(CFR) Cullen/Frost Bankers - Overview
Sector: Financial Services | Industry: Banks - Regional | Exchange: NYSE (USA) | Market Cap: 8.680m USD | Total Return: 13.1% in 12m
Avg Turnover: 76.1M
EPS Trend: -3.6%
Qual. Beats: 6
Rev. Trend: 84.0%
Qual. Beats: 0
Warnings
No concerns identified
Tailwinds
No distinct edge detected
Cullen/Frost Bankers, Inc. (CFR) is a financial holding company headquartered in San Antonio, operating primarily through Frost Bank to serve the Texas market. The institution provides a comprehensive suite of commercial and consumer banking, including specialized lending for industrial properties, equipment, and inventory, alongside traditional retail services like mortgages and personal loans.
The company maintains a diversified revenue stream through international banking, capital markets underwriting, insurance brokerage, and trust services. As a regional bank, Cullen/Frost relies heavily on the Texas economy, specifically serving high-capital industries such as energy, manufacturing, and healthcare. Regional banks often differentiate themselves from national peers by maintaining higher concentrations of commercial real estate (CRE) and middle-market business loans within specific geographic footprints.
For a deeper dive into these financial metrics, consider reviewing the latest data on ValueRay. Founded in 1868, the firm also provides investment management and treasury services to institutional and individual clients across nine distinct industry sectors.
- Texas economic growth and population migration drive commercial loan demand expansion
- Net interest margin sensitivity to Federal Reserve interest rate policy shifts
- Energy sector concentration risks impact credit quality and loan loss provisions
- Organic expansion into major Texas metro markets increases non-interest expenses
- High ratio of non-interest bearing deposits lowers cost of funding advantage
| Net Income: 668.6m TTM > 0 and > 6% of Revenue |
| FCF/TA: 0.01 > 0.02 and ΔFCF/TA 1.31 > 1.0 |
| NWC/Revenue: -1.67k% < 20% (prev -1.31k%; Δ -359.2% < -1%) |
| CFO/TA 0.02 > 3% & CFO 807.4m > Net Income 668.6m |
| Net Debt (4.01b) to EBITDA (883.1m): 4.54 < 3 |
| Current Ratio: 0.02 > 1.5 & < 3 |
| Outstanding Shares: last quarter (63.6m) vs 12m ago -1.13% < -2% |
| Gross Margin: 80.13% > 18% (prev 0.71%; Δ 7.94k% > 0.5%) |
| Asset Turnover: 5.32% > 50% (prev 5.50%; Δ -0.18% > 0%) |
| Interest Coverage Ratio: 1.21 > 6 (EBITDA TTM 883.1m / Interest Expense TTM 655.1m) |
| A: -0.88 (Total Current Assets 830.8m - Total Current Liabilities 47.5b) / Total Assets 52.7b |
| B: 0.08 (Retained Earnings 4.41b / Total Assets 52.7b) |
| C: 0.02 (EBIT TTM 795.0m / Avg Total Assets 52.4b) |
| D: 0.07 (Book Value of Equity 3.49b / Total Liabilities 48.2b) |
| Altman-Z'' = -5.35 = D |
As of May 24, 2026, the stock is trading at USD 139.01 with a total of 392,086 shares traded.
Over the past week, the price has changed by +3.47%,
over one month by -2.55%,
over three months by -1.25% and
over the past year by +13.06%.
Cullen/Frost Bankers has received a consensus analysts rating of 2.92. Therefore, it is recommended to hold CFR.
- StrongBuy: 1
- Buy: 1
- Hold: 9
- Sell: 0
- StrongSell: 2
| Analysts Target Price | 150.5 | 8.3% |
P/E Forward = 13.2275
P/S = 3.8891
P/B = 1.9289
P/EG = 2.2217
Revenue TTM = 2.79b USD
EBIT TTM = 795.0m USD
EBITDA TTM = 883.1m USD
Long Term Debt = 223.1m USD (from longTermDebt, last quarter)
Short Term Debt = 4.13b USD (from shortTermDebt, last quarter)
Debt = 4.64b USD (from shortLongTermDebtTotal, last quarter)
Net Debt = 4.01b USD (calculated: Debt 4.64b - CCE 638.8m)
Enterprise Value = 12.7b USD (8.68b + Debt 4.64b - CCE 638.8m)
Interest Coverage Ratio = 1.21 (Ebit TTM 795.0m / Interest Expense TTM 655.1m)
EV/FCF = 16.53x (Enterprise Value 12.7b / FCF TTM 767.2m)
FCF Yield = 6.05% (FCF TTM 767.2m / Enterprise Value 12.7b)
FCF Margin = 27.54% (FCF TTM 767.2m / Revenue TTM 2.79b)
Net Margin = 24.00% (Net Income TTM 668.6m / Revenue TTM 2.79b)
Gross Margin = 80.13% ((Revenue TTM 2.79b - Cost of Revenue TTM 553.6m) / Revenue TTM)
Gross Margin QoQ = none% (prev 76.37%)
Tobins Q-Ratio = 0.24 (Enterprise Value 12.7b / Total Assets 52.7b)
Interest Expense / Debt = 14.11% (Interest Expense 655.1m / Debt 4.64b)
Taxrate = 15.52% (31.4m / 202.4m)
NOPAT = 671.6m (EBIT 795.0m * (1 - 15.52%))
Current Ratio = 0.02 (Total Current Assets 830.8m / Total Current Liabilities 47.5b)
Debt / Equity = 1.03 (Debt 4.64b / totalStockholderEquity, last quarter 4.53b)
Debt / EBITDA = 4.54 (Net Debt 4.01b / EBITDA 883.1m)
Debt / FCF = 5.22 (Net Debt 4.01b / FCF TTM 767.2m)
Total Stockholder Equity = 4.44b (last 4 quarters mean from totalStockholderEquity)
RoA = 1.28% (Net Income 668.6m / Total Assets 52.7b)
RoE = 15.05% (Net Income TTM 668.6m / Total Stockholder Equity 4.44b)
RoCE = 17.04% (EBIT 795.0m / Capital Employed (Equity 4.44b + L.T.Debt 223.1m))
RoIC = 1.29% (NOPAT 671.6m / Invested Capital 52.2b)
WACC = 10.06% (E(8.68b)/V(13.3b) * Re(9.06%) + D(4.64b)/V(13.3b) * Rd(14.11%) * (1-Tc(0.16)))
Discount Rate = 9.06% (= CAPM, Blume Beta Adj.)
Shares (quarterly) Correlation: -40.45 | Cagr: -0.40%
[DCF] Terminal Value 72.65% ; FCFF base≈490.1m ; Y1≈561.8m ; Y5≈826.9m
[DCF] Fair Price = 88.49 (EV 9.56b - Net Debt 4.01b = Equity 5.56b / Shares 62.8m; r=10.06% [WACC]; 5y FCF grow 15.0% → 2.50% )
EPS Correlation: -3.62 | EPS CAGR: -0.30% | SUE: 1.19 | # QB: 6
Revenue Correlation: 84.01 | Revenue CAGR: 5.53% | SUE: -0.03 | # QB: 0
EPS current Quarter (2026-06-30): EPS=2.54 | Chg30d=-0.76% | Revisions=-25% | Analysts=12
EPS next Quarter (2026-09-30): EPS=2.68 | Chg30d=+1.43% | Revisions=+47% | Analysts=12
EPS current Year (2026-12-31): EPS=10.62 | Chg30d=+2.61% | Revisions=+73% | GrowthEPS=+3.8% | GrowthRev=+3.0%
EPS next Year (2027-12-31): EPS=11.01 | Chg30d=+3.46% | Revisions=+71% | GrowthEPS=+3.7% | GrowthRev=+4.9%
[Analyst] Revisions Ratio: +73%