International Bancshares (IBOC) AI Stock Analysis

68 Followers

International Bancshares

(TXSE:IBOC)

Select Model

Rating:62.9Neutral

Price Target:$73.00▲(8.13% Upside)

Action:downgraded

Date:11/06/26

The overall score of 63 reflects a company with a very strong balance sheet and reasonable valuation, which are its primary strengths. These are significantly offset by major operational headwinds, including steep declines in revenue and free cash flow, and a bearish technical trend. The stock listing change is a minor positive factor.

Positive Factors

Strong profitabilityExceptionally high and resilient profitability gives the bank meaningful capacity to absorb credit costs, invest in technology and customer service, and return capital. Stable earnings despite revenue volatility indicate that the existing franchise remains capable of producing substantial income over the next several quarters.

Negative Factors

Sharp revenue declineThe pronounced TTM revenue contraction signals weaker top-line momentum and introduces uncertainty around the durability of recent earnings power. Even with strong margins, sustained revenue pressure could constrain loan and fee growth, reduce operating leverage, and eventually weigh on profitability.

International Bancshares (IBOC) vs. SPDR S&P 500 ETF (SPY)

Market Cap: $4.11B
Dividend Yield: 2.16%
Average Volume (3M): 344.20K
Price to Earnings (P/E): 13.5
Beta (1Y): 0.55
Revenue Growth: 2.47%
EPS Growth: -0.27%
Country: US
Employees: 2,223
Sector: Financial
Sector Strength: 68
Industry: Banks - Regional

International Bancshares Business Overview & Revenue Model

Company Description

International Bancshares Corporation (IBC), functioning as a financial holding company, delivers a comprehensive array of commercial and retail banking services. The institution facilitates checking and savings deposits and extends various loan produ...

How the Company Makes Money

IBOC makes money primarily through traditional banking activities conducted by its bank subsidiary (IBC). The largest recurring earnings driver is typically net interest income: the bank earns interest on loans and other interest-earning assets (for...

International Bancshares Financial Statement Overview

Summary

Financial performance is mixed. A fortress balance sheet with zero debt and solid profitability margins are key strengths. However, significant revenue contraction (-25.6%) and a sharp decline in free cash flow (-70.0%) in the TTM period are major concerns, indicating operational headwinds that offset the strong capital position.

Income Statement

62Positive

Balance Sheet

85Very Positive

Cash Flow

45Neutral

Financial statement breakdown
Breakdown	TTM	Dec 2025	Dec 2024	Dec 2023	Dec 2022	Dec 2021
Income Statement
Total Revenue	792.06M	1.05B	1.04B	970.10M	712.91M	620.43M
Gross Profit	621.69M	824.69M	801.84M	798.87M	653.11M	585.64M
EBITDA	406.24M	543.71M	531.24M	545.46M	404.46M	347.36M
Net Income	419.36M	412.29M	409.17M	411.77M	300.23M	253.92M
Balance Sheet
Total Assets	0	16.68B	15.74B	15.07B	15.50B	16.05B
Cash, Cash Equivalents and Short-Term Investments	0	536.49M	5.34B	5.47B	6.51B	7.42B
Total Debt	0	704.74M	654.73M	650.03M	576.78M	1.01B
Total Liabilities	13.95B	13.43B	12.94B	12.62B	13.46B	13.74B
Stockholders Equity	3.34B	3.25B	2.80B	2.45B	2.04B	2.31B
Cash Flow
Free Cash Flow	136.00M	472.94M	459.80M	446.94M	368.73M	281.29M
Operating Cash Flow	139.94M	491.06M	473.95M	474.43M	387.94M	291.68M
Investing Cash Flow	-54.86M	-591.69M	-985.06M	-1.07B	-992.03M	-915.89M
Financing Cash Flow	359.36M	284.47M	212.71M	-843.89M	-517.43M	1.84B

International Bancshares Technical Analysis

Technical Analysis SentimentNegative

Last Price67.51

Price Trends

50DMA68.77Negative

100DMA71.42Negative

200DMA70.78Negative

Market Momentum

MACD-0.11Negative

RSI50.33Neutral

STOCH43.41Neutral

Evaluating momentum and price trends is crucial in stock analysis to make informed investment decisions. For IBOC, the sentiment is Negative. The current price of 67.51 is above the 20-day moving average (MA) of 67.30, below the 50-day MA of 68.77, and below the 200-day MA of 70.78, indicating a neutral trend. The MACD of -0.11 indicates Negative momentum. The RSI at 50.33 is Neutral, neither overbought nor oversold. The STOCH value of 43.41 is Neutral, not indicating any strong overbought or oversold conditions. Overall, these indicators collectively point to a Negative sentiment for IBOC.

International Bancshares Risk Analysis

International Bancshares disclosed 32 risk factors in its most recent earnings report. International Bancshares reported the most risks in the "Finance & Corporate" category.

Finance & Corporate - Financial and accounting risks. Risks related to the execution of corporate activity and strategy

Latest Risks Added

3 New Risks

1.Failure to successfully invest in, adapt to, integrate, and compete with technological developments, including new services and products that incorporate artificial intelligence ("AI") into banking services and products, could impair our competitive position and adversely affect our business, revenue, and profitability.Q4, 2024

2.The development, adoption, and integration of AI in our banking services, processes, and products may subject us to increased technological risks, costs, uncertainties, and unpredictable outcomes while increasing our compliance costs and exposing us to new operational challenges.Q4, 2024

3.The regulatory landscape for cryptocurrencies, decentralized finance, and fintech services remains uncertain and may create additional competitive challenges for traditional banks like ours.Q4, 2024

International Bancshares Peers Comparison

Overall Rating

UnderperformOutperform

Sector (68)

Financial Indicators

IBOC against its peers
Name	Overall Rating	Market Cap	P/E Ratio	ROE	Dividend Yield	Revenue Growth	EPS Growth
FFIN	78Outperform	$4.34B	14.87	15.14%	2.71%	8.08%	19.76%
TCBI	78Outperform	$4.24B	11.47	10.11%	0.40%	3.07%	27.52%
SPFI	76Outperform	$811.20M	10.90	12.36%	1.66%	10.17%	7.30%
BFST	75Outperform	$1.05B	11.55	9.71%	1.85%	7.18%	7.94%
TCBX	70Outperform	$666.40M	8.69	11.91%	―	17.96%	9.46%
Sector *	68Neutral	$18.00B	11.42	9.92%	3.81%	9.73%	1.22%
IBOC	63Neutral	$4.23B	13.50	12.66%	2.16%	2.47%	-0.27%

* Financial Sector Average

Performance Comparison

IBOC and its peers over the selected period
Ticker	Company Name	Price	Change	% Change
IBOC	International Bancshares	67.51	2.64	4.07%
FFIN	First Financial Bankshares	30.26	-0.09	-0.29%
TCBI	Texas Capital Bancshares	99.51	14.06	16.45%
BFST	Business First Bancshares	32.41	7.61	30.71%
SPFI	South Plains Financial	42.80	5.60	15.07%
TCBX	Third Coast Bancshares Inc	39.68	2.27	6.07%

International Bancshares Corporate Events

Business Operations and StrategyDelistings and Listing Changes

International Bancshares Shifts Stock Listing to Texas Exchange

Positive

Oct 6, 2026

International Bancshares Corporation announced on October 6, 2026, that it will voluntarily transfer the primary listing of its common stock from the Nasdaq Stock Market to the Texas Stock Exchange, reflecting its longstanding operational and custome...

Glossary

BuyA stock rated as a "Buy" is expected to perform better than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock is likely to deliver higher returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

HoldA stock rated as a "Hold" is expected to perform in line with the overall market or a specific benchmark. This rating indicates that the stock is neither particularly compelling nor unfavorable for investment. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

SellA stock rated as a "Sell" is expected to perform worse than the overall market or a specific benchmark over the near-to-medium term. This rating suggests the stock may deliver lower returns compared to other stocks in the same sector or market index. Note: This is not investment advice; please consult a financial advisor before making investment decisions.

Disclaimer

This AI Analyst Stock Report is automatically generated by our AI systems using advanced algorithms and publicly available financial, technical, and market data. While the information provided aims to be accurate and insightful, it is intended for informational purposes only and should not be considered financial advice. Any content created by an AI (Artificial Intelligence) system may contain inaccuracies and/or contain errors. Investing in stocks carries inherent risks, and past performance is not indicative of future results. This report does not account for your personal financial circumstances, objectives, or risk tolerance. Always conduct your own research or consult with a qualified financial advisor before making investment decisions. The analysis and recommendations provided are based on historical and current data and may not fully reflect future market conditions or unexpected developments. Neither the creators of this report nor its affiliated entities guarantee the accuracy, completeness, or reliability of the information presented. Use this report at your own discretion and risk.

Date of analysis: Nov 06, 2026

International Bancshares AI Stock Analysis