cashflow, financial strength, momentum …), each academically grounded. Valuation itself sits in the Fair Value and is deliberately excluded here to avoid double-counting.
All values are scores from 0 to 100 (100 = best against fixed, research-based bands), not percentages. The three market factors (momentum, 52-week proximity, low volatility) are displayed but carry zero weight in the headline number: market sentiment is not a business property.
About the company
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.
Full company description
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.
Company description, as reported by the company or data provider.
Revenue & earnings trend
FY2021 – FY2025 · reported fiscal years
Prosperity Bancshares Inc reported revenue of $1.7B in FY2025 versus $1.2B in FY2021, a compound +10.8%/yr. Reported net income was $543M in FY2025, compounding +1.1%/yr from FY2021.
of which total revenue +8.7 % · buybacks/dilution −3.3 %
Annual growth per factor. These are factors, not summands: multiplied they give the EPS growth rate, added they do not quite. Start and end points are 3-year averages (details on hover).
PB screens 45% overvalued. Compare with DBS Group →
Recent news
External third-party headlines (Yahoo Finance, Reuters and others), not an editorial selection.
- Why Prosperity Bancshares (PB) is a Top Dividend Stock for Your Portfolio
- PB vs. CFR: Which Stock Is the Better Value Option?
- Prosperity Bancshares (PB) is a Top Dividend Stock Right Now: Should You Buy?
Peer Group
Banks - Regional · 1071 stocks
How this stock ranks against its industry: the green marker is this stock, the band is the typical 25–75% peer range, and the tick is the median.
Valuation Multiples vs Banks - Regional median · lower = cheaper
Strength profile in five axes (Snowflake)
Five quick dimensions, each 0 to 100: VALUE (fair-value potential), FUTURE (revenue growth), PAST (return on equity), HEALTH (low debt), DIVIDEND (yield). Green = this stock, grey = typical sector peer.
VALUE 0: the price sits above our fair-value range.
Insider activity: 46/100
Values & ESG
Does this company touch areas you may want to avoid? The classification is inferred from sector and industry.
Similar stocks
10 more Banks - Regional stocks, each showing price versus our Fair Value estimate (as of Aug 30, 2026).
| Stock | Price | Fair Value | vs Fair Value |
|---|---|---|---|
| DBS Group D05 | 75.65 SGD | 40.48 SGD | −46% |
| China Merchants Bank Co 3968 | HK$47.96 | HK$76.51 | +60% |
| Intesa Sanpaolo S.p.A ISP | €6.78 | €5.66 | −17% |
| HDFC Bank Limited HDB | $23.17 | $24.12 | +4% |
| BNP Paribas SA BNP | €102.56 | €144.64 | +41% |
| UniCredit S.p.A UCG | €84.71 | €77.62 | −8% |
| Mizuho Financial Group MFG | $10.74 | $9.69 | −10% |
| ICICI Bank Limited ICICIBANK | ₹1,443 | ₹835.21 | −42% |
| Oversea-Chinese Banking Corporation O39 | 31.07 SGD | 19.80 SGD | −36% |
| CaixaBank, S.A CABK | €13.52 | €8.85 | −35% |
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