Texas Capital Bancshares (NASDAQ:TCBI) Shares Gap Down Following Weak Earnings

Texas Capital Bancshares, Inc. (NASDAQ:TCBI)’s share price gapped down before the market opened on Thursday following a weaker than expected earnings announcement. The stock had previously closed at $65.15, but opened at $62.50. Texas Capital Bancshares shares last traded at $65.14, with a volume of 105,542 shares.

The bank reported $0.92 EPS for the quarter, missing the consensus estimate of $0.99 by ($0.07). Texas Capital Bancshares had a net margin of 3.99% and a return on equity of 9.14%. The business had revenue of $280.48 million for the quarter, compared to analysts’ expectations of $284.40 million.

Wall Street Analyst Weigh In

Several research analysts have recently weighed in on TCBI shares. Barclays dropped their price target on shares of Texas Capital Bancshares from $73.00 to $70.00 and set an “underweight” rating on the stock in a research note on Tuesday, April 8th. StockNews.com raised Texas Capital Bancshares from a “sell” rating to a “hold” rating in a report on Friday, January 31st. Keefe, Bruyette & Woods reaffirmed an “outperform” rating and set a $95.00 price objective (down from $100.00) on shares of Texas Capital Bancshares in a research report on Wednesday, January 29th. Stephens cut their price objective on Texas Capital Bancshares from $102.00 to $97.00 and set an “overweight” rating for the company in a research note on Tuesday, January 28th. Finally, JPMorgan Chase & Co. decreased their target price on shares of Texas Capital Bancshares from $81.00 to $80.00 and set an “underweight” rating on the stock in a research note on Friday, January 24th. Three research analysts have rated the stock with a sell rating, eight have given a hold rating and four have assigned a buy rating to the company. According to data from MarketBeat, the company has an average rating of “Hold” and an average target price of $80.36.

Insider Activity

In other Texas Capital Bancshares news, Director Robert W. Stallings acquired 2,006 shares of the stock in a transaction on Monday, January 27th. The stock was acquired at an average price of $20.99 per share, for a total transaction of $42,105.94. Following the completion of the transaction, the director now directly owns 182,899 shares of the company’s stock, valued at $3,839,050.01. This trade represents a 1.11 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the Securities & Exchange Commission, which is available through this hyperlink. Insiders bought a total of 29,402 shares of company stock worth $653,787 over the last 90 days. Corporate insiders own 1.72% of the company’s stock.

Institutional Inflows and Outflows

Several institutional investors and hedge funds have recently added to or reduced their stakes in TCBI. US Bancorp DE lifted its stake in shares of Texas Capital Bancshares by 1,575.0% in the 4th quarter. US Bancorp DE now owns 10,519 shares of the bank’s stock valued at $823,000 after purchasing an additional 9,891 shares during the last quarter. Victory Capital Management Inc. lifted its position in Texas Capital Bancshares by 37.5% in the fourth quarter. Victory Capital Management Inc. now owns 96,397 shares of the bank’s stock worth $7,538,000 after buying an additional 26,294 shares during the last quarter. Barclays PLC boosted its stake in Texas Capital Bancshares by 19.6% during the third quarter. Barclays PLC now owns 108,950 shares of the bank’s stock worth $7,786,000 after buying an additional 17,863 shares during the period. Proficio Capital Partners LLC bought a new position in Texas Capital Bancshares during the fourth quarter valued at $1,688,000. Finally, Sei Investments Co. raised its stake in shares of Texas Capital Bancshares by 7.9% in the fourth quarter. Sei Investments Co. now owns 74,367 shares of the bank’s stock valued at $5,815,000 after acquiring an additional 5,442 shares during the period. Hedge funds and other institutional investors own 96.88% of the company’s stock.

Texas Capital Bancshares Stock Up 1.4 %

The company has a debt-to-equity ratio of 0.22, a quick ratio of 1.00 and a current ratio of 1.00. The company’s fifty day moving average price is $73.61 and its 200-day moving average price is $78.04. The stock has a market cap of $3.05 billion, a P/E ratio of 51.59, a price-to-earnings-growth ratio of 0.75 and a beta of 0.74.

Texas Capital Bancshares Company Profile

Texas Capital Bancshares, Inc operates as the bank holding company for Texas Capital Bank, is a full-service financial services firm that delivers customized solutions to businesses, entrepreneurs, and individual customers. The company offers commercial banking; consumer banking; investment banking solutions, including capital markets, mergers and acquisitions, and syndicated finance, as well as financial sponsor coverage, capital solutions, and institutional services; and wealth management services, such as investment management, financial planning, lockbox and insurance, securities-based lending, estate planning, and business succession, as well as philanthropic, trustee and executor, custom credit, and depository services.