Texas Capital Bancshares, Inc. (TCBI) Stock Recommendation | Score, Valuation, Technicals & Financial Trend

Score

Click here to find our call on this stock

Strong Sell

Sell

Hold

Buy

Strong Buy

Comparison

Company

Score

Quality

Valuation

Financial

Technical

UMB Financial Corp.

Old National Bancorp

KeyCorp

Texas Capital Bancshares, Inc.

Cadence Bank

First Financial Bankshares, Inc.

Valley National Bancorp

F.N.B. Corp. (Pennsylvania)

Zions Bancorporation, NA

BOK Financial Corp.

Comerica, Inc.

Why is Texas Capital Bancshares, Inc. ?

With a growth in Interest of NAN%, the company declared Very Positive results in Mar 26

The company has declared positive results for the last 4 consecutive quarters
OPERATING CASH FLOW(Y) Highest at USD 453.38 MM
NET PROFIT(HY) At USD 174.45 MM has Grown at 47.75%
ROCE(HY) Highest at 1.1%

With ROA of 0.80%, it has a fair valuation with a 1.12 Price to Book Value

The stock is trading at a discount compared to its peers' average historical valuations
Over the past year, while the stock has generated a return of 41.88%, its profits have risen by 326.1% ; the PEG ratio of the company is 0

High Institutional Holdings at 100%

These investors have better capability and resources to analyse fundamentals of companies than most retail investors.

Market Beating Performance

The stock has generated a return of 41.88% in the last 1 year, much higher than market (S&P 500) returns of 27.02%

Real-Time Research Report

Verdict Report

How much should you hold?

Overall Portfolio exposure to Texas Capital Bancshares, Inc. should be less than 10%
Overall Portfolio exposure to Major Banks should be less than 30%

(If sector exposure > 30%, please use optimiser tool to see which are the best stocks to hold in Major Banks)

When to exit? - We will constantly monitor the company and suggest at the appropriate time to exit from the stock

Is Texas Capital Bancshares, Inc. for you?

Medium Risk, High Return

Absolute

Risk Adjusted

Volatility

Texas Capital Bancshares, Inc.

40.51%

2.66

29.40%

S&P 500

24.32%

2.13

12.67%

Quality

Management Risk

Growth

Capital Structure

Quality grade scale :

Below Average, Average, Good, Excellent

Quality key factors

Factor

Value

Sales Growth (5y)

10.89%

EBIT Growth (5y)

19.26%

EBIT to Interest (avg)

Debt to EBITDA (avg)

Net Debt to Equity (avg)

Sales to Capital Employed (avg)

Tax Ratio

Dividend Payout Ratio

Pledged Shares

Institutional Holding

100.00%

ROCE (avg)

ROE (avg)

Valuation

Valuation Scorecard

Valuation grade scale :

Very Risky, Risky, Very Expensive, Expensive, Fair, Attractive, Very Attractive

Valuation Key Factors

Factor

Value

P/E Ratio

Industry P/E

Price to Book Value

1.12

EV to EBIT

7.58

EV to EBITDA

6.67

EV to Capital Employed

1.18

EV to Sales

1.64

PEG Ratio

0.04

Dividend Yield

ROCE (Latest)

15.52%

ROE (Latest)

9.09%

Technicals

Technical key factors

Indicator

Weekly

Monthly

MACD

Mildly Bearish

Bullish

RSI

No Signal

Bollinger Bands

Bullish

Moving Averages

Bullish (Daily)

KST

Mildly Bearish

Bullish

Dow Theory

Mildly Bullish

Mildly Bearish

OBV

Mildly Bullish

Technical Indicator Scale: Bearish, Mildly Bearish, Sideways, Mildly Bullish, Bullish Turned

Technical Movement

Analyse All Technical Factors

Financial Trend

Financial Trend Scorecard

Financial Trend scale:

Very Negative, Negative, Flat, Positive, Very Positive, Outstanding

15What is working for the Company

OPERATING CASH FLOW(Y)

Highest at USD 453.38 MM

NET PROFIT(HY)

At USD 174.45 MM has Grown at 47.75%

ROCE(HY)

Highest at 1.1%

DIVIDEND PAYOUT RATIO(Y)

Highest at 12.84%

DIVIDEND PER SHARE(HY)

Highest at USD 0

CREDIT DEPOSIT RATIO(HY)

Highest at 88.3%

-5What is not working for the Company

ROCE(HY)

Lowest at 1.1%

GROSS NPA (%)

NET SALES(Q)

Lowest at USD 419.09 MM

Here's what is working for Texas Capital Bancshares, Inc.

Net Profit

At USD 174.45 MM has Grown at 47.75%

Year on Year (YoY)

MOJO Watch

Near term Net Profit trend is positive

Net Profit (USD MM)

Operating Cash Flow

Highest at USD 453.38 MM

in the last three years

MOJO Watch

The company has generated higher cash revenues from business operations

Operating Cash Flows (USD MM)

Dividend per share

Highest at USD 0

in the last five years

MOJO Watch

Company is distributing higher dividend from profits generated

DPS (USD)

Credit Deposit Ratio

Highest at 88.3%

in the last four Semi-Annual periods

MOJO Watch

Bank has been creating proportionately higher loans against its deposits, thereby creating higher revenue generating assets

Credit Deposit Ratio (%)

Dividend Payout Ratio

Highest at 12.84%

in the last five years

MOJO Watch

Company is distributing higher proportion of profits generated as dividend

DPR (%)

Here's what is not working for Texas Capital Bancshares, Inc.

Non Performing Loans (%)

Highest at 0.73%

in the last four Semi-Annual periods

MOJO Watch

Proportion of stressed loans given by the bank are increasing

Non Performing Loans (%)

Net Sales

Lowest at USD 419.09 MM

in the last five periods

MOJO Watch

Near term sales trend is negative

Net Sales (USD MM)