- Regional economic factors will likely help loan growth remain in the mid-to-high-single-digit range.
- The topline is moderately sensitive to rate changes. Further, the excess cash position provides an opportunity to improve the asset mix and consequently the margin.
- The net provision expense will likely return to a normal level due to the combination of higher credit risk and a high allowance level.
- The December 2022 target price suggests a small downside from the current market price. Further, CFR is offering a modest dividend yield.
For further details see:
Cullen/Frost Bankers: Expense Growth To Counter Strong Top-Line Growth