Prosperity Bancshares added to DA Davidson Best-of-Breed Bison initiative

DA Davidson keeps a Buy rating and $68 price target on Prosperity Bancshares while adding the stock to the firm’s Best-of-Breed Bison initiative that seeks to identify the highest quality companies with “strong competitive positioning and exceptional financials”. The bank maintains a very strong balance sheet with a loan to deposit ratio at 75% vs. peer median of 91% and the allowance for credit losses that covers non-performing assets at a “peer leading” 6-times, the analyst tells investors in a research note. Prosperity also maintains peer leading capital levels with a CET-1 ratio at 15.0% and TCE ratio at 9.96, the firm adds.