4 Analysts Assess Texas Capital Bancshares: What You Need To Know

In the last three months, 4 analysts have published ratings on Texas Capital Bancshares TCBI, offering a diverse range of perspectives from bullish to bearish.

The following table summarizes their recent ratings, shedding light on the changing sentiments within the past 30 days and comparing them to the preceding months.

The 12-month price targets assessed by analysts reveal further insights, featuring an average target of $79.75, a high estimate of $87.00, and a low estimate of $71.00. Observing a 0.63% increase, the current average has risen from the previous average price target of $79.25.

Exploring Analyst Ratings: An In-Depth Overview

An in-depth analysis of recent analyst actions unveils how financial experts perceive Texas Capital Bancshares. The following summary outlines key analysts, their recent evaluations, and adjustments to ratings and price targets.

Key Insights:

• Action Taken: Analysts adapt their recommendations to changing market conditions and company performance. Whether they 'Maintain', 'Raise' or 'Lower' their stance, it reflects their response to recent developments related to Texas Capital Bancshares. This information provides a snapshot of how analysts perceive the current state of the company.
• Rating: Analysts unravel qualitative evaluations for stocks, ranging from 'Outperform' to 'Underperform'. These ratings offer insights into expectations for the relative performance of Texas Capital Bancshares compared to the broader market.
• Price Targets: Understanding forecasts, analysts offer estimates for Texas Capital Bancshares's future value. Examining the current and prior targets provides insight into analysts' changing expectations.

For valuable insights into Texas Capital Bancshares's market performance, consider these analyst evaluations alongside crucial financial indicators. Stay well-informed and make prudent decisions using our Ratings Table.

Stay up to date on Texas Capital Bancshares analyst ratings.

Get to Know Texas Capital Bancshares Better

Texas Capital Bancshares Inc is a secured lender, with the majority of the loans held for investment, excluding mortgage finance loans and other national lines of business. The company's national lines of business provide specialized lending products to businesses throughout the United States. The bank operates in Texas' main metropolitan areas, like Austin, Dallas, Fort Worth, Houston, and San Antonio.

Texas Capital Bancshares's Financial Performance

Market Capitalization Analysis: The company exhibits a lower market capitalization profile, positioning itself below industry averages. This suggests a smaller scale relative to peers.

Revenue Challenges: Texas Capital Bancshares's revenue growth over 3 months faced difficulties. As of 30 September, 2024, the company experienced a decline of approximately -55.07%. This indicates a decrease in top-line earnings. When compared to others in the Financials sector, the company faces challenges, achieving a growth rate lower than the average among peers.

Net Margin: Texas Capital Bancshares's net margin is below industry standards, pointing towards difficulties in achieving strong profitability. With a net margin of -52.37%, the company may encounter challenges in effective cost control.

Return on Equity (ROE): Texas Capital Bancshares's ROE is below industry averages, indicating potential challenges in efficiently utilizing equity capital. With an ROE of -2.21%, the company may face hurdles in achieving optimal financial returns.

Return on Assets (ROA): The company's ROA is below industry benchmarks, signaling potential difficulties in efficiently utilizing assets. With an ROA of -0.21%, the company may need to address challenges in generating satisfactory returns from its assets.

Debt Management: Texas Capital Bancshares's debt-to-equity ratio is notably higher than the industry average. With a ratio of 0.56, the company relies more heavily on borrowed funds, indicating a higher level of financial risk.

The Core of Analyst Ratings: What Every Investor Should Know

Ratings come from analysts, or specialists within banking and financial systems that report for specific stocks or defined sectors (typically once per quarter for each stock). Analysts usually derive their information from company conference calls and meetings, financial statements, and conversations with important insiders to reach their decisions.

Some analysts publish their predictions for metrics such as growth estimates, earnings, and revenue to provide additional guidance with their ratings. When using analyst ratings, it is important to keep in mind that stock and sector analysts are also human and are only offering their opinions to investors.

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This article was generated by Benzinga's automated content engine and reviewed by an editor.