Earnings To Watch: Cullen/Frost Bankers (CFR) Reports Q2 Results Tomorrow
Texas-based financial institution Cullen/Frost Bankers (NYSE:CFR) will be announcing earnings results this Thursday before the bell. Here’s what to look for.
Cullen/Frost Bankers missed analysts’ revenue expectations last quarter, reporting revenues of $574.8 million, up 6.4% year on year. It was a slower quarter for the company, with a significant miss of analysts’ net interest income estimates.
Is Cullen/Frost Bankers a buy or sell going into earnings? Read our full analysis here, it’s free for active Edge members.
This quarter, the market is expecting Cullen/Frost Bankers’s revenue to grow 7.7% year on year, in line with the 7.7% increase it recorded in the same quarter last year.
Analysts covering the company have generally reconfirmed their estimates over the last 30 days, suggesting they anticipate the business will stay the course heading into earnings. Cullen/Frost Bankers has missed Wall Street’s revenue estimates multiple times over the last two years.
Looking at Cullen/Frost Bankers’s peers in the regional banks segment, some have already reported their Q2 results, giving us a hint as to what we can expect. OFG Bancorp delivered year-on-year revenue growth of 4.5%, beating analysts’ expectations by 3.9%, and Hilltop Holdings reported revenues up 7.5%, topping estimates by 3.4%. OFG Bancorp traded up 4.2% following the results while Hilltop Holdings was also up 3%.
Read our full analysis of OFG Bancorp’s results here and Hilltop Holdings’s results here.
There has been positive sentiment among investors in the regional banks segment, with share prices up 2.2% on average over the last month. Cullen/Frost Bankers is up 8% during the same time and is heading into earnings with an average analyst price target of $159 (compared to the current share price of $167.09).
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