Prosperity Bancshares Inc. (PB) intrinsic value & 10-year financials
Prosperity Bancshares Inc. (PB) has a Graham intrinsic value of $83.70 per share. At $67.79 on Oct 17, 2026, the stock trades 19% below that value. Over the last 10 fiscal years revenue grew 1.8% a year to $5.4M, with an average return on invested capital of 7.1%.
- Graham intrinsic value
- $83.70
- Share price (Oct 17, 2026)
- $67.79
- Price vs Graham value
- 19% below
- Market cap
- $6.4B
- Revenue (FY2025)
- $5.4M
- Revenue growth (10-yr CAGR)
- 1.8%
- ROIC (10-yr avg)
- 7.1%
- Free cash flow (FY2025)
- $517.0M
PB 10-year financial history
| Fiscal year | Revenue | Net income | EPS (diluted) | Free cash flow | Operating margin | ROIC |
|---|---|---|---|---|---|---|
| FY2025 | $5.4M | $542.8M | $5.72 | $517.0M | — | 7.2% |
| FY2024 | $4.7M | $479.4M | $5.05 | $451.6M | — | 6.6% |
| FY2023 | $4.3M | $419.3M | $4.51 | $612.2M | — | 6.1% |
| FY2022 | $3.7M | $524.5M | $5.73 | $464.1M | — | 8.0% |
| FY2021 | $3.3M | $519.3M | $5.60 | $675.7M | — | 8.3% |
| FY2020 | $2.5M | $528.9M | $5.68 | $560.2M | — | 8.7% |
| FY2019 | $2.4M | $332.6M | $4.52 | $384.4M | — | 6.6% |
| FY2018 | $2.6M | $321.8M | $4.61 | $305.0M | — | 7.6% |
| FY2017 | $1.9M | $272.2M | $3.92 | $379.5M | — | 6.2% |
| FY2016 | $4.6M | $274.5M | $3.94 | $329.3M | — | 6.1% |
Source: annual 10-K filings on SEC EDGAR. Figures in USD.
Executive summary
PROSPERITY BANCSHARES INC has demonstrated mature, steady growth, with revenue compounding at 1.8% annually over the past decade.
PROSPERITY BANCSHARES INC has historically struggled to out-earn its cost of capital, averaging just 7.1% ROIC.
PROSPERITY BANCSHARES INC has not shown aggressive share repurchases (>10% retirement) or a major balance-sheet leverage increase (>50% net debt growth) over the 10-year window.
Benjamin Graham lens
Under Benjamin Graham's formula using SEC EDGAR fundamentals, PROSPERITY BANCSHARES INC is modeled at 4.2% normalized earnings growth with a 5.1% bond-yield adjustment. The resulting Graham intrinsic value estimate is $83.70 per share.