Stellar Bancorp Q1 net income, adjusted EPS rise from previous quarter

Stellar Bancorp

28/04/2026 21:10

Overview

Texas commercial bank's Q1 net income and adjusted EPS rose from previous quarter

Net interest income increased from Q4, driven by loan growth and higher net interest margin

Company received regulatory approvals for Prosperity Bancshares merger, shareholder vote set for May 27

Outlook

Stellar Bancorp expects merger with Prosperity Bancshares to close on or about July 1, 2026

Company says its markets remain resilient and is optimistic about future opportunities

Result Drivers

LOAN GROWTH - Q1 loan portfolio increased $287.4 mln, up 3.94% from prior qtr, supporting higher net interest income

NET INTEREST MARGIN - Net interest margin rose to 4.24% from 4.21% in prior qtr, contributing to higher net interest income

MERGER-RELATED EXPENSES - Noninterest expense rose due to $3.3 mln in acquisition and merger-related costs tied to pending Prosperity Bancshares merger

Company press release: ID:nBw68LsYPa

Key Details

Metric
Beat/Miss
Actual
Consensus Estimate
Q1 Adjusted EPS
Beat
$0.58
$0.51 (2 Analysts)
Q1 EPS
$0.53
Q1 Net Income
$26.97 mln
Q1 Net Interest Income
$105.93 mln


Analyst Coverage

The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 1 "hold" and no "sell" or "strong sell"

The average consensus recommendation for the banks peer group is "buy"

Wall Street's median 12-month price target for Stellar Bancorp Inc is $32.00, about 14.8% below its April 27 closing price of $37.56

The stock recently traded at 17 times the next 12-month earnings vs. a P/E of 15 three months ago

For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact reuters.support@thomsonreuters.com.

(This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)