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I revise my rating for NetScout Systems from 'Hold' to 'Buy' following my evaluation of its results and outlook. The company's 4QFY2026 bottom-line represented a 14.3% beat, thanks to strong demand for AI-related threat solutions and the stability of its government client base's expenditures. NTCT is guiding for a 10% EPS growth in FY27, supported by its latest M&A and new AI product rollouts.

A strong stock as of late has been NetScout Systems (NTCT - Free Report) . Shares have been marching higher, with the stock up 23.3% over the past month. The stock hit a new 52-week high of $41.87 in the previous session. NetScout has gained 51.6% since the start of the year compared to the 17.5% move for the Zacks Computer and Technology sector and the 55.9% return for the Zacks Computer - Networking industry.

What's Driving the Outperformance?The stock has a great record of positive earnings surprises, as it hasn't missed our earnings consensus estimate in any of the last four quarters. In its last earnings report on May 7, 2026, NetScout reported EPS of $0.52 versus consensus estimate of $0.46.

For the current fiscal year, NetScout is expected to post earnings of $2.71 per share on $903.4 in revenues. This represents a 9.27% change in EPS on a 5.11% change in revenues. For the next fiscal year, the company is expected to earn $2.85 per share on $943.09 in revenues. This represents a year-over-year change of 4.98% and 4.39%, respectively.

Valuation MetricsNetScout may be at a 52-week high right now, but what might the future hold for the stock? A key aspect of this question is taking a look at valuation metrics in order to determine if the company has run ahead of itself.

On this front, we can look at the Zacks Style Scores, as these give investors a variety of ways to comb through stocks (beyond looking at the Zacks Rank of a security). These styles are represented by grades running from A to F in the categories of Value, Growth, and Momentum, while there is a combined VGM Score as well. Investors should consider the style scores a valuable tool that can help you to pick the most appropriate Zacks Rank stocks based on their individual investment style.

NetScout has a Value Score of C. The stock's Growth and Momentum Scores are B and A, respectively, giving the company a VGM Score of B.

In terms of its value breakdown, the stock currently trades at 15.1X current fiscal year EPS estimates, which is not in-line with the peer industry average of 25.6X. On a trailing cash flow basis, the stock currently trades at 15.5X versus its peer group's average of 21.5X. This isn't enough to put the company in the top echelon of all stocks we cover from a value perspective.

Zacks RankWe also need to consider the stock's Zacks Rank, as this is even more important than the company's VGM Score. Fortunately, NetScout currently has a Zacks Rank of #2 (Buy) thanks to favorable earnings estimate revisions from covering analysts.

Since we recommend that investors select stocks carrying Zacks Rank of 1 (Strong Buy) or 2 (Buy) and Style Scores of A or B, it looks as if NetScout passes the test. Thus, it seems as though NetScout shares could still be poised for more gains ahead.

How Does NTCT Stack Up to the Competition?Shares of NTCT have been soaring, and the company still appears to be a decent choice, but what about the rest of the industry? One industry peer that looks good is Digi International Inc. (DGII - Free Report) . DGII has a Zacks Rank of #2 (Buy) and a Value Score of D, a Growth Score of A, and a Momentum Score of B.

Earnings were strong last quarter. Digi International Inc. beat our consensus estimate by 6.90%, and for the current fiscal year, DGII is expected to post earnings of $2.48 per share on revenue of $521.62 million.

Shares of Digi International Inc. have gained 16.8% over the past month, and currently trade at a forward P/E of 26.68X and a P/CF of 24.36X.

The Computer - Networking industry is in the top 18% of all the industries we have in our universe, so it looks like there are some nice tailwinds for NTCT and DGII, even beyond their own solid fundamental situation.

Momentum investing is all about the idea of following a stock's recent trend, which can be in either direction. In the "long context," investors will essentially be "buying high, but hoping to sell even higher." And for investors following this methodology, taking advantage of trends in a stock's price is key; once a stock establishes a course, it is more than likely to continue moving in that direction. The goal is that once a stock heads down a fixed path, it will lead to timely and profitable trades.

Even though momentum is a popular stock characteristic, it can be tough to define. Debate surrounding which are the best and worst metrics to focus on is lengthy, but the Zacks Momentum Style Score, part of the Zacks Style Scores, helps address this issue for us.

Below, we take a look at NetScout Systems (NTCT - Free Report) , a company that currently holds a Momentum Style Score of A. We also talk about price change and earnings estimate revisions, two of the main aspects of the Momentum Style Score.

It's also important to note that Style Scores work as a complement to the Zacks Rank, our stock rating system that has an impressive track record of outperformance. NetScout Systems currently has a Zacks Rank of #1 (Strong Buy). Our research shows that stocks rated Zacks Rank #1 (Strong Buy) and #2 (Buy) and Style Scores of "A or B" outperform the market over the following one-month period.

You can see the current list of Zacks #1 Rank Stocks here >>>

Set to Beat the Market? In order to see if NTCT is a promising momentum pick, let's examine some Momentum Style elements to see if this provider of products that gauge network performance holds up.

A good momentum benchmark for a stock is to look at its short-term price activity, as this can reflect both current interest and if buyers or sellers currently have the upper hand. It's also helpful to compare a security to its industry; this can show investors the best companies in a particular area.

For NTCT, shares are up 6.63% over the past week while the Zacks Computer - Networking industry is flat over the same time period. Shares are looking quite well from a longer time frame too, as the monthly price change of 28.69% compares favorably with the industry's 8.5% performance as well.

While any stock can see a spike in price, it takes a real winner to consistently outperform the market. Shares of NetScout Systems have increased 44.15% over the past quarter, and have gained 79.01% in the last year. In comparison, the S&P 500 has only moved 9.16% and 30.94%, respectively.

Investors should also take note of NTCT's average 20-day trading volume. Volume is a useful item in many ways, and the 20-day average establishes a good price-to-volume baseline; a rising stock with above average volume is generally a bullish sign, whereas a declining stock on above average volume is typically bearish. Right now NTCT is averaging 561,357 shares for the last 20 days..

Earnings OutlookThe Zacks Momentum Style Score encompasses many things, including estimate revisions and a stock's price movement. Investors should note that earnings estimates are also significant to the Zacks Rank, and a nice path here can be promising. We have recently been noticing this with NTCT.

Over the past two months, 2 earnings estimates moved higher compared to none lower for the full year. These revisions helped boost NTCT's consensus estimate, increasing from $2.53 to $2.71 in the past 60 days. Looking at the next fiscal year, 2 estimates have moved upwards while there have been no downward revisions in the same time period.

Bottom LineTaking into account all of these elements, it should come as no surprise that NTCT is a #1 (Strong Buy) stock with a Momentum Score of A. If you've been searching for a fresh pick that's set to rise in the near-term, make sure to keep NetScout Systems on your short list.

Looking for a stock that has been consistently beating earnings estimates and might be well positioned to keep the streak alive in its next quarterly report? Cullen/Frost Bankers (CFR - Free Report) , which belongs to the Zacks Banks - Southwest industry, could be a great candidate to consider.

When looking at the last two reports, this financial holding company has recorded a strong streak of surpassing earnings estimates. The company has topped estimates by 8.12%, on average, in the last two quarters.

For the most recent quarter, Cullen/Frost was expected to post earnings of $2.47 per share, but it reported $2.57 per share instead, representing a surprise of 4.05%. For the previous quarter, the consensus estimate was $2.38 per share, while it actually produced $2.67 per share, a surprise of 12.18%.

Price and EPS Surprise

Thanks in part to this history, there has been a favorable change in earnings estimates for Cullen/Frost lately. In fact, the Zacks Earnings ESP (Expected Surprise Prediction) for the stock is positive, which is a great indicator of an earnings beat, particularly when combined with its solid Zacks Rank.

Our research shows that stocks with the combination of a positive Earnings ESP and a Zacks Rank #3 (Hold) or better produce a positive surprise nearly 70% of the time. In other words, if you have 10 stocks with this combination, the number of stocks that beat the consensus estimate could be as high as seven.

The Zacks Earnings ESP compares the Most Accurate Estimate to the Zacks Consensus Estimate for the quarter; the Most Accurate Estimate is a version of the Zacks Consensus whose definition is related to change. The idea here is that analysts revising their estimates right before an earnings release have the latest information, which could potentially be more accurate than what they and others contributing to the consensus had predicted earlier.

Cullen/Frost has an Earnings ESP of +1.91% at the moment, suggesting that analysts have grown bullish on its near-term earnings potential. When you combine this positive Earnings ESP with the stock's Zacks Rank #3 (Hold), it shows that another beat is possibly around the corner. The company's next earnings report is expected to be released on April 30, 2026.

Investors should note, however, that a negative Earnings ESP reading is not indicative of an earnings miss, but a negative value does reduce the predictive power of this metric.

Many companies end up beating the consensus EPS estimate, though this is not the only reason why their shares gain. Additionally, some stocks may remain stable even if they end up missing the consensus estimate.

Because of this, it's really important to check a company's Earnings ESP ahead of its quarterly release to increase the odds of success. Make sure to utilize our Earnings ESP Filter to uncover the best stocks to buy or sell before they've reported.

All investors love getting big returns from their portfolio, whether it's through stocks, bonds, ETFs, or other types of securities. But when you're an income investor, your primary focus is generating consistent cash flow from each of your liquid investments.

Cash flow can come from bond interest, interest from other types of investments, and, of course, dividends. A dividend is the distribution of a company's earnings paid out to shareholders; it's often viewed by its dividend yield, a metric that measures a dividend as a percent of the current stock price. Many academic studies show that dividends make up large portions of long-term returns, and in many cases, dividend contributions surpass one-third of total returns.

Cullen/Frost Bankers (CFR - Free Report) is headquartered in San Antonio, and is in the Finance sector. The stock has seen a price change of 14.42% since the start of the year. The financial holding company is paying out a dividend of $1.00 per share at the moment, with a dividend yield of 2.76% compared to the Banks - Southwest industry's yield of 1.68% and the S&P 500's yield of 1.41%.

Looking at dividend growth, the company's current annualized dividend of $4.00 is up 1.3% from last year. Over the last 5 years, Cullen/Frost Bankers has increased its dividend 5 times on a year-over-year basis for an average annual increase of 7.98%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Cullen/Frost's current payout ratio is 40%, meaning it paid out 40% of its trailing 12-month EPS as dividend.

CFR is expecting earnings to expand this fiscal year as well. The Zacks Consensus Estimate for 2026 is $10.21 per share, which represents a year-over-year growth rate of 2.82%.

Investors like dividends for a variety of different reasons, from tax advantages and decreasing overall portfolio risk to considerably improving stock investing profits. But, not every company offers a quarterly payout.

For instance, it's a rare occurrence when a tech start-up or big growth business offers its shareholders a dividend. It's more common to see larger companies with more established profits give out dividends. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. With that in mind, CFR is a compelling investment opportunity. Not only is it a strong dividend play, but the stock currently sits at a Zacks Rank of #3 (Hold).

Board increases quarterly common dividend by 3.0 percent to $1.03

, /PRNewswire/ -- Cullen/Frost Bankers, Inc. (NYSE:CFR) today reported first quarter 2026 results. Net income available to common shareholders for the first quarter of 2026 was $169.3 million, compared to $149.3 million for the first quarter of 2025. On a per-share basis, net income available to common shareholders for the first quarter of 2026 was $2.65 per diluted common share, compared to $2.30 per diluted common share reported a year earlier. Returns on average assets and average common equity were 1.32 percent and 15.15 percent, respectively, for the first quarter of 2026, compared to 1.19 percent and 15.54 percent, respectively, for the same period a year earlier.

For the first quarter of 2026, net interest income on a taxable-equivalent basis was $460.8 million, up 5.6 percent compared to the same quarter in 2025. Average loans for the first quarter of 2026 increased $1.2 billion, or 5.9 percent, to $22.0 billion, from the $20.8 billion reported for the first quarter a year earlier, and increased $349.3 million, or 1.6 percent, compared to the fourth quarter of 2025. Average deposits for the first quarter increased $567.9 million, or 1.4 percent, to $42.2 billion, compared to the $41.7 billion reported for last year's first quarter, and decreased $1.1 billion, or 2.6 percent, compared to the fourth quarter of 2025.

"We had a solid start to the year, with average loan growth of just under six percent and continued steady growth in deposits compared to the year-ago period," said Cullen/Frost Chairman and CEO Phil Green.

With the opening of our Arboretum location in the Austin area, our 205th location, we have increased our total branch count by more than 50 percent since we started our Houston region expansion in December of 2018, and are very pleased with our results. Thanks to the hard work of Frost Bankers throughout the state, through the first quarter we have accumulated $2.6 billion in loans and $3.2 billion in deposits at our expansion locations in Houston, Dallas and Austin."

Noted financial data for the first quarter of 2026 follows:

The Common Equity Tier 1, Tier 1 and Total Risk-Based Capital Ratios at the end of the first quarter of 2026 were 14.07 percent, 14.51 percent and 15.89 percent, respectively, and continue to be in excess of well-capitalized levels and exceed Basel III minimum requirements. Net interest income on a taxable-equivalent basis was $460.8 million for the first quarter of 2026, an increase of 5.6 percent, compared to $436.4 million for the first quarter of 2025. Net interest margin was 3.74 percent for the first quarter of 2026 compared to 3.60 percent for the first quarter of 2025 and 3.66 percent for the fourth quarter of 2025. Non-interest income for the first quarter of 2026 totaled $136.3 million, an increase of $12.3 million, or 9.9 percent, from the $124.0 million reported for the first quarter of 2025. Trust and investment management fees increased $5.0 million, or 11.7 percent, compared to the first quarter of 2025. The increase in trust and investment management fees during the first quarter was primarily related to increases in investment management fees (up $4.3 million) and miscellaneous fees (up $1.3 million).  Investment management fees are generally based on the market value of assets within customer accounts and are thus impacted by price movements in the equity and bond markets. Service charges on deposit accounts increased $3.5 million, or 12.4 percent, compared to the first quarter of 2025. The increase was primarily related to an increase in commercial service charges (up $2.2 million), reflecting growth in billable treasury management services, lower earnings credit rates on analyzed accounts, and higher fees on non-analyzed accounts, as well as an increase in consumer overdraft charges (up $1.3 million) due to higher volumes associated with account growth. Other non-interest income increased $1.9 million, or 14.9 percent, compared to the first quarter of 2025. The increase during the first quarter was primarily related to increases in sundry and other miscellaneous income (up $2.2 million), life insurance proceeds (up $632,000), and income from customer derivatives and securities trading (up $456,000), partly offset by decreases in gains on the sale of foreclosed and other assets (down $2.1 million). Non-interest expense was $365.7 million for the first quarter of 2026, up $17.6 million, or 5.1 percent, compared to the $348.1 million reported for the first quarter a year earlier. Salaries and wages expense increased $5.3 million, or 3.3 percent, compared to the first quarter of 2025. The increase in salaries and wages was primarily related to increases in salaries due to annual merit and market increases and to an increase in stock compensation. Employee benefits expense increased by $2.5 million, or 5.9 percent, compared to the first quarter of 2025. The increase in employee benefits expense was primarily related to increases in medical/dental benefits expense (up $1.7 million) and payroll taxes (up $792,000). Technology, furniture, and equipment expense increased $1.6 million, or 3.9 percent, compared to the first quarter of 2025. The increase was primarily related to increased cloud services expense (up $1.8 million). Other non-interest expense increased $6.7 million, or 10.4 percent, compared to the first quarter of 2025. The increase included increases in deposit fraud losses related to various payment systems (up $2.4 million), advertising/promotions expense (up $1.9 million), and professional services expense (up $532,000). For the first quarter of 2026, the company reported a credit loss expense of $6.7 million, and reported net charge-offs of $5.7 million. This compares to a credit loss expense of $11.2 million and net charge-offs of $5.8 million for the fourth quarter of 2025 and a credit loss expense of $13.1 million and net charge-offs of $9.7 million for the first quarter of 2025. The allowance for credit losses on loans as a percentage of total loans was 1.28 percent at March 31, 2026, compared to 1.29 percent at December 31, 2025 and 1.32 percent at March 31, 2025. Non-accrual loans were $72.4 million at the end of the first quarter of 2026, compared to $70.5 million at the end of the fourth quarter of 2025 and $83.5 million at the end of the first quarter of 2025. During the first quarter of 2026, we repurchased 507,753 shares at a total cost of $70.0 million. As of the end of the first quarter, we had $230 million remaining under our current $300 million repurchase authorization, which expires in January of 2027. The Cullen/Frost board declared a second-quarter cash dividend of $1.03 per common share, representing a 3.0 percent increase compared to the previous quarterly dividend of $1.00 per share. The dividend on common stock is payable June 15, 2026 to shareholders of record on May 29 of this year. The board of directors also declared a cash dividend of $11.125 per share of Series B Preferred Stock (or $0.278125 per depositary share). The depositary shares representing the Series B Preferred Stock are traded on the NYSE under the symbol "CFR PrB." The Series B Preferred Stock dividend is payable June 15, 2026 to shareholders of record on May 29 of this year.

Cullen/Frost Bankers, Inc. will host a conference call on Thursday, April 30, 2026, at 1 p.m. Central Time (CT) to discuss the results for the quarter. The media and other interested parties are invited to access the call in a "listen only" mode at 1-877-709-8150 or via webcast on our investor relations website linked below. Playback of the conference call will be available after 5 p.m. CT on the day of the call until midnight Sunday, May 3, 2026 at 1-877-660-6853 with Conference ID # of 13759870. A replay of the call will also be available by webcast at the URL listed below after 5 p.m. CT on the day of the call.

Cullen/Frost investor relations website: https://investor.frostbank.com/ 

Cullen/Frost Bankers, Inc. (NYSE: CFR) is a financial holding company, headquartered in San Antonio, with $52.7 billion in assets at March 31, 2026. One of the 50 largest U.S. banks, Frost provides a wide range of banking, investments and insurance services to businesses and individuals across Texas in the Austin, Dallas, Fort Worth, Gulf Coast, Houston, Permian Basin, and San Antonio regions. Founded in 1868, Frost has helped clients with their financial needs during three centuries. Additional information is available at www.frostbank.com.

Forward-Looking Statements and Factors that Could Affect Future Results

Certain statements contained in this Earnings Release that are not statements of historical fact constitute forward-looking statements within the meaning of the Private Securities Litigation Reform Act of 1995 (the "Act"), notwithstanding that such statements are not specifically identified as such. In addition, certain statements may be contained in our future filings with the SEC, in press releases, and in oral and written statements made by us or with our approval that are not statements of historical fact and constitute forward-looking statements within the meaning of the Act. Examples of forward-looking statements include, but are not limited to: (i) projections of revenues, expenses, income or loss, earnings or loss per share, the payment or nonpayment of dividends, capital structure and other financial items; (ii) statements of plans, objectives and expectations of Cullen/Frost or its management or Board of Directors, including those relating to products, services or operations; (iii) statements of future economic performance; and (iv) statements of assumptions underlying such statements. Words such as "believes," "anticipates," "expects," "intends," "targeted," "continue," "remain," "will," "should," "may," and other similar expressions are intended to identify forward-looking statements but are not the exclusive means of identifying such statements.

Forward-looking statements involve risks and uncertainties that may cause actual results to differ materially from those in such statements. Factors that could cause actual results to differ from those discussed in the forward-looking statements include, but are not limited to:

The effects of and changes in trade and monetary and fiscal policies and laws, including the interest rate policies of the Federal Reserve Board and the implementation of tariffs and other protectionist trade policies. Inflation, interest rate, securities market, and monetary fluctuations. Local, regional, national, and international economic conditions and the impact they may have on us and our customers and our assessment of that impact. Changes in the financial performance and/or condition of our borrowers. Changes in the mix of loan geographies, sectors and types or the level of non-performing assets and charge-offs. Changes in estimates of future credit loss reserve requirements based upon the periodic review thereof under relevant regulatory and accounting requirements. Changes in our liquidity position. Impairment of our goodwill or other intangible assets. The timely development and acceptance of new products and services and perceived overall value of these products and services by users. Changes in consumer spending, borrowing, and saving habits. Greater than expected costs or difficulties related to the integration of new products and lines of business. Technological changes. The cost and effects of cyber incidents or other failures, interruptions, or security breaches of our systems or those of our customers or third-party providers. Acquisitions and integration of acquired businesses. Changes in the reliability of our vendors, internal control systems or information systems. Our ability to increase market share and control expenses. Our ability to attract and retain qualified employees. Changes in our organization, compensation, and benefit plans. The soundness of other financial institutions. Volatility and disruption in national and international financial and commodity markets. Changes in the competitive environment in our markets and among banking organizations and other financial service providers. Government intervention in the U.S. financial system. Political or economic instability. Acts of God or of war or terrorism. The potential impact of climate change. The impact of pandemics, epidemics, or any other health-related crisis. The costs and effects of legal and regulatory developments, the resolution of legal proceedings or regulatory or other governmental inquiries, the results of regulatory examinations or reviews and the ability to obtain required regulatory approvals. The effect of changes in laws and regulations (including laws and regulations concerning taxes, banking, securities, and insurance) and their application with which we and our subsidiaries must comply. The effect of changes in accounting policies and practices, as may be adopted by the regulatory agencies, as well as the Public Company Accounting Oversight Board, the Financial Accounting Standards Board and other accounting standard setters. Our success at managing the risks involved in the foregoing items. In addition, military conflict between the U.S. and Iran has contributed to heightened uncertainty and volatility in global markets. Such conditions can result in price volatility in energy and commodity markets, changes in inflation expectations, increased financial market volatility, and potential disruptions to global supply chains and trade flows. The timing, magnitude, and duration of these impacts are uncertain and may evolve rapidly based on geopolitical developments, policy responses, and market conditions. Heightened geopolitical uncertainty may influence Federal Reserve policy decisions and broader financial conditions, including interest‑rate volatility, funding costs, and liquidity conditions. These factors could adversely affect our funding profile; customer credit quality, particularly in sectors sensitive to energy prices, global trade, or economic cycles; and the market value of certain financial instruments. Prolonged volatility could also negatively impact economic growth, increase borrower stress, and contribute to higher credit losses, any of which could have a material adverse effect on our business, financial condition, and results of operations. We will continue to monitor these developments and adjust our risk management and capital planning strategies as appropriate.

Furthermore, financial markets, international relations, and global supply chains continue to be significantly impacted by evolving U.S. trade policies and practices. The scope, duration, and ultimate impact of tariffs on us, our customers, financial markets, and the U.S. and global economies remain uncertain, particularly following the U.S. Supreme Court's February 20, 2026 ruling that the International Emergency Economic Powers Act ("IEEPA") does not authorize presidential tariff authority, which invalidated prior IEEPA‑based tariffs. This ruling has introduced uncertainty regarding the timing and extent of potential tariff refunds, as well as the likelihood of new or replacement tariffs imposed under alternative statutory authorities under U.S. trade law. These developments may affect customer cash flows, credit conditions, supply chain decisions, and overall market activity and volatility, thereby increasing our exposure to operational, credit, and market risks. If such uncertainty negatively affects borrower financial condition or market stability, it could have a material adverse effect on our business, financial condition, and results of operations.

Forward-looking statements speak only as of the date on which such statements are made. We do not undertake any obligation to update any forward-looking statement to reflect events or circumstances after the date on which such statement is made, or to reflect the occurrence of unanticipated events.

Cullen/Frost Bankers, Inc.

CONSOLIDATED FINANCIAL SUMMARY (UNAUDITED)

(In thousands, except per share amounts)

2026

2025

1st Qtr

4th Qtr

3rd Qtr

2nd Qtr

1st Qtr

CONDENSED INCOME STATEMENTS

Net interest income

$ 438,522

$ 448,707

$ 441,618

$ 429,604

$ 416,220

Net interest income (1)

460,792

471,218

463,667

450,558

436,404

Credit loss expense

6,745

11,224

6,779

13,129

13,070

Non-interest income:

Trust and investment management fees

47,957

45,651

44,846

43,669

42,931

Service charges on deposit accounts

32,157

32,360

31,440

29,151

28,621

Insurance commissions and fees

22,075

15,180

15,424

13,879

21,019

Interchange and card transaction fees

6,532

6,290

5,547

5,619

5,402

Other charges, commissions, and fees

13,268

15,228

14,730

13,967

13,586

Net gain (loss) on securities transactions

—

(836)

—

—

(14)

Other

14,326

18,291

13,660

10,988

12,466

  Total non-interest income

136,315

132,164

125,647

117,273

124,011

Non-interest expense:

Salaries and wages

166,190

182,486

169,155

162,149

160,857

Employee benefits

44,656

36,653

34,465

32,826

42,157

Net occupancy

34,753

34,341

34,682

34,640

33,277

Technology, furniture, and equipment

41,674

41,575

43,479

40,572

40,118

Deposit insurance

7,203

(1,350)

6,328

6,590

7,184

Other

71,210

77,963

64,369

70,351

64,473

  Total non-interest expense

365,686

371,668

352,478

347,128

348,066

Income before income taxes

202,406

197,979

208,008

186,620

179,095

Income taxes

31,419

31,727

33,628

29,617

28,173

Net income

170,987

166,252

174,380

157,003

150,922

Preferred stock dividends

1,669

1,669

1,668

1,669

1,669

Net income available to common shareholders

$ 169,318

$ 164,583

$ 172,712

$ 155,334

$ 149,253

PER COMMON SHARE DATA

Earnings per common share - basic

$     2.65

$     2.56

$     2.67

$     2.39

$     2.30

Earnings per common share - diluted

2.65

2.56

2.67

2.39

2.30

Cash dividends per common share

1.00

1.00

1.00

1.00

0.95

Book value per common share at end of quarter

69.83

69.96

67.64

63.04

61.74

OUTSTANDING COMMON SHARES

Period-end common shares

62,797

63,287

63,801

64,319

64,283

Weighted-average common shares - basic

63,101

63,588

64,080

64,300

64,255

Dilutive effect of stock compensation

—

16

41

52

74

Weighted-average common shares - diluted

63,101

63,604

64,121

64,352

64,329

SELECTED ANNUALIZED RATIOS

Return on average assets

1.32 %

1.22 %

1.32 %

1.22 %

1.19 %

Return on average common equity

15.15

14.80

16.72

15.64

15.54

Net interest income to average earning assets

3.74

3.66

3.69

3.67

3.60

(1) Taxable-equivalent basis assuming a 21% tax rate.

Cullen/Frost Bankers, Inc.

CONSOLIDATED FINANCIAL SUMMARY (UNAUDITED)

2026

2025

1st Qtr

4th Qtr

3rd Qtr

2nd Qtr

1st Qtr

BALANCE SHEET SUMMARY

($ in millions)

Average Balance:

Loans

$  22,011

$  21,661

$  21,452

$  21,063

$  20,788

Earning assets

48,628

50,033

48,492

47,664

47,424

Total assets

52,122

53,507

51,911

51,191

50,925

Non-interest-bearing demand deposits

13,944

14,268

13,839

13,788

13,798

Interest-bearing deposits

28,282

29,072

28,232

27,972

27,860

Total deposits

42,226

43,340

42,071

41,760

41,658

Shareholders' equity

4,677

4,558

4,243

4,129

4,041

Period-End Balance:

Loans

$  22,432

$  21,892

$  21,446

$  21,254

$  20,904

Earning assets

49,172

49,524

49,147

47,756

48,409

Total assets

52,725

53,041

52,533

51,409

52,005

Total deposits

42,836

42,918

42,517

41,684

42,391

Shareholders' equity

4,531

4,573

4,461

4,200

4,114

Adjusted shareholders' equity (1)

5,454

5,416

5,385

5,341

5,243

ASSET QUALITY

($ in thousands)

Allowance for credit losses on loans:

$ 286,215

$ 281,495

$ 280,221

$ 277,803

$ 275,488

As a percentage of period-end loans

1.28 %

1.29 %

1.31 %

1.31 %

1.32 %

Net charge-offs:

$   5,741

$   5,843

$   6,589

$  11,151

$   9,691

Annualized as a percentage of average loans

0.11 %

0.11 %

0.12 %

0.21 %

0.19 %

Non-accrual loans:

$  72,350

$  70,482

$  44,778

$  62,393

$  83,534

As a percentage of total loans

0.32 %

0.32 %

0.21 %

0.29 %

0.40 %

As a percentage of total assets

0.14

0.13

0.09

0.12

0.16

CONSOLIDATED CAPITAL RATIOS

Common Equity Tier 1 Risk-Based Capital Ratio

14.07 %

14.06 %

14.14 %

13.98 %

13.84 %

Tier 1 Risk-Based Capital Ratio

14.51

14.50

14.59

14.43

14.30

Total Risk-Based Capital Ratio

15.89

15.95

16.04

15.88

15.76

Leverage Ratio

9.13

8.80

9.00

8.98

8.84

Equity to Assets Ratio (period-end)

8.59

8.62

8.49

8.17

7.91

Equity to Assets Ratio (average)

8.97

8.52

8.17

8.07

7.94

(1) Shareholders' equity excluding accumulated other comprehensive income (loss).

Cullen/Frost Bankers, Inc.

TAXABLE-EQUIVALENT YIELD/COST AND AVERAGE BALANCES (UNAUDITED)

2026

2025

1st Qtr

4th Qtr

3rd Qtr

2nd Qtr

1st Qtr

TAXABLE-EQUIVALENT YIELD/COST(1)

Earning Assets:

Interest-bearing deposits

3.64 %

3.93 %

4.36 %

4.41 %

4.39 %

Federal funds sold

3.97

4.28

4.74

4.71

4.79

Resell agreements

4.06

4.13

4.58

4.59

4.60

Securities(2)

3.85

3.82

3.85

3.79

3.63

Loans, net of unearned discounts

6.23

6.43

6.61

6.60

6.57

Total earning assets

4.88

4.94

5.11

5.07

4.99

Interest-Bearing Liabilities:

Interest-bearing deposits:

  Savings and interest checking

0.16 %

0.19 %

0.24 %

0.24 %

0.24 %

  Money market deposit accounts

1.88

2.08

2.28

2.28

2.27

  Time accounts

3.14

3.45

3.79

3.86

3.97

  Total interest-bearing deposits

1.55

1.75

1.94

1.93

1.94

Total deposits

1.04

1.17

1.30

1.29

1.30

Federal funds purchased

3.62

3.94

4.34

4.37

4.40

Repurchase agreements

2.70

2.87

3.17

3.23

3.13

Junior subordinated deferrable interest debentures

5.63

6.05

6.30

6.30

6.32

Subordinated notes payable and other notes

4.69

4.69

4.69

4.69

4.69

Total interest-bearing liabilities

1.72

1.92

2.13

2.12

2.12

Net interest spread

3.16

3.02

2.98

2.95

2.87

Net interest income to total average earning assets

3.74

3.66

3.69

3.67

3.60

AVERAGE BALANCES

($ in millions)

Assets:

Interest-bearing deposits

$  6,752

$  8,431

$  6,816

$  6,169

$  7,238

Federal funds sold

4

2

3

8

3

Resell agreements

8

10

10

23

10

Securities - carrying value(2)

19,853

19,929

20,213

20,401

19,384

Securities - amortized cost(2)

20,825

20,995

21,622

21,864

20,839

Loans, net of unearned discount

22,011

21,661

21,452

21,063

20,788

Total earning assets

$ 48,628

$ 50,033

$ 48,492

$ 47,664

$ 47,424

Liabilities:

Interest-bearing deposits:

  Savings and interest checking

$ 10,036

$  9,899

$  9,689

$  9,920

$  9,969

  Money market deposit accounts

11,900

12,619

11,817

11,518

11,432

  Time accounts

6,346

6,554

6,726

6,534

6,458

  Total interest-bearing deposits

28,282

29,072

28,232

27,972

27,860

Total deposits

42,226

43,340

42,071

41,760

41,658

Federal funds purchased

24

27

29

25

18

Repurchase agreements

4,160

4,586

4,593

4,250

4,147

Junior subordinated deferrable interest debentures

123

123

123

123

123

Subordinated notes payable and other notes

100

100

100

100

100

Total interest-bearing funds

$ 32,689

$ 33,909

$ 33,077

$ 32,471

$ 32,248

(1) Taxable-equivalent basis assuming a 21% tax rate.

(2) Average securities include unrealized gains and losses on securities available for sale while yields are based on average amortized cost.

A.B. Mendez
Investor Relations
210.220.5234

or

Bill Day
Media Relations
210.220.5427

SOURCE Cullen/Frost Bankers, Inc.

For the quarter ended March 2026, Cullen/Frost Bankers (CFR - Free Report) reported revenue of $597.11 million, up 6.6% over the same period last year. EPS came in at $2.65, compared to $2.30 in the year-ago quarter.

The reported revenue represents a surprise of +0.88% over the Zacks Consensus Estimate of $591.93 million. With the consensus EPS estimate being $2.46, the EPS surprise was +7.78%.

While investors scrutinize revenue and earnings changes year-over-year and how they compare with Wall Street expectations to determine their next move, some key metrics always offer a more accurate picture of a company's financial health.

Since these metrics play a crucial role in driving the top- and bottom-line numbers, comparing them with the year-ago numbers and what analysts estimated about them helps investors better project a stock's price performance.

Here is how Cullen/Frost performed in the just reported quarter in terms of the metrics most widely monitored and projected by Wall Street analysts:

Net charge-offs annualized as a percentage of average loans: 0.1% versus 0.2% estimated by five analysts on average.Total earning assets and average rate earned - Average balance: $48.63 billion versus the five-analyst average estimate of $50.15 billion.Net Interest Margin (FTE): 3.7% compared to the 3.7% average estimate based on five analysts.Book value per common share at end of quarter: $69.83 versus the four-analyst average estimate of $78.91.Non-accrual loans: $72.35 million versus the two-analyst average estimate of $71.3 million.Total Non-Interest Income: $136.32 million versus the five-analyst average estimate of $131.15 million.Net Interest Income (FTE): $460.79 million versus $460.77 million estimated by five analysts on average.Trust and investment management fees: $47.96 million versus the four-analyst average estimate of $45.06 million.Other charges, commissions and fees: $13.27 million compared to the $15.25 million average estimate based on four analysts.Service charges on deposit accounts: $32.16 million versus $32.07 million estimated by four analysts on average.Insurance commissions and fees: $22.08 million versus $17.82 million estimated by three analysts on average.Net Interest Income: $438.52 million compared to the $438.71 million average estimate based on three analysts.View all Key Company Metrics for Cullen/Frost here>>>

Shares of Cullen/Frost have returned +3% over the past month versus the Zacks S&P 500 composite's +12.2% change. The stock currently has a Zacks Rank #3 (Hold), indicating that it could perform in line with the broader market in the near term.

Key Takeaways CFR, SAH, STBA and POOL announced fresh dividend hikes amid rising market volatility and inflation concerns.Cullen/Frost Bankers will pay $1.03 per share, marking six dividend hikes in five years.Pool Corporation declared a $1.30 dividend, supported by consistent payout growth and a 46% payout ratio. Volatility appears to have returned to Wall Street on renewed geopolitical tensions and soaring inflation that has been denting consumer sentiment. Also, the Federal Reserve kept interest rates unchanged in its April policy meeting and warned of inflation spiking further on rising global oil prices.

Given the uncertainty, cautious investors looking for steady income and ways to protect their capital may consider holding or investing in dividend-paying stocks.

Such stocks provide steady earnings through regular dividend payouts and can help mitigate the effects of market volatility. Four such stocks are: Cullen/Frost Bankers, Inc. (CFR - Free Report) , Sonic Automotive, Inc. (SAH - Free Report) , S&T Bancorp, Inc. (STBA - Free Report) and Pool Corporation (POOL - Free Report) .

Concerns Grow Over Economy’s HealthThe Federal Reserve left interest rates unchanged in its present range of 3.5-3.75% at the end of its two-day FOMC meeting on Wednesday. The move was highly anticipated. However, the Fed warned that overall inflation could spike further on a steep rise in global oil prices.

Oil prices have surged more than 30% since the beginning of the conflict with Iran on Feb.28. The Federal Reserve has not cut interest rates this year as inflation remains a concern for both the central bank and investors.

Inflation grew at a sharp pace in March, partly spiked by higher gasoline prices, owing to the closure of the Strait of Hormuz following the U.S.-Iran war. The Commerce Department said earlier this month that the consumer price index (CPI) rose 0.9% in March after rising 2.4% in February, pushing the annual inflation rate to 3.3% — its highest level since May 2024.

The Federal Reserve is unlikely to cut interest rates anytime soon, with concerns growing that the central bank may be compelled to hike rates if inflation remains elevated.

4 Stocks That Recently Announced Dividend HikesCullen/Frost BankersCullen/Frost Bankers, Inc. is a financial holding company and a bank holding company, which, through its subsidiaries, provides a broad array of products and services throughout numerous Texas markets. CFR currently carries a Zacks Rank #3 (Hold). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

On April 30, Cullen/Frost Bankers announced that its shareholders would receive a dividend of $1.03 a share on June 15. CFR has a dividend yield of 2.80%. Over the past five years, Cullen/Frost Bankers has increased its dividend six times, and its payout ratio presently sits at 40% of earnings. Check Cullen/Frost Bankers’ dividend history here.

Sonic AutomotiveSonic Automotive, Inc. is one of the leading automotive retailers in the United States. Apart from selling new and used cars and light trucks, SAH offers warranties, service contracts, vehicle financing and insurance. Sonic Automotive has a Zacks Rank #3 at present.

On April 30, Sonic Automotive declared that its shareholders would receive a dividend of $0.41 a share on July 15. SAH has a dividend yield of 2.07%. Over the past five years, Sonic Automotive has increased its dividend eight times, and its payout ratio presently sits at 23% of earnings. Check Sonic Automotive’s dividend history here.

S&T BancorpS&T Bancorp, Inc. is a bank holding company engaged in the general banking business. STBA is a full-service bank with its main office in Indiana, PA, providing service to its customers through a network of 34 offices located in Armstrong, Allegheny, Indiana, Jefferson, Clearfield and Westmoreland counties. Currently, S&T Bancorp has a Zacks Rank #3.

On April 29, S&T Bancorp announced that its shareholders would receive a dividend of $0.37 a share on May 15. STBA has a dividend yield of 3.26%. Over the past five years, S&T Bancorp has increased its dividend eight times, and its payout ratio presently sits at 40% of earnings. Check S&T Bancorp’s dividend history here.

Pool Corporation Pool Corporation is the world's largest wholesale distributor of swimming pool supplies, equipment and related products. In addition, the company is a leading regional wholesale distributor of irrigation and landscape products. Pool currently has a Zacks Rank #3.

On April 29, Pool Corporation declared that its shareholders would receive a dividend of $1.30 a share on May 28. POOL has a dividend yield of 2.39%. Over the past five years, Pool Corporation has increased its dividend six times, and its payout ratio presently sits at 46% of earnings. Check Pool Corporation’s dividend history here.

On May 01, 2026, Cullen/Frost Bankers Inc CFR shares fell 3.1% to a current price of $140.36. The stock has experienced a 52-week high of $148.97 and a low of $116.47, reflecting a year marked by volatility and substantial growth over the past year.

GF Value™ verdict indicates that the stock is currently 4.9% overvalued, with a fair value estimate of $133.79.GF Score™ stands at 81/100, suggesting a strong overall performance compared to peer companies.Most notable signal is the momentum rank of 10/10, indicating strong recent price performance. Is CFR Overvalued or Undervalued? Currently, Cullen/Frost Bankers Inc CFR is trading at a price of $140.36, which is above the GF Value™ estimate of $133.79. This implies that the stock is overvalued by approximately 4.9%. The GF Valuation label classifies the stock as fairly valued, suggesting that while the current market price is above intrinsic value, it does not signal an excessive overvaluation risk at this moment. Investors should consider this margin of safety when evaluating their positions in CFR.

GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. Given the current overvaluation, potential risks include market corrections or changes in broader economic conditions that could pressure the stock price downward.

How Does CFR's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 13.7x 14.2x Forward P/E 13.7x N/A The current P/E (TTM) of 13.7x is 4% below its 5-year median P/E of 14.2x. This indicates that the stock is trading below its historical valuation levels, which somewhat contradicts the GF Value™ verdict of being overvalued. This analysis suggests that while the current price may seem high relative to GF Value™, the historical perspective on P/E suggests a less severe overvaluation when considering past performance metrics.

What Does CFR's GF Score™ Tell Us? Metric Rating GF Score™ 81 Financial Strength 5/10 Profitability 6/10 Growth 6/10 Valuation 7/10 Momentum 10/10 The GF Score™ of 81/100 highlights a strong overall performance for Cullen/Frost Bankers Inc. The strongest area is the momentum rank of 10/10, which reflects the stock's strong recent price performance. However, the financial strength score of 5/10 suggests some caution, indicating that while the stock has positive growth and valuation metrics, its financial stability may not be as robust compared to peers.

What Are Insiders Doing with CFR Stock? In the past three months, there have been no insider transactions reported for Cullen/Frost Bankers Inc. This lack of insider activity may suggest that current executives do not find the stock price attractive for buying or selling, which could indicate a neutral sentiment among insiders regarding the company's near-term prospects. This absence of insider trading can be interpreted as a lack of strong conviction on the part of leadership about the stock's future performance.

What This Means for Investors Based on the current analysis, Cullen/Frost Bankers Inc CFR appears to be overvalued according to GF Value™, with a price of $140.36 exceeding the fair value estimate of $133.79. Investors may need to exercise caution and consider the broader market conditions and potential volatility when making decisions regarding this stock.

For the complete analysis, visit the Cullen/Frost Bankers Inc CFR stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is CFR's GF Score™?

CFR's GF Score™ is 81/100, indicating a strong performance overall compared to other stocks in its sector.

Is CFR overvalued or undervalued?

According to GF Value™, CFR is currently overvalued at $140.36 compared to its fair value estimate of $133.79.

What is CFR's P/E ratio?

CFR's P/E (TTM) is 13.7x, which is 4% below its 5-year median P/E of 14.2x, suggesting that the stock is trading below its historical valuation levels.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

Cullen/Frost Bankers maintains a 'hold' rating due to its premium valuation despite strong fundamentals and asset quality. Loan and securities growth, along with strategic balance sheet shifts, have driven net interest margin expansion to 3.74% and increased profitability. CFR trades at 14x earnings and over double book value, making it expensive relative to peers despite robust 15.15% ROE and 1.32% ROA.

Key Takeaways CFR maintains disciplined capital returns via dividend hikes and share buybacks to reward shareholders.CFR raised its quarterly dividend 3% to $1.03, with 7.37% 5-year growth and 39% payout ratio.CFR's dividend yield stands at 2.88%, supported by strong liquidity and buyback capacity. Cullen/Frost Bankers, Inc. (CFR - Free Report) maintains a disciplined capital distribution approach, aiming to return value to shareholders through dividends and share repurchases.

In April 2026, the company announced a 3% increase in its quarterly dividend to $1.03 per share. Over the past five years, CFR has delivered a five-year annualized dividend growth rate of 7.37% and currently has a payout ratio of 39%.

Based on Friday’s closing price of $138.85, its annualized dividend yield stands at 2.88%, higher than the industry average of 2.36%. Rather than pursuing aggressive dividend hikes, the company has prioritized a steady and sustainable payout policy, which strengthens its long-term financial position and supports investor confidence.

Dividend Yield
Image Source: Zacks Investment Research

Apart from dividends, Cullen/Frost has been actively executing share repurchases. On Jan. 28, 2026, the company’s board of directors authorized a $300 million stock repurchase program, allowing repurchases over a one-year period through Jan. 27, 2027. As of March 31, 2026, nearly $230 million remained available under the current authorization.

These capital return initiatives are supported by the company’s solid liquidity position and manageable leverage profile. As of March 31, 2026, Cullen/Frost’s liquidity totaled $7.2 billion. As of the same date, short-term debt was $4.1 billion, while long-term debt was $223 million. Further, the company’s debt/equity ratio compares favorably with that of the broader industry.

CFR’s consistent dividend growth, active share repurchases and disciplined payout strategy reflect strong capital management and financial stability. Backed by solid liquidity and earnings strength, the company appears well-positioned to sustain capital distribution activities and support long-term shareholder value.

How Is CFR Placed in Capital Returns Compared With Peers?Cullen/Frost’s closest peers in the regional banking space include BOK Financial (BOKF - Free Report) and First Horizon (FHN - Free Report) .

BOK Financial has maintained a steady capital distribution strategy. In February 2026, the company raised its dividend by 10.5% to 63 cents per share, continuing its consistent pattern of annual dividend increases supported by stable earnings. BOK Financial also has an active buyback program, with a new authorization of up to 5 million shares approved in July 2025. As of March 31, 2026, about 2.9 million shares remained available for repurchase. However, its capital position is partly offset by a relatively weaker liquidity profile, with $4.6 billion in total debt versus $1.1 billion in cash and equivalents, indicating a limited cushion in a stressed environment.

On the other hand, First Horizon continues to demonstrate a balanced capital return profile supported by a decent liquidity position. As of March 31, 2026, the company held $2.5 billion in cash and interest-bearing deposits, while short-term borrowings stood at $1.9 billion and term borrowings at $1.3 billion. In January 2026, First Horizon increased its quarterly dividend by 13.3% to 17 cents per share, reflecting steady payout growth. It also maintains an active buyback program, with the board authorizing a $1.2 billion repurchase plan in October 2025. As of March 31, 2026, $765 million remained available under this authorization.

CFR’s Price Performance and Zacks RankOver the past three months, shares of CFR have gained 11.7%, outperforming the industry’s 9.9% growth.

Price Performance
Image Source: Zacks Investment Research

Currently, the company carries a Zacks Rank #2 (Buy). You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

All investors love getting big returns from their portfolio, whether it's through stocks, bonds, ETFs, or other types of securities. But for income investors, generating consistent cash flow from each of your liquid investments is your primary focus.

Cash flow can come from bond interest, interest from other types of investments, and, of course, dividends. A dividend is that coveted distribution of a company's earnings paid out to shareholders, and investors often view it by its dividend yield, a metric that measures the dividend as a percent of the current stock price. Many academic studies show that dividends account for significant portions of long-term returns, with dividend contributions exceeding one-third of total returns in many cases.

Headquartered in San Antonio, Cullen/Frost Bankers (CFR - Free Report) is a Finance stock that has seen a price change of 10.19% so far this year. The financial holding company is currently shelling out a dividend of $1.00 per share, with a dividend yield of 2.87%. This compares to the Banks - Southwest industry's yield of 1.67% and the S&P 500's yield of 1.42%.

Looking at dividend growth, the company's current annualized dividend of $4.00 is up 1.3% from last year. Over the last 5 years, Cullen/Frost Bankers has increased its dividend 5 times on a year-over-year basis for an average annual increase of 7.98%. Looking ahead, future dividend growth will be dependent on earnings growth and payout ratio, which is the proportion of a company's annual earnings per share that it pays out as a dividend. Cullen/Frost's current payout ratio is 39%, meaning it paid out 39% of its trailing 12-month EPS as dividend.

Earnings growth looks solid for CFR for this fiscal year. The Zacks Consensus Estimate for 2026 is $10.46 per share, which represents a year-over-year growth rate of 5.34%.

Investors like dividends for a variety of different reasons, from tax advantages and decreasing overall portfolio risk to considerably improving stock investing profits. But, not every company offers a quarterly payout.

High-growth firms or tech start-ups, for example, rarely provide their shareholders a dividend, while larger, more established companies that have more secure profits are often seen as the best dividend options. During periods of rising interest rates, income investors must be mindful that high-yielding stocks tend to struggle. That said, they can take comfort from the fact that CFR is not only an attractive dividend play, but also represents a compelling investment opportunity with a Zacks Rank of #2 (Buy).

Inflation relentlessly erodes purchasing power, making dividend growth essential for income investors to maintain real income. A barbell strategy—combining moderate-yielding dividend growth stocks/ETFs and 6.5%+ yielding investment grade preferreds—offers both growth and current income. AI-driven capex by large-cap S&P 500 firms is powering economic growth and masking weakness among lower-income consumers.

Key Takeaways CRL posted Q1 adjusted EPS of $2.06 and revenues of $995.8M, both above estimates.Charles River saw gross margin fall 269 bps and adjusted operating margin contract 64 bps.CRL reaffirmed 2026 guidance and completed the CDMO and Cell Solutions divestiture. Charles River Laboratories International, Inc. (CRL - Free Report) reported first-quarter 2026 adjusted earnings per share (EPS) of $2.06, down 12% year over year. The figure surpassed the Zacks Consensus Estimate by 5.1%.

On a GAAP basis, the company reported a loss of 30 cents per share compared with the year-ago quarter’s earnings of 50 cents.

CRL’s RevenuesRevenues totaled $995.8 million, which beat the Zacks Consensus Estimate by 2.5%. The top line rose 1.2% from the year-ago quarter’s level (down 1.5% organically, excluding the impact of foreign currency translation and the divestiture of a small Safety Assessment site in 2024).

Following the announcement, CRL shares fell 0.7% in the pre-market trading today.

CRL’s Q1 Segmental Performance in DetailThe company reports under three segments — Research Models and Services (“RMS”), Discovery and Safety Assessment (“DSA”) and Manufacturing Solutions.

RMS’ revenues totaled $208.4 million, down 2.2% year over year (down 5.5% organically). The organic decrease was mainly due to lower revenues for large research models and small research models in North America. Our model estimated RMS’ revenues to be $209.8 million in the first quarter.

DSA’s revenues amounted to $596.9 million, up 0.7% year over year (down 1.4% organically). The organic decline in revenues was primarily due to lower revenues for discovery services, partly from the impact of prior site consolidation activities. Our model projected revenues of $579.9 million for this segment.

Manufacturing Solutions’ revenues totaled $190.5 million, up 6.8% year over year (up 2.9% organically). The organic growth was due to higher revenues in the Microbial Solutions business. Our model projected revenues to be $194.9 million for the first quarter.

CRL’s Margin PerformanceThe gross profit in the reported quarter was $294.7 million, down 7.3% from the prior-year quarter’s level. The gross margin of 29.6% fell 269 basis points (bps) year over year.

Selling, general & administrative expenses dropped 10.3% year over year to $159.4 million. The adjusted operating profit totaled $135.2 million, down 3.4% from the prior-year quarter’s level. The adjusted operating margin contracted 64 bps to 13.6%.

CRL’s Liquidity PositionCharles River exited the first quarter of 2026 with cash and cash equivalents of $191.8 million compared with $213.8 million at the end of 2025.

Cumulative net cash provided by operating activities at the end of the first quarter was $41.1 million compared with $171.7 million a year ago.

During the first quarter of 2026, Charles River repurchased 1.1 million shares for a total of $200.0 million. As of March 28, 2026, it had $800.0 million remaining under its $1.0 billion stock repurchase authorization that was approved by the board of directors on Oct. 29, 2025.

CRL’s Divestiture UpdateOn May 6, 2026, Charles River completed the divestiture of the CDMO and Cell Solutions businesses to GI Partners. It expects to complete the sale of certain European Discovery Services sites in May 2026. These strategic transactions are expected to help the company refocus its comprehensive portfolio on core competencies and drive synergistic growth in areas in which it has differentiated scientific expertise.

Charles River’s 2026 GuidanceThe company last updated its full year guidance on Feb. 25, 2026, including the expected impact of the completed divestiture of the CDMO and Cell Solutions businesses, and the planned divestiture of certain European Discovery Services sites in May 2026.

Reported revenues for the year are now expected to grow (5.5)% - (4)%, from the previous (5.0)% - (3.5)% forecast. The Zacks Consensus Estimate for 2026 revenues is pegged at $3.97 billion, implying a 1.3% fall. 

Adjusted EPS for 2026 is expected in the range of $10.80-$11.30. The Zacks Consensus Estimate for the metric is pegged at $10.97.

Our Take on CRLCharles River exited the first quarter of 2026 with earnings and revenues beating estimates. The company delivered on the quarter’s targets and remains well-positioned to generate improving results throughout the year. By segment, organic revenue growth in the Manufacturing Solution was more than offset by organic revenue declines in the RMS and DSA segments. The contraction of both margins in the quarter is also discouraging.

Charles River reduced its 2026 reported revenue outlook by roughly 50 bps to reflect recent changes in assumptions for foreign exchange rates.

CRL’s Zacks Rank and Key Picks

Charles River currently carries a Zacks Rank #3 (Hold).

Some better-ranked stocks from the broader medical space are BrightSpring Health Services (BTSG - Free Report) , Intuitive Surgical (ISRG - Free Report) and Labcorp Holdings (LH - Free Report) .

BrightSpring Health Services, currently carrying a Zacks Rank #2 (Buy), reported first-quarter 2026 adjusted EPS of 36 cents, which surpassed the Zacks Consensus Estimate by 34.5%. Revenues of $3.61 billion beat the Zacks Consensus Estimate by 8.35%. You can see the complete list of today’s Zacks #1 Rank (Strong Buy) stocks here.

BTSG has an estimated long-term earnings growth rate of 47.2% compared with the industry’s 14.5% growth. The company topped earnings estimates in three of the trailing four quarters and missed on one occasion, the average surprise being 14.61%.

Intuitive Surgical,carrying a Zacks Rank #2 at present, posted first-quarter 2026 adjusted EPS of $2.50, exceeding the Zacks Consensus Estimate by 20.2%. Revenues of $2.77 billion outpaced the Zacks Consensus Estimate by 6.2%.

ISRG has an earnings yield of 2.1% compared to the industry’s negative 0.9% yield. The company’s earnings outpaced estimates in each of the trailing four quarters, the average surprise being 16.82%.

Labcorp,carrying a Zacks Rank #2 at present, posted first-quarter 2026 adjusted EPS of $4.25, exceeding the Zacks Consensus Estimate by 3.8%. Revenues of $3.54 billion outperformed the Zacks Consensus Estimate by 1%.

LH has an earnings yield of 6.9% compared with the industry’s 4.5% yield. The company’s earnings topped estimates in each of the trailing four quarters, the average surprise being 3.31%.

Charles River Laboratories International, Inc. (CRL) Q1 2026 Earnings Call Transcript

Charles River Laboratories International, Inc. (NYSE:CRL) posted upbeat earnings for the first quarter, but lowered its FY2026 forecast on Thursday.

The company posted adjusted EPS of $2.06, beating market estimates of $1.94. The company's sales came in at $995.830 million versus expectations of $977.486 million.

Charles River slashed its FY2026 GAAP EPS guidance from $6.30-$6.80 to $5.35-$5.85. The company also lowered its FY2026 sales guidance from $3.814 billion-$3.874 billion to $3.794 billion-$3.854 billion.

Birgit Girshick, Chief Executive Officer, said, “We are pleased to deliver on our first-quarter financial targets, and remain well positioned to generate improving results over the course of the year. Our confidence is supported by a DSA demand environment that is tracking to our expectations, resulting in solid bookings in the first quarter, as well as the successful execution of our strategy.”

Charles River shares fell 2.4% to trade at $177.25 on Friday.

These analysts made changes to their price targets on Charles River following earnings announcement.

Evercore ISI Group analyst Ross Muken maintained Charles River with an Outperform rating and raised the price target from $200 to $220. Barclays analyst Luke Sergott maintained the stock with an Overweight rating and raised the price target from $210 to $220. Considering buying CRL stock? Here’s what analysts think:

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Have you evaluated the performance of Charles River Laboratories' (CRL - Free Report) international operations for the quarter ending March 2026? Given the extensive global presence of this medical research equipment and services provider, analyzing the patterns in international revenues is crucial for understanding its financial strength and potential for growth.

In the current era of a tightly interconnected global economy, the proficiency of a company to penetrate international markets significantly influences its financial health and trajectory of growth. For investors, the key is to grasp how reliant a company is on overseas markets, as this provides insights into the durability of its earnings, its ability to exploit different economic cycles, and its overall growth capabilities.

Being present in foreign markets serves as protection against local economic declines and helps benefit from more rapidly expanding economies. Yet, such expansion also introduces challenges related to currency fluctuations, geopolitical uncertainties and varied market behaviors.

Our review of CRL's last quarterly performance uncovered some notable trends in the revenue contributions from its international markets, which are commonly analyzed and tracked by Wall Street experts.

The company's total revenue for the quarter stood at $995.83 million, increasing 1.2% year over year. Now, let's delve into CRL's international revenue breakdown to gain insights into the significance of its operations beyond home turf.

A Dive into CRL's International Revenue TrendsCanada generated $109.57 million in revenues for the company in the last quarter, constituting 11% of the total. This represented a surprise of -2.94% compared to the $112.88 million projected by Wall Street analysts. Comparatively, in the previous quarter, Canada accounted for $123.28 million (12.4%), and in the year-ago quarter, it contributed $125.35 million (12.7%) to the total revenue.

Europe accounted for 27.9% of the company's total revenue during the quarter, translating to $277.58 million. Revenues from this region represented a surprise of +5.64%, with Wall Street analysts collectively expecting $262.77 million. When compared to the preceding quarter and the same quarter in the previous year, Europe contributed $279.9 million (28.2%) and $263.25 million (26.8%) to the total revenue, respectively.

Of the total revenue, $9.4 million came from Other International, including Brazil and Israel during the last fiscal quarter, accounting for 0.9%. This represented a surprise of -20.98% as analysts had expected the region to contribute $11.89 million to the total revenue. In comparison, the region contributed $16.79 million, or 1.7%, and $16.67 million, or 1.7%, to total revenue in the previous and year-ago quarters, respectively.

During the quarter, Asia Pacific contributed $55.48 million in revenue, making up 5.6% of the total revenue. When compared to the consensus estimate of $42.48 million, this meant a surprise of +30.61%. Looking back, Asia Pacific contributed $56.91 million, or 5.7%, in the previous quarter, and $41.94 million, or 4.3%, in the same quarter of the previous year.

International Revenue PredictionsWall Street analysts expect Charles River to report $1 billion in total revenue for the current fiscal quarter, indicating a decline of 2.7% from the year-ago quarter. Canada, Europe, Other International, including Brazil and Israel and Asia Pacific are expected to contribute 12.4% (translating to $124.71 million), 27.1% ($272.09 million), 0.7% ($6.85 million), and 5.4% ($54.2 million) to the total revenue, respectively.

For the entire year, the company's total revenue is forecasted to be $4.01 billion, which is a reduction of 0.1% from the previous year. The revenue contributions from different regions are expected as follows: Canada will contribute 12.2% ($489.12 million), Europe 27% ($1.08 billion)Other International, including Brazil and Israel 1.1% ($45.04 million) and Asia Pacific 5% ($200.56 million) to the total revenue.

Final ThoughtsCharles River's reliance on international markets for revenues offers both opportunities and risks. Hence, keeping an eye on its international revenue trends could significantly help forecast the company's prospects.

In an environment where global interconnections and geopolitical skirmishes are intensifying, Wall Street analysts keep a keen eye on these trends, particularly for firms with overseas operations, to adjust their earnings predictions. Moreover, a range of other aspects, including how a company fares in its home country, significantly affects these projections.

Here at Zacks, we put a great deal of emphasis on a company's changing earnings outlook, as empirical research has shown that's a powerful force driving a stock's near-term price performance. Quite naturally, the correlation is positive here -- an upward revision in earnings estimates drives the stock price higher.

The Zacks Rank, our proprietary stock rating mechanism, demonstrates a notable performance history confirmed through external audits. It effectively utilizes the power of earnings estimate revisions to act as a predictor of a stock's price performance in the near term.

At present, Charles River holds a Zacks Rank #3 (Hold). This ranking implies that its near-term performance might mirror the overall market movement. You can see the complete list of today's Zacks Rank #1 (Strong Buy) stocks here >>>> .

Examining the Latest Trends in Charles River Laboratories' Stock ValueOver the past month, the stock has seen an increase of 1.1% in its value, whereas the Zacks S&P 500 composite has posted an increase of 9.1%. The Zacks Medical sector, Charles River's industry group, has descended 2.9% over the identical span. In the past three months, there's been an increase of 10.1% in the company's stock price, against a rise of 7.1% in the S&P 500 index. The broader sector has declined by 9.8% during this interval.

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Partnership showcases a forward-looking collaboration model that highlights advanced testing expertise

WILMINGTON, Mass.--(BUSINESS WIRE)--Charles River Laboratories (CRL) and MEDIPOST Co., Ltd. (KOSDAQ 078160) have entered into a strategic, non-exclusive Memorandum of Understanding (MOU) to collaborate on GMP-compliant testing, as well as broader commercial and marketing efforts to advance cell therapy development and commercialization. The partnership will leverage Charles River’s expertise in biologics and cell therapy GMP testing to support MEDIPOST’s global cell therapy pipeline, starting in the Asia-Pacific (APAC) and North America (NA) regions, with possible expansion into Middle East and Europe.

“By collaborating with industry leaders, we aim to expand GMP testing capabilities and help ensure that safe, compliant products reach patients more efficiently.”

Share “We are excited to deepen our partnership with MEDIPOST and collaborate with a top global cell therapy developer, assisting at both clinical and commercialization phases,” said Kerstin Dolph, Corporate Senior Vice President, Global Manufacturing, Charles River. “By collaborating with industry leaders, we aim to expand GMP testing capabilities and help ensure that safe, compliant products reach patients more efficiently.”

Charles River will provide specialized expertise in biologics quality control, viral testing, release testing, and other GMP-compliant services, supporting MEDIPOST from development through commercialization. Through this non-exclusive MOU, Charles River continues to advance efficient, high-quality, and compliant development pathways for advanced biologics, particularly within the APAC region. The collaboration reflects a shared commitment to accelerating access to safe, effective cell therapies across global markets.

“We are pleased to announce this collaborative partnership with Charles River Laboratories, a true global-standard player and services provider in the field of biologics research and development,” said Antonio (Tony) Lee, Global President and Board Director at MEDIPOST.

“With over 14 years of commercial-stage allogeneic cell therapy product manufacturing and release experience, treating more than 36,000 patients within South Korea, MEDIPOST is now expanding into global regions starting with APAC and North America. Our partnership with Charles River will help us pave solid paths to efficient and compliant commercial pathways in multiple regulatory jurisdictions across the globe.”

Biologics Testing Solutions

Charles River Laboratories provides comprehensive biologics testing, scientific expertise, and regulatory guidance to help keep development programs on track. As a global partner with GMP-compliant facilities across North America and Europe, the company supports biologics and advanced therapy programs across multiple modalities through an integrated, end-to-end approach. By reducing reliance on fragmented vendor networks, Charles River helps minimize operational risk, strengthen regulatory readiness, and accelerate progress toward clinical and commercial approval.

About MEDIPOST

MEDIPOST Co., Ltd. is a commercial-stage biotechnology company developing allogeneic, umbilical cord blood-derived mesenchymal stem/stromal cell (MSC) therapies for degenerative diseases including knee Osteoarthritis. The company has a regulatory-approved allogeneic stem cell product – CARTISTEM® on the market in South Korea with Phase 3 pivotal studies ongoing in Japan and the U.S., and an additional pipeline of regenerative medicine products built on its proprietary stem cell technology platform with a focus on scalable, off-the-shelf therapeutic approaches. Learn more at www.medi-post.com.

About Charles River

Charles River provides essential products and services to help pharmaceutical and biotechnology companies, government agencies and leading academic institutions around the globe accelerate their research and drug development efforts. Our dedicated employees are focused on providing clients with exactly what they need to improve and expedite the discovery, early-stage development and safe manufacture of new therapies for the patients who need them. To learn more about our unique portfolio and breadth of services, visit www.criver.com.

More News From Charles River Laboratories

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Stock to Watch: Charles River Laboratories (CRL - Free Report) Headquartered in Wilmington, MA, Charles River Laboratories International, Inc. (CRL - Free Report) is a full service, early-stage contract research organization (CRO). The company provides essential products and services to help pharmaceutical and biotechnology companies, government agencies and leading academic institutions globally accelerate their research and drug development efforts.

CRL is a #3 (Hold) on the Zacks Rank, with a VGM Score of B.

It also boasts a Value Style Score of B thanks to attractive valuation metrics like a forward P/E ratio of 13.83; value investors should take notice.

Eight analysts revised their earnings estimate higher in the last 60 days for fiscal 2026, while the Zacks Consensus Estimate has increased $0.11 to $11.02 per share. CRL also boasts an average earnings surprise of +9.3%.

With a solid Zacks Rank and top-tier Value and VGM Style Scores, CRL should be on investors' short list.

Charles River Laboratories International, Inc. (NYSE: CRL) announced today that it will present at the William Blair 46th Annual Growth Stock Conference on Tuesday, June 2nd, at 10:00 a.m. CT (11:00 a.m. ET), and at the Jefferies Global Healthcare Conference on Wednesday, June 3rd, at 9:55 a.m. ET. Management will present an overview of Charles River’s strategic focus, business developments, and recent trends.

A live webcast of each presentation will be available through a link that will be posted on the Investor Relations section of the Charles River website at ir.criver.com. A webcast replay will be accessible through the same website after each presentation and will remain available for approximately two weeks.

About Charles River

Charles River provides essential products and services to help pharmaceutical and biotechnology companies, government agencies and leading academic institutions around the globe accelerate their research and drug development efforts. Our dedicated employees are focused on providing clients with exactly what they need to improve and expedite the discovery, early-stage development and safe manufacture of new therapies for the patients who need them. To learn more about our unique portfolio and breadth of services, visit www.criver.com.

View source version on businesswire.com: https://www.businesswire.com/news/home/20260601680494/en/

BOSTON--(BUSINESS WIRE)--Charles River Associates (NASDAQ: CRAI), a worldwide leader in providing economic, financial, and management consulting services, today announced that the Company will participate in the Sidoti Small-Cap Virtual Conference on June 17 and 18, 2026. CRA Chairman and Chief Executive Officer Paul Maleh is scheduled to present at 10:00 a.m. EDT on Wednesday, June 17. A live webcast will be available on the Company's investor relations website. An archived replay will be avai.

CHICAGO--(BUSINESS WIRE)--GE HealthCare (Nasdaq: GEHC) today announced an expanded collaboration with DeepHealth, Inc., a global leader in AI-powered health informatics and a wholly owned subsidiary of RadNet, Inc. (Nasdaq: RDNT), to further the innovation, commercialization, and adoption of advanced AI-powered mammography tools. The announcement coincides with the Society of Breast Imaging (SBI) Annual Symposium, where GE HealthCare will showcase its latest advancements in breast imaging and w.

On April 20, 2026, RadNet Inc RDNT shares fell 4.3% to a current price of $57.85. This decline comes after a mixed price performance, with the stock showing a 52-week range of $46.76 to $85.84. The year-to-date performance has been particularly poor, down 18.9%.

GF Value™ verdict: Current price vs GF Value of $64.47 indicates a 10.3% undervaluation.GF Score™ of 85/100 suggests a strong overall ranking.Notable signal: Insiders sold $1.9 million worth of shares in the last 3 months, with no buying activity. Is RDNT Overvalued or Undervalued? RadNet Inc's current price of $57.85 is below the GF Value™ estimate of $64.47, indicating that the stock is 10.3% undervalued. This margin of safety suggests that there may be an opportunity for potential appreciation in stock value. However, it's essential to recognize that while the GF Valuation label categorizes the stock as "Modestly Undervalued," the financial health and market conditions surrounding RadNet must also be considered. GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates.

Investors should be cautious, as the recent decline in share price may reflect underlying challenges that could affect future performance. While the undervaluation indicates a potential upside, the stock's volatility and lack of insider buying activity may signal caution.

How Does RDNT's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 90.8x 117.6x RadNet's current forward P/E of 90.8x is significantly below its 5-year median P/E of 117.6x. This indicates that the stock is trading below its historical valuation levels. This P/E analysis aligns with the GF Value™ verdict of being undervalued, suggesting that RadNet may offer a more attractive entry point compared to its past valuations.

What Does RDNT's GF Score™ Tell Us? Metric Rating GF Score™ 85/100 Financial Strength 5/10 Profitability 6/10 Growth 8/10 Valuation 10/10 Momentum 7/10 The GF Score™ of 85/100 indicates that RadNet has a strong overall ranking, particularly in the Valuation category with a perfect score of 10/10. However, its Financial Strength rating of 5/10 suggests that there may be some areas of concern regarding its financial health. The Growth rank of 8/10 indicates solid potential for future growth, while the Profitability rank of 6/10 shows moderate profitability. Overall, RadNet appears to have strengths in valuation and growth, but weaker financial strength could be a risk factor.

What Are Insiders Doing with RDNT Stock? In the past three months, insiders at RadNet have sold $1.9 million worth of shares without any reported buying activity. This pattern of selling may suggest a lack of confidence among insiders regarding the company's immediate future performance. While insider selling does not necessarily indicate a negative outlook, it does warrant attention as it may reflect management's perception of the company's stock value at this time.

What This Means for Investors Based on the analysis of the GF Value™, RadNet Inc RDNT shares appear to be undervalued at the current price of $57.85, as indicated by the 10.3% margin to the GF Value™ estimate of $64.47. However, potential investors should consider the mixed signals from insider activity and financial strength ratings before making any decisions.

For the complete analysis, visit the RadNet Inc RDNT stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is RDNT's GF Score™?

RadNet has a GF Score™ of 85/100, indicating a strong overall ranking which suggests the company has potential for higher long-term returns.

Is RDNT overvalued or undervalued?

RadNet is currently undervalued, with a GF Value™ estimate indicating a 10.3% upside from its current price.

What is RDNT's P/E ratio?

The current forward P/E ratio for RadNet is 90.8x, which is below its 5-year median P/E of 117.6x, suggesting that the stock is trading at a lower valuation than it historically has.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].

On April 29, 2026, RadNet Inc RDNT shares fell 3.5% to a current price of $55.89. Over the past week, the stock has declined by 3.4%, and it has decreased by 21.7% year-to-date. The shares have traded in a 52-week range from a low of $50.15 to a high of $85.84.

GF Value™ verdict: The current price is $55.89, indicating a 13.7% undervaluation compared to the GF Value™ of $64.75.GF Score™: RadNet has a GF Score™ of 84/100, suggesting it is a strong company with potential for long-term returns.Notable signal: Insider activity has been bearish, with insiders selling $1.9M worth of shares in the last three months and no buying activity reported. Is RDNT Overvalued or Undervalued? The current price of RadNet Inc is $55.89, which is below the GF Value™ estimate of $64.75. This represents a 13.7% margin of safety, indicating that the stock may be undervalued. The GF Valuation label classifies RadNet as modestly undervalued. While this suggests a potential buying opportunity, it is crucial to consider the underlying reasons for the stock's decline and the overall market conditions.

GF Value™ is GuruFocus' proprietary measure of intrinsic value, calculated from historical trading multiples, past business growth, and future performance estimates. Investors should remain cautious, as the undervaluation does not guarantee immediate price appreciation; the stock could be facing headwinds that may impact its performance in the near term.

How Does RDNT's Valuation Compare to Its History? Metric Current Historical P/E (TTM) 87.8x 118.7x RadNet's current forward P/E ratio of 87.8x is significantly lower than its 5-year median P/E ratio of 118.7x. This suggests that the stock is trading below its historical valuation, which is consistent with the GF Value™ verdict of being undervalued. The P/E analysis supports the idea that there may be an opportunity for potential price recovery, should the company navigate its challenges effectively.

What Does RDNT's GF Score™ Tell Us? Metric Rating GF Score™ 84/100 Financial Strength 5/10 Profitability 6/10 Growth 8/10 Valuation 10/10 Momentum 7/10 The GF Score™ of 84/100 indicates that RadNet is a strong company with a balanced profile. The highest rating comes from the Valuation category, where it scores 10/10, suggesting that the stock is attractively priced relative to its intrinsic value. However, financial strength ranks lower at 5/10, indicating potential concerns in that area. Overall, the scores suggest that while RadNet has promising growth potential, it may face challenges regarding its financial stability.

What Are Insiders Doing with RDNT Stock? Insider activity at RadNet has been notably bearish, with insiders selling $1.9 million worth of shares in the last three months and no reported buying. This pattern raises concerns about potential confidence issues among insiders regarding the company's future prospects. While insider selling can be a normal part of financial planning, the lack of buying may indicate hesitation about the company's short-term outlook.

What This Means for Investors Based on the analysis, RadNet Inc RDNT appears to be undervalued according to GF Value™, with a potential upside of 13.7% based on its current price compared to its intrinsic value estimate. However, investors should weigh this opportunity against the recent insider selling and the company's financial strength metrics.

For the complete analysis, visit the RadNet Inc RDNT stock page. You can also explore the GF Value™ page for detailed valuation methodology, or use the GuruFocus Stock Screener to find similar opportunities.

Frequently Asked Questions What is RDNT's GF Score™?

RadNet's GF Score™ is 84/100, indicating a strong company with potential for higher long-term returns based on various performance metrics.

Is RDNT overvalued or undervalued?

RadNet is considered undervalued, with a GF Value™ of $64.75 compared to its current price of $55.89, representing a 13.7% margin of safety.

What is RDNT's P/E ratio?

RadNet's current forward P/E ratio is 87.8x, which is significantly lower than its 5-year median P/E of 118.7x, indicating it is trading below its historical valuation.

This stock alert was generated using automated technology and GuruFocus financial data to provide readers with timely and accurate market reporting. This content was reviewed by GuruFocus editorial team prior to publication. Please send any questions or comments about this story to [email protected].