CULLEN/FROST BANKERS INC (CFR)
US2298991090 - Common Stock
We assign a fundamental rating of 3 out of 10 to CFR. CFR was compared to 411 industry peers in the Banks industry. CFR has a medium profitability rating, but doesn't score so well on its financial health evaluation. CFR is quite expensive at the moment. It does show a decent growth rate.
1. Profitability
1.1 Basic Checks
CFR had positive earnings in the past year.
CFR had a positive operating cash flow in the past year.
In the past 5 years CFR has always been profitable.
In the past 5 years CFR always reported a positive cash flow from operatings.
1.2 Ratios
CFR's Return On Assets of 1.49% is amongst the best of the industry. CFR outperforms 88.81% of its industry peers.
CFR has a better Return On Equity (20.43%) than 96.84% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.49% | ||
| ROE | 20.43% | ||
| ROIC | N/A |
ROA(3y)1.02%
ROA(5y)1.02%
ROE(3y)14.52%
ROE(5y)12.41%
ROIC(3y)N/A
ROIC(5y)N/A
1.3 Margins
With a decent Profit Margin value of 30.46%, CFR is doing good in the industry, outperforming 77.13% of the companies in the same industry.
CFR's Profit Margin has declined in the last couple of years.
CFR does not have Operating Margin and Gross Margin available, so we won't be analyzing them here.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| OM | N/A | ||
| PM (TTM) | 30.46% | ||
| GM | N/A |
OM growth 3YN/A
OM growth 5YN/A
PM growth 3Y9.81%
PM growth 5Y-2.78%
GM growth 3YN/A
GM growth 5YN/A
2. Health
2.1 Basic Checks
CFR does not have a ROIC to compare to the WACC, probably because it is not profitable.
CFR has more shares outstanding than it did 1 year ago.
CFR has more shares outstanding than it did 5 years ago.
Compared to 1 year ago, CFR has an improved debt to assets ratio.
2.2 Solvency
CFR has a debt to FCF ratio of 13.63. This is a negative value and a sign of low solvency as CFR would need 13.63 years to pay back of all of its debts.
CFR has a Debt to FCF ratio of 13.63. This is amonst the worse of the industry: CFR underperforms 81.02% of its industry peers.
A Debt/Equity ratio of 1.17 is on the high side and indicates that CFR has dependencies on debt financing.
CFR has a Debt to Equity ratio of 1.17. This is amonst the worse of the industry: CFR underperforms 85.64% of its industry peers.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | 13.63 | ||
| Altman-Z | N/A |
ROIC/WACCN/A
WACC11.6%
2.3 Liquidity
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Current Ratio | N/A | ||
| Quick Ratio | N/A |
3. Growth
3.1 Past
The Earnings Per Share has been growing slightly by 3.29% over the past year.
The Earnings Per Share has been growing slightly by 5.72% on average over the past years.
Looking at the last year, CFR shows a very strong growth in Revenue. The Revenue has grown by 21.78%.
Measured over the past years, CFR shows a quite strong growth in Revenue. The Revenue has been growing by 8.70% on average per year.
EPS 1Y (TTM)3.29%
EPS 3Y21.29%
EPS 5Y5.72%
EPS growth Q2Q-46.74%
Revenue 1Y (TTM)21.78%
Revenue growth 3Y11.3%
Revenue growth 5Y8.7%
Revenue growth Q2Q-0.44%
3.2 Future
The Earnings Per Share is expected to grow by 2.93% on average over the next years.
Based on estimates for the next years, CFR will show a small growth in Revenue. The Revenue will grow by 4.03% on average per year.
EPS Next Y-6.09%
EPS Next 2Y-3.44%
EPS Next 3Y0.69%
EPS Next 5Y2.93%
Revenue Next Year3.67%
Revenue Next 2Y3.7%
Revenue Next 3Y4.03%
Revenue Next 5YN/A
3.3 Evolution
The EPS growth rate is decreasing: in the next years the growth will be less than in the last years.
The Revenue growth rate is decreasing: in the next years the growth will be less than in the last years.
4. Valuation
4.1 Price/Earnings Ratio
With a Price/Earnings ratio of 12.65, CFR is valued correctly.
Based on the Price/Earnings ratio, CFR is valued a bit more expensive than 71.29% of the companies in the same industry.
CFR is valuated rather cheaply when we compare the Price/Earnings ratio to 24.95, which is the current average of the S&P500 Index.
The Price/Forward Earnings ratio is 13.47, which indicates a correct valuation of CFR.
66.91% of the companies in the same industry are cheaper than CFR, based on the Price/Forward Earnings ratio.
When comparing the Price/Forward Earnings ratio of CFR to the average of the S&P500 Index (21.40), we can say CFR is valued slightly cheaper.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.65 | ||
| Fwd PE | 13.47 |
4.2 Price Multiples
Based on the Price/Free Cash Flow ratio, CFR is valued more expensive than 80.05% of the companies in the same industry.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| P/FCF | 23.09 | ||
| EV/EBITDA | N/A |
4.3 Compensation for Growth
PEG (NY)N/A
PEG (5Y)2.21
EPS Next 2Y-3.44%
EPS Next 3Y0.69%
5. Dividend
5.1 Amount
CFR has a Yearly Dividend Yield of 3.37%. Purely for dividend investing, there may be better candidates out there.
Compared to an average industry Dividend Yield of 3.93, CFR has a dividend in line with its industry peers.
Compared to an average S&P500 Dividend Yield of 2.45, CFR pays a bit more dividend than the S&P500 average.
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
5.2 History
On average, the dividend of CFR grows each year by 6.25%, which is quite nice.
CFR has paid a dividend for at least 10 years, which is a reliable track record.
CFR has not decreased their dividend for at least 10 years, which is a reliable track record.
Dividend Growth(5Y)6.25%
Div Incr Years19
Div Non Decr Years19
5.3 Sustainability
CFR pays out 31.48% of its income as dividend. This is a sustainable payout ratio.
CFR's earnings are growing slower than its dividend. This means the dividend growth is not sustainable.
DP31.48%
EPS Next 2Y-3.44%
EPS Next 3Y0.69%
CULLEN/FROST BANKERS INC
NYSE:CFR (4/23/2024, 12:44:34 PM)
115.13
+1.86 (+1.64%)
Chartmill FA Rating
GICS SectorFinancials
GICS IndustryGroupBanks
GICS IndustryBanks
Earnings (Last)
Earnings (Next)
Inst Owners
Inst Owner Change
Ins Owners
Ins Owner Change
Market Cap7.39B
Analysts
Price Target
Dividend
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Dividend Yield | 3.37% |
Dividend Growth(5Y)
DP
Div Incr Years
Div Non Decr Years
Ex-Date
Surprises & Revisions
EPS beat(2)
Avg EPS beat(2)
Min EPS beat(2)
Max EPS beat(2)
EPS beat(4)
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Min EPS beat(4)
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EPS beat(8)
Avg EPS beat(8)
EPS beat(12)
Avg EPS beat(12)
EPS beat(16)
Avg EPS beat(16)
Revenue beat(2)
Avg Revenue beat(2)
Min Revenue beat(2)
Max Revenue beat(2)
Revenue beat(4)
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Revenue beat(8)
Avg Revenue beat(8)
Revenue beat(12)
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Revenue beat(16)
Avg Revenue beat(16)
PT rev (1m)
PT rev (3m)
EPS NQ rev (1m)
EPS NQ rev (3m)
EPS NY rev (1m)
EPS NY rev (3m)
Revenue NQ rev (1m)
Revenue NQ rev (3m)
Revenue NY rev (1m)
Revenue NY rev (3m)
Valuation
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| PE | 12.65 | ||
| Fwd PE | 13.47 | ||
| P/S | |||
| P/FCF | |||
| P/OCF | |||
| P/B | |||
| P/tB | |||
| EV/EBITDA |
EPS(TTM)
EY
EPS(NY)
Fwd EY
FCF(TTM)
FCFY
OCF(TTM)
OCFY
SpS
BVpS
TBVpS
PEG (NY)N/A
PEG (5Y)2.21
Profitability
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| ROA | 1.49% | ||
| ROE | 20.43% | ||
| ROCE | |||
| ROIC | |||
| ROICexc | |||
| ROICexgc | |||
| OM | N/A | ||
| PM (TTM) | 30.46% | ||
| GM | N/A | ||
| FCFM |
ROA(3y)
ROA(5y)
ROE(3y)
ROE(5y)
ROIC(3y)
ROIC(5y)
ROICexc(3y)
ROICexc(5y)
ROICexgc(3y)
ROICexgc(5y)
ROCE(3y)
ROCE(5y)
ROICexcg growth 3Y
ROICexcg growth 5Y
ROICexc growth 3Y
ROICexc growth 5Y
OM growth 3Y
OM growth 5Y
PM growth 3Y
PM growth 5Y
GM growth 3Y
GM growth 5Y
F-Score
Asset Turnover0.05
Health
| Industry Rank | Sector Rank | ||
|---|---|---|---|
| Debt/Equity | 1.17 | ||
| Debt/FCF | |||
| Debt/EBITDA | |||
| Cap/Depr | |||
| Cap/Sales | |||
| Interest Coverage | |||
| Cash Conversion | |||
| Profit Quality | |||
| Current Ratio | N/A | ||
| Quick Ratio | N/A | ||
| Altman-Z |
F-Score
WACC
ROIC/WACC
Cap/Depr(3y)
Cap/Depr(5y)
Cap/Sales(3y)
Cap/Sales(5y)
Profit Quality(3y)
Profit Quality(5y)
Growth
EPS 1Y (TTM)3.29%
EPS 3Y21.29%
EPS 5Y
EPS growth Q2Q
EPS Next Y-6.09%
EPS Next 2Y
EPS Next 3Y
EPS Next 5Y
Revenue 1Y (TTM)21.78%
Revenue growth 3Y11.3%
Revenue growth 5Y
Revenue growth Q2Q
Revenue Next Year
Revenue Next 2Y
Revenue Next 3Y
Revenue Next 5Y
EBIT growth 1Y
EBIT growth 3Y
EBIT growth 5Y
EBIT Next Year
EBIT Next 3Y
EBIT Next 5Y
FCF growth 1Y
FCF growth 3Y
FCF growth 5Y
OCF growth 1Y
OCF growth 3Y
OCF growth 5Y