Here's Why Prosperity Bancshares (PB) is a Strong Value Stock

Group 1 - Zacks Premium offers various tools to help investors become more confident and informed, including daily updates on Zacks Rank and Industry Rank, Equity Research reports, and Premium stock screens [1][2] - The Zacks Style Scores are complementary indicators that rate stocks based on value, growth, and momentum, helping investors identify stocks likely to outperform the market in the next 30 days [2][3] Group 2 - Each stock is rated from A to F based on its value, growth, and momentum characteristics, with A being the highest score indicating a better chance of outperforming [3] - The Value Score focuses on identifying undervalued stocks using ratios like P/E, PEG, and Price/Sales [3][4] - The Growth Score assesses a company's financial strength and future outlook, analyzing projected and historical earnings, sales, and cash flow [4] - The Momentum Score evaluates trends in stock price and earnings outlook, using factors like one-week price change and monthly earnings estimate changes [5] Group 3 - The VGM Score combines the three Style Scores to identify stocks with attractive value, strong growth forecasts, and promising momentum, serving as a useful indicator alongside the Zacks Rank [6] - The Zacks Rank utilizes earnings estimate revisions to simplify the process of building a winning portfolio, with 1 (Strong Buy) stocks historically yielding an average annual return of +25.41% since 1988, outperforming the S&P 500 [7][8] Group 4 - Investors are encouraged to focus on stocks with a Zacks Rank of 1 or 2 and Style Scores of A or B for the highest probability of success [10] - Stocks with a 3 (Hold) rank should also have Style Scores of A or B to maximize upside potential [10][11] Group 5 - Prosperity Bancshares, Inc. is a financial holding company based in Houston, TX, primarily deriving revenue from its bank subsidiary, Prosperity Bank [12] - Prosperity Bancshares has a Zacks Rank of 3 (Hold) and a VGM Score of B, with a Value Style Score of B due to a forward P/E ratio of 13.37, making it attractive for value investors [13] - The company has seen upward revisions in earnings estimates, with the Zacks Consensus Estimate increasing by $0.02 to$5.82 per share for fiscal 2025, and an average earnings surprise of 2.6% [13][14]