Core Insights - Cullen/Frost Bankers reported a revenue of $603.38 million for the quarter ended December 2025, reflecting an 8.4% increase year-over-year and a 3% surprise over the Zacks Consensus Estimate of $585.8 million [1] - The earnings per share (EPS) for the quarter was $2.57, up from $2.36 in the same quarter last year, with an EPS surprise of 3.91% compared to the consensus estimate of $2.47 [1] Financial Performance Metrics - Net charge-offs as a percentage of average loans were 0.1%, better than the average estimate of 0.2% [4] - Total earning assets averaged $50.03 billion, exceeding the three-analyst average estimate of $49.42 billion [4] - Net Interest Margin (FTE) was reported at 3.7%, matching the average estimate [4] - Non-accrual loans amounted to $70.48 million, higher than the estimated $56.86 million [4] - Book value per common share at the end of the quarter was $69.96, slightly above the average estimate of $69.50 [4] - Total Non-Interest Income reached $132.16 million, surpassing the average estimate of $123.85 million [4] - Net Interest Income (FTE) was $471.22 million, exceeding the average estimate of $461.96 million [4] - Service charges on deposit accounts were $32.36 million, compared to the average estimate of $29.74 million [4] - Net Interest Income was reported at $448.71 million, above the average estimate of $435.51 million [4] - Insurance commissions and fees totaled $15.18 million, exceeding the average estimate of $14.91 million [4] - Trust and investment management fees were $45.65 million, slightly above the average estimate of $45.05 million [4] - Other charges, commissions, and fees reached $15.23 million, compared to the average estimate of $14.64 million [4] Stock Performance - Shares of Cullen/Frost have returned +6.8% over the past month, outperforming the Zacks S&P 500 composite's +0.8% change [3] - The stock currently holds a Zacks Rank 3 (Hold), indicating expected performance in line with the broader market in the near term [3]

分组1 - Cullen/Frost Bankers reported quarterly earnings of $2.57 per share, exceeding the Zacks Consensus Estimate of $2.47 per share, and showing an increase from $2.36 per share a year ago, resulting in an earnings surprise of +3.91% [1] - The company achieved revenues of $603.38 million for the quarter ended December 2025, surpassing the Zacks Consensus Estimate by 3.00%, and up from $556.44 million year-over-year [2] - Cullen/Frost has consistently outperformed consensus EPS and revenue estimates over the last four quarters [2] 分组2 - The stock has gained approximately 6.8% since the beginning of the year, compared to the S&P 500's gain of 1.9% [3] - The current consensus EPS estimate for the upcoming quarter is $2.38 on revenues of $587.82 million, and for the current fiscal year, it is $9.88 on revenues of $2.39 billion [7] - The Zacks Industry Rank for Banks - Southwest is in the top 32% of over 250 Zacks industries, indicating a favorable outlook for the sector [8]

Financial Performance - Net income available to common shareholders for Q4 2025 was $164.6 million, a 7.4% increase from $153.2 million in Q4 2024[2] - For the full year 2025, net income available to common shareholders was $641.9 million, up 11.5% from $575.9 million in 2024[3] - Net income available to common shareholders for Q4 2025 was $164,583, a decrease of 4.1% compared to $172,712 in Q3 2025[18] - Earnings per common share (basic) for Q4 2025 was $2.56, down from $2.67 in Q3 2025, representing a decline of 4.1%[18] - Earnings per common share (basic) rose to $9.92 in 2025, compared to $8.88 in 2024, marking an increase of 11.7%[22] Income and Expenses - Non-interest income for Q4 2025 was $132.2 million, a 7.6% increase from $122.8 million in Q4 2024[7] - Non-interest expense for Q4 2025 was $371.7 million, up 10.6% from $336.2 million in Q4 2024[8] - Net interest income for Q4 2025 was $448,707, an increase of 1.5% from Q3 2025's $441,618[18] - Total non-interest income reached $132,164 in Q4 2025, up from $125,647 in Q3 2025, reflecting a growth of 4.0%[18] - Net interest income for 2025 reached $1,821,848, an increase of 7.9% from $1,687,873 in 2024[22] - Total non-interest income increased to $499,095 in 2025, up 8.7% from $459,098 in 2024[22] Loans and Deposits - Average loans for Q4 2025 increased by $1.3 billion, or 6.5%, to $21.7 billion compared to $20.3 billion in Q4 2024[5] - Average deposits for Q4 2025 rose by $1.5 billion, or 3.5%, to $43.3 billion from $41.9 billion in Q4 2024[5] - Total deposits increased to $43,340 million in Q4 2025, compared to $42,071 million in Q3 2025, marking a growth of 3.0%[20] - Loans at period-end increased to $21,892 million in 2025, compared to $20,755 million in 2024, a growth of 5.5%[24] Asset and Capital Management - Cullen/Frost had $53.0 billion in assets as of December 31, 2025[11] - Total assets grew to $53,041 million in 2025, up from $52,520 million in 2024, reflecting a 1.0% increase[24] - The Tier 1 Risk-Based Capital Ratio was 14.50% in Q4 2025, slightly down from 14.59% in Q3 2025[20] - The Common Equity Tier 1 Risk-Based Capital Ratio improved to 14.06% in 2025, up from 13.62% in 2024[24] Credit Quality - The company reported a credit loss expense of $11.2 million for Q4 2025, compared to $16.2 million in Q4 2024[8] - The allowance for credit losses on loans was $281,495 thousand, representing 1.29% of period-end loans in Q4 2025[20] - Non-accrual loans amounted to $70,482 thousand, which is 0.32% of total loans in Q4 2025, up from 0.21% in Q3 2025[20] - The allowance for credit losses on loans was $281,495, representing 1.29% of period-end loans in 2025[24] - Non-accrual loans decreased to $70,482, which is 0.32% of total loans, down from 0.38% in 2024[24] Dividends and Stock Repurchase - The board declared a first-quarter cash dividend of $1.00 per common share, payable on March 13, 2026[9] - The company authorized a new stock repurchase program of up to $300 million, expiring on January 27, 2027[10] - Cash dividends per common share remained stable at $1.00 for both Q4 2025 and Q3 2025[18] Book Value - Book value per common share at the end of Q4 2025 was $69.96, an increase from $67.64 in Q3 2025[18] Profitability Metrics - The net interest spread for 2025 was 3.02%, compared to 2.98% in 2024, indicating improved profitability on earning assets[25]

Core Viewpoint - Cullen/Frost Bankers, Inc. (CFR) announced a cash dividend of $1.00 per common share for the first quarter and a new share repurchase program of up to $300 million [1] Financial Results - The company reported its financial results for the fourth quarter on Thursday [1] - The cash dividend is set to be paid on March 13, 2026, to shareholders of record on February 27 of this year [1] Shareholder Actions - The board of directors approved a new share repurchase program with authorization to purchase up to $300 million of common stock over a one-year period expiring on January 27, 2027 [1] Market Performance - In pre-market trading, CFR shares are priced at $141.00, reflecting an increase of $5.88 or 4.35 percent [2]

Core Viewpoint - Analysts forecast Cullen/Frost Bankers (CFR) to report quarterly earnings of $2.47 per share, reflecting a year-over-year increase of 4.7%, with revenues expected to reach $585.8 million, a 5.3% increase compared to the previous year [1]. Earnings Estimates - The consensus EPS estimate has remained unchanged over the last 30 days, indicating a collective reevaluation by analysts [2]. - Revisions to earnings estimates are crucial for predicting investor actions, as empirical research shows a strong correlation between earnings estimate trends and short-term stock performance [3]. Key Financial Metrics - Total earning assets and average rate earned are projected to reach $49.42 billion, up from $47.58 billion a year ago [5]. - Net Interest Margin (FTE) is estimated at 3.7%, compared to 3.5% in the same quarter last year [5]. - Total Non-Performing Loans/Non-accrual loans are expected to be $56.86 million, down from $78.87 million a year ago [6]. - Book value per common share at the end of the quarter is estimated at $69.50, up from $58.46 in the same quarter last year [6]. Income Projections - Total Non-Interest Income is projected to reach $123.85 million, slightly up from $122.82 million a year ago [7]. - Net Interest Income (FTE) is expected to be $461.96 million, compared to $433.73 million in the previous year [7]. - Service charges on deposit accounts are forecasted at $29.74 million, up from $27.91 million last year [8]. - Net Interest Income is estimated to be $435.51 million, compared to $413.52 million in the same quarter last year [8]. - Insurance commissions and fees are expected to be $14.91 million, up from $14.22 million a year ago [9]. - Trust and investment management fees are projected at $45.05 million, compared to $43.77 million last year [9]. - Other charges, commissions, and fees are estimated to reach $14.64 million, down from $15.21 million in the same quarter last year [10]. Stock Performance - Cullen/Frost shares have increased by 5.9% in the past month, outperforming the Zacks S&P 500 composite, which saw a 0.4% increase [10].

Company Overview - Cullen/Frost Bankers (CFR) is expected to report quarterly earnings of $2.47 per share, reflecting a year-over-year increase of +4.7% [3] - Revenues are anticipated to reach $585.8 million, which is a 5.3% increase from the same quarter last year [3] Earnings Expectations - The earnings report is scheduled for January 29, and positive results could lead to a stock price increase, while disappointing results may cause a decline [2] - The consensus EPS estimate has remained unchanged over the last 30 days, indicating stability in analyst expectations [4] Earnings Surprise Potential - The Most Accurate Estimate for Cullen/Frost is higher than the Zacks Consensus Estimate, resulting in an Earnings ESP of +1.28%, suggesting a bullish outlook from analysts [12] - The company holds a Zacks Rank of 3, indicating a hold position, which combined with a positive Earnings ESP suggests a likelihood of beating the consensus EPS estimate [12] Historical Performance - In the last reported quarter, Cullen/Frost exceeded the expected earnings of $2.38 per share by delivering $2.67, resulting in a surprise of +12.18% [13] - Over the past four quarters, the company has consistently beaten consensus EPS estimates [14] Industry Context - In the Zacks Banks - Southwest industry, Prosperity Bancshares (PB) is expected to report earnings of $1.45 per share, reflecting a year-over-year change of +5.8% [18] - Prosperity Bancshares has an Earnings ESP of -0.85% and a Zacks Rank of 3, making it challenging to predict a beat on the consensus EPS estimate [19]

Group 1 - Cullen/Frost Bankers, Inc. (NYSE:CFR) is recognized as one of the 14 Best Mid Cap Dividend Aristocrat Stocks to buy now [1] - Keefe Bruyette upgraded Cullen/Frost to Outperform from Market Perform, maintaining a price target of $150, citing potential for earnings estimates to rise through 2027 and an expected organic loan growth of about 8% in 2026 [2] - Barclays adopted a cautious approach, lowering its price target for Cullen/Frost from $145 to $140 while maintaining an Equal Weight rating, indicating a broader outlook update for mid-cap banks [3] Group 2 - Cullen/Frost is a Texas-focused bank holding company that offers a diverse range of financial products and services across multiple markets in the state [4]

Core Viewpoint - Cullen/Frost Bankers, Inc. will host a conference call on January 29, 2026, to discuss its fourth quarter 2025 earnings [1] Group 1: Conference Call Details - The conference call will start at 1:00 p.m. Central Time (CT) and will be led by key executives including Phil Green, Dan Geddes, and A.B. Mendez [2] - A question and answer session will follow the prepared remarks, allowing analysts to engage with the executives [2] Group 2: Access Information - The earnings release will be available online at approximately 8:00 a.m. CT on the same day [1] - The conference call can be accessed via a live webcast or by telephone, with a recommended dial-in time of 5 to 10 minutes prior to the call [4] - The webcast will be archived for playback after 5:00 p.m. CT on the day of the call [3]

Core Viewpoint - Cullen/Frost Bankers (CFR) has received an upgrade to a Zacks Rank 2 (Buy), indicating a positive outlook based on rising earnings estimates, which significantly influence stock prices [1][3]. Earnings Estimates and Stock Performance - The Zacks rating system is based on changes in earnings estimates, which are closely correlated with near-term stock price movements, making it a valuable tool for investors [2][4]. - The recent upgrade reflects an improved earnings outlook for Cullen/Frost, suggesting potential buying pressure and an increase in stock price [3][5]. Earnings Estimate Revisions - For the fiscal year ending December 2025, Cullen/Frost is expected to earn $9.84 per share, unchanged from the previous year, but the Zacks Consensus Estimate has increased by 2.7% over the past three months [8]. Zacks Rank System - The Zacks Rank system classifies stocks into five groups based on earnings estimates, with a strong historical performance, particularly for Zacks Rank 1 stocks, which have averaged a +25% annual return since 1988 [7]. - Cullen/Frost's upgrade to Zacks Rank 2 places it in the top 20% of Zacks-covered stocks, indicating a strong potential for market-beating returns in the near term [10].

Industry Overview - The global luxury sector has faced challenges in 2025 due to uneven consumer demand, currency volatility, and a slowdown in key markets like China [1] - Signs of stabilization are emerging as analysts expect easing financial conditions and renewed spending by high-net-worth consumers heading into 2026 [1] Company Analysis: LVMH Moët Hennessy Louis Vuitton - LVMH is the world's largest luxury conglomerate, benefiting from a dominant market position and broad exposure across various segments including fashion, leather goods, jewelry, cosmetics, and wines and spirits [2] - The company's diversified structure allows it to offset weaknesses in one segment with strengths in another, maintaining robust margins through brand equity and pricing power [2] - Analysts expect the fashion and leather goods division to remain a key earnings driver, supported by global demand and continued investment in brands [3] - LVMH's exposure to multiple regions, including the United States, Europe, and Asia, enhances its ability to navigate uneven economic conditions [3] Company Analysis: Compagnie Financière Richemont - Compagnie Financière Richemont is viewed as an attractive luxury stock for 2026, with a strong focus on high-end jewelry and watches [6] - Brands like Cartier and Van Cleef & Arpels are benefiting from resilient demand, as jewelry has historically performed better during economic slowdowns [7] - Richemont is enhancing its operational efficiency and digital capabilities, which could support margins as sales recover [8] - Recent upgrades from major banks indicate growing confidence in Richemont's positioning to capture a recovery in luxury spending while maintaining its premium brand status [8] Conclusion - As macroeconomic pressures ease and consumer confidence improves, both LVMH and Richemont appear well-positioned to benefit from a renewed upturn in high-end demand [11]