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CFR-PB Stock Analysis - CULLEN/FROST BANKERS, INC. AI Rating

CFR-PB NYSE National Commercial Banks TX CIK: 0000039263
Recently Updated • Analysis: Mar 22, 2026 • SEC Data: 2025-12-31
AI Rating
HOLD
62% Confidence

📊 CFR-PB Key Takeaways

Revenue: $2.2B
Net Margin: 29.0%
Free Cash Flow: $127.3M
Current Ratio: N/A
Debt/Equity: 0.00x
EPS: $9.92
AI Rating: HOLD with 62% confidence

Investment Thesis

Cullen/Frost demonstrates solid profitability with a 29% net margin and 14.2% ROE, supported by strong liquidity (8.9B cash) and zero leverage. However, the dramatic 1738.6% revenue surge is anomalous and likely driven by accounting changes or acquisitions rather than organic growth, raising concerns about sustainable earnings quality and the normalization of net income growth to just 1% YoY.

CFR-PB Strengths

  • + Exceptional net profit margin of 29% indicates strong pricing power and operational efficiency
  • + Conservative balance sheet with zero debt and substantial cash reserves of 8.9B providing financial stability
  • + Positive free cash flow of 127.3M demonstrates ability to fund operations and returns to shareholders
  • + ROE of 14.2% shows reasonable returns on shareholder capital in banking context

CFR-PB Risks

  • ! Unexplained 1738.6% revenue spike is unsustainable and suggests one-time items or accounting adjustments masking underlying performance
  • ! Anemic 1% net income growth YoY despite massive revenue increase indicates margin compression and deteriorating earnings quality
  • ! Low ROA of 1.2% is weak for a bank and suggests asset utilization challenges or asset quality concerns
  • ! Interest coverage of only 1.5x is concerning and indicates limited capacity to service obligations from operating income

Key Metrics to Watch

CFR-PB Financial Metrics

Revenue
$2.2B
Net Income
$648.6M
EPS (Diluted)
$9.92
Free Cash Flow
$127.3M
Total Assets
$53.0B
Cash Position
$8.9B

💡 AI Analyst Insight

The current ratio below 1.0x warrants monitoring of short-term liquidity.

CFR-PB Profitability Ratios

Gross Margin N/A
Operating Margin 34.5%
Net Margin 29.0%
ROE 14.2%
ROA 1.2%
FCF Margin 5.7%

CFR-PB vs Finance Sector

How CULLEN/FROST BANKERS, INC. compares to Finance sector averages

Net Margin
CFR-PB 29.0%
vs
Sector Avg 25.0%
CFR-PB Sector
ROE
CFR-PB 14.2%
vs
Sector Avg 12.0%
CFR-PB Sector
Current Ratio
CFR-PB 0.0x
vs
Sector Avg 1.2x
CFR-PB Sector
Debt/Equity
CFR-PB 0.0x
vs
Sector Avg 2.0x
CFR-PB Sector

Sector benchmarks are approximate industry averages. Actual sector performance may vary.

CFR-PB Balance Sheet & Liquidity

Current Ratio
N/A
Quick Ratio
N/A
Debt/Equity
0.00x
Debt/Assets
91.4%
Interest Coverage
1.48x
Long-term Debt
N/A

CFR-PB 5-Year Financial Trend

CFR-PB 5-year financial data: Year 2021: Revenue $89.0M, Net Income $443.6M, EPS $6.84. Year 2022: Revenue $91.9M, Net Income $331.2M, EPS $5.10. Year 2023: Revenue $93.5M, Net Income $443.1M, EPS $6.76. Year 2024: Revenue $106.2M, Net Income $579.2M, EPS $8.81. Year 2025: Revenue $121.6M, Net Income $598.0M, EPS $9.10.
Revenue
Net Income
EPS (right axis)

5-Year Trend Summary: CULLEN/FROST BANKERS, INC.'s revenue has grown significantly by 37% over the 5-year period, indicating strong business expansion. The most recent EPS of $9.10 reflects profitable operations.

CFR-PB Growth Metrics (YoY)

Revenue Growth
N/A
Year-over-year
Net Income Growth
N/A
Year-over-year
EPS Growth
N/A
Earnings per share
FCF Margin
5.7%
Free cash flow / Revenue

CFR-PB Quarterly Performance

Quarterly financial performance data for CULLEN/FROST BANKERS, INC. including revenue, net income, and earnings per share.
Quarter Revenue Net Income EPS
Q3 2025 $27.4M $146.5M $2.24
Q2 2025 $26.1M $145.5M $2.21
Q1 2025 $24.8M $135.7M $2.06
Q3 2024 $23.6M $146.5M $2.24
Q2 2024 $23.5M $145.5M $2.21
Q1 2024 $21.9M $135.7M $2.06
Q3 2023 $23.0M $155.7M $2.38
Q2 2023 $23.5M $119.1M $1.81

Data sourced from SEC EDGAR 10-Q quarterly filings. Figures may represent quarterly or cumulative values.

CFR-PB Capital Allocation

Operating Cash Flow
$274.0M
Cash generated from operations
Stock Buybacks
$157.8M
Shares repurchased (TTM)
Capital Expenditures
$146.7M
Investment in assets
Dividends Paid
$255.4M
Returned to shareholders

CFR-PB SEC Filings

Access official SEC EDGAR filings for CULLEN/FROST BANKERS, INC. (CIK: 0000039263)

📋 Recent SEC Filings

Date Form Document Action
Mar 20, 2026 DEF 14A cfr-20260320.htm View →
Mar 16, 2026 4 xslF345X05/wk-form4_1773675034.xml View →
Mar 6, 2026 4 xslF345X05/wk-form4_1772834512.xml View →
Feb 11, 2026 4 xslF345X05/wk-form4_1770828209.xml View →
Feb 11, 2026 8-K cfr-20260211.htm View →

Frequently Asked Questions about CFR-PB

What is the AI rating for CFR-PB?

CULLEN/FROST BANKERS, INC. (CFR-PB) has an AI rating of HOLD with 62% confidence, based on fundamental analysis of SEC EDGAR filings.

What are CFR-PB's key strengths?

Exceptional net profit margin of 29% indicates strong pricing power and operational efficiency. Conservative balance sheet with zero debt and substantial cash reserves of 8.9B providing financial stability.

What are the risks of investing in CFR-PB?

Unexplained 1738.6% revenue spike is unsustainable and suggests one-time items or accounting adjustments masking underlying performance. Anemic 1% net income growth YoY despite massive revenue increase indicates margin compression and deteriorating earnings quality.

What is CFR-PB's revenue and growth?

CULLEN/FROST BANKERS, INC. reported revenue of $2.2B.

Does CFR-PB pay dividends?

CULLEN/FROST BANKERS, INC. pays dividends, with $255.4M distributed to shareholders in the trailing twelve months.

Where can I find CFR-PB SEC filings?

Official SEC filings for CULLEN/FROST BANKERS, INC. (CIK: 0000039263) including 10-K, 10-Q, and 8-K reports are available on SEC EDGAR.

What is CFR-PB's EPS?

CULLEN/FROST BANKERS, INC. has a diluted EPS of $9.92.

How is the AI analysis conducted?

Our AI (Claude) analyzes publicly available SEC EDGAR filings including 10-K annual reports and 10-Q quarterly reports to evaluate financial health, profitability ratios, balance sheet strength, and growth metrics.

Disclaimer: This analysis is generated by Claude AI based on publicly available SEC EDGAR filings. It does not include stock price data and should not be considered financial advice. All fundamental data is sourced from SEC public domain filings. Always conduct your own research and consult with a qualified financial advisor before making investment decisions.
Data Source: SEC EDGAR | Analysis Date: Mar 22, 2026 | Data as of: 2025-12-31 | Powered by Claude AI