Cullen/Frost Bankers Q2 net income rises on loan and deposit growth 

Overview

• U.S. regional bank's Q2 net income and EPS rose yr/yr

• Net interest income for Q2 increased 4.3% from a year earlier

• Company repurchased $90 mln in shares during the quarter

Outlook

• Company did not provide specific guidance for the current or upcoming quarters

Result Drivers

• LOAN AND DEPOSIT GROWTH - Co said Q2 results were driven by acceleration in growth of loans and both non-interest-bearing and interest-bearing deposits

• NON-INTEREST INCOME - Higher trust and investment management fees and increased service charges on deposit accounts contributed to non-interest income growth

• EXPANDED CUSTOMER BASE - Growth in total households, including consumer and commercial customers, supported results

Company press release: ID:nPn1YBkRta

Key Details

Analyst Coverage

• The current average analyst rating on the shares is "hold" and the breakdown of recommendations is 7 "strong buy" or "buy", 6 "hold" and 2 "sell" or "strong sell"

• The average consensus recommendation for the banks peer group is "buy."

• Wall Street's median 12-month price target for Cullen/Frost Bankers Inc is $160.00, about 4.2% below its July 29 closing price of $166.93

• The stock recently traded at 15 times the next 12-month earnings vs. a P/E of 13 three months ago

Reuters Recommended Reads

• July 30 - Citizens Financial Q2 profit rises 20% on higher interest income

• July 29 - Prosperity Bancshares Q2 adjusted EPS beats estimates

• July 29 - SoFi's unchanged profit forecast tempers record quarter, revenue outlook lift

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(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)