Texas Capital Bancshares (NASDAQ:TCBI) Shares Gap Down After Earnings Miss

Shares of Texas Capital Bancshares, Inc. (NASDAQ:TCBI) gapped down prior to trading on Thursday following a dissappointing 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 changing hands.

The bank reported $0.92 earnings per share for the quarter, missing the consensus estimate of $0.94 by ($0.02). Texas Capital Bancshares had a net margin of 3.99% and a return on equity of 9.14%.

Analyst Upgrades and Downgrades

Several brokerages have issued reports on TCBI. 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 report on Tuesday, January 28th. Hovde Group dropped their target price on shares of Texas Capital Bancshares from $90.00 to $84.00 and set a “market perform” rating for the company in a research note on Friday, March 7th. DA Davidson lowered their price target on shares of Texas Capital Bancshares from $90.00 to $87.00 and set a “neutral” rating for the company in a report on Friday, January 24th. Keefe, Bruyette & Woods reaffirmed an “outperform” rating and set a $95.00 price objective (down previously from $100.00) on shares of Texas Capital Bancshares in a report on Wednesday, January 29th. Finally, Barclays dropped their target price on Texas Capital Bancshares from $73.00 to $70.00 and set an “underweight” rating for the company in a research report on Tuesday, April 8th. Three research analysts have rated the stock with a sell rating, eight have given a hold rating and four have issued a buy rating to the company. According to data from MarketBeat, the stock presently has a consensus rating of “Hold” and an average target price of $80.36.

Insider Activity

In related news, Director Robert W. Stallings acquired 5,670 shares of the stock in a transaction on Friday, January 24th. The shares were purchased at an average price of $27.60 per share, for a total transaction of $156,492.00. Following the purchase, the director now directly owns 180,893 shares in the company, valued at approximately $4,992,646.80. The trade was a 3.24 % increase in their ownership of the stock. The purchase was disclosed in a legal filing with the SEC, which is available through this hyperlink. Over the last 90 days, insiders acquired 29,402 shares of company stock valued at $653,787. 1.72% of the stock is owned by company insiders.

Institutional Inflows and Outflows

A number of hedge funds and other institutional investors have recently bought and sold shares of TCBI. Picton Mahoney Asset Management bought a new stake in shares of Texas Capital Bancshares during the fourth quarter worth about $30,000. Assetmark Inc. acquired a new stake in Texas Capital Bancshares during the 4th quarter worth about $32,000. Venturi Wealth Management LLC acquired a new position in Texas Capital Bancshares in the fourth quarter valued at approximately $37,000. R Squared Ltd bought a new stake in Texas Capital Bancshares in the fourth quarter valued at $41,000. Finally, UMB Bank n.a. grew its stake in shares of Texas Capital Bancshares by 1,089.8% in the 1st quarter. UMB Bank n.a. now owns 583 shares of the bank’s stock valued at $44,000 after buying an additional 534 shares during the period. Institutional investors own 96.88% of the company’s stock.

Texas Capital Bancshares Price Performance

The company has a quick ratio of 1.00, a current ratio of 1.00 and a debt-to-equity ratio of 0.22. The business has a 50-day moving average price of $73.93 and a two-hundred day moving average price of $78.07. The company has a market capitalization of $3.03 billion, a price-to-earnings ratio of 51.38, a price-to-earnings-growth ratio of 0.75 and a beta of 0.74.

About Texas Capital Bancshares

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.