GURUFOCUS.COM » STOCK LIST » Financial Services » Banks » Prosperity Bancshares Inc (NYSE:PB) » Definitions » GF Value Rank

Prosperity Bancshares (Prosperity Bancshares) GF Value Rank : 7 (As of May. 04, 2024)


View and export this data going back to 1998. Start your Free Trial

What is Prosperity Bancshares GF Value Rank?

Prosperity Bancshares has the GF Value Rank of 7.

The GF Value Rank is determined by the price-to-GF-Value (P/GF Value) ratio, a proprietary metric calculated based on historical multiples along with an adjustment factor based on a company's past returns and growth and future estimates of the business' performance.

GuruFocus found that for valuation, we cannot simply give stocks a better GF Value rank simply because they have a lower P/GF Value ratio. Backtesting shows that over the long term, the two worst-performing groups are the most expensive group (with the highest P/GF Value ratio) and the least expensive group (with the lowest P/GF Value ratio).

We can understand why the most expensive group underperforms. We were initially puzzled by the underperformance of the least expensive group, but we realized there is a reason why some stocks are super cheap. If they look too undervalued, it is often because the businesses behind them are poor quality. The market realized this and gave them low valuations. In a way, the market is efficient.

After multiple backtesting analyses, we granted the stocks in third-cheapest percentile the highest GF Value rank, as they have performed the best over a full market cycle. Stock performance is actually not as sensitive to valuation as it is to growth and profitability. On average, the companies in the 20%-50% valuation groups have similar performances. Therefore, we should avoid the most expensive and the least expensive stocks. We can be more tolerant of valuation.

Please click GF Score to see more details on the GF Score's 5 Key Aspects of Analysis.


Competitive Comparison of Prosperity Bancshares's GF Value Rank

For the Banks - Regional subindustry, Prosperity Bancshares's GF Value Rank, along with its competitors' market caps and GF Value Rank data, can be viewed below:

* Competitive companies are chosen from companies within the same industry, with headquarter located in same country, with closest market capitalization; x-axis shows the market cap, and y-axis shows the term value; the bigger the dot, the larger the market cap. Note that "N/A" values will not show up in the chart.


Prosperity Bancshares's GF Value Rank Distribution in the Banks Industry

For the Banks industry and Financial Services sector, Prosperity Bancshares's GF Value Rank distribution charts can be found below:

* The bar in red indicates where Prosperity Bancshares's GF Value Rank falls into.



Prosperity Bancshares GF Value Rank Related Terms

Thank you for viewing the detailed overview of Prosperity Bancshares's GF Value Rank provided by GuruFocus.com. Please click on the following links to see related term pages.


Prosperity Bancshares (Prosperity Bancshares) Business Description

Traded in Other Exchanges
Address
Prosperity Bank Plaza, 4295 San Felipe, Houston, TX, USA, 77027
Prosperity Bancshares Inc follows a community bank model and provides multiple services to individuals and small to midsize businesses. It operates more than 270 branches in Texas, most of them around the Houston, Dallas-Fort Worth, Corpus Christi, and Austin metropolitan areas.
Executives
L. Jack Lord director 4295 SAN FELIPE, HOUSTON TX 77027
Timanus H E Jr director, officer: Executive Vice President
Asylbek Osmonov officer: Interim CFO 4295 SAN FELIPE, HOUSTON X1 77027
Robert H Steelhammer director 2100 W LOOP S STE 1400, HOUSTON TX 77027
Laura Murillo director 4295 SAN FELIPE, HOUSTON TX 77027
Ileana M Blanco director 4295 SAN FELIPE, HOUSTON TX 77027
George A. Fisk director LEGACYTEXAS FINANCIAL GROUP, INC., 5851 LEGACY CIRCLE, PLANO TX 75024
Robert J. Dowdell officer: Executive Vice President 4295 SAN FELIPE, HOUSTON TX 77027
David Zalman director, officer: President and Chief Executive 316 E CALHOUN, EL CAMPO TX 77437
James A Bouligny director P O BOX 1567, EL CAMPO TX 77437
Charlotte M Rasche officer: Executive Vice President 80 SUGAR CREEK CENTER BOULEVARD, SUGAR LAND TX 77478
Edward Z Safady officer: President 80 SUGAR CREEK CENTER BLVD, SUGAR LAND TX 77478
Kevin J Hanigan director, officer: President & COO LEGACYTEXAS FINANCIAL GROUP, INC., 5851 LEGACY CIRCLE, PLANO TX 75024
Bruce W Hunt director
J. Mays Davenport officer: EVP/Director of Corp Strategy C/O LEGACYTEXAS FINANCIAL GROUP, INC., 5851 LEGACY CIRCLE, PLANO TX 75024