Prosperity Bancshares

What Prosperity Bancshares does

Prosperity Bancshares, Inc. is a Houston, Texas-based regional financial holding company founded in 1983 and traded on the NYSE under the ticker PB. Through its wholly owned subsidiary Prosperity Bank, it provides a full suite of consumer and commercial banking products — including checking, savings, money market, CDs, IRAs, credit cards, personal and auto loans, mortgages, commercial and SBA loans, real estate and construction loans, treasury management, merchant services, and wealth management — to retail customers, small and mid-sized businesses, medical professionals, government and public entities, and high-net-worth individuals across Texas and Oklahoma. As of the latest available reporting, the company operates 280+ full-service banking centers and reported $38.463 billion in total assets, with full-year 2025 net income of $543 million (up 13.2% year-over-year) and a Q1 2026 net interest margin of 3.51%.

The company operates a hybrid physical-and-digital distribution model: a large branch network combined with consumer and business online banking, iOS and Android mobile apps, mobile deposit, eStatements, telephone banking, CardControl debit-card management, and integrations with Zelle, Apple Pay, and Samsung Pay. Underlying technology relies on industry-standard digital banking platforms, with Fiserv handling credit card and trust login infrastructure and Akuvo providing the collections platform adopted in 2025. No proprietary AI or advanced analytics capabilities are disclosed; competitive differentiation is built on physical access, relationship banking, and acquisition-driven scale rather than technology leadership.

Revenue is generated primarily through net interest income on the loan portfolio (commercial, consumer, real estate, construction, SBA, and specialty lending) net of interest paid on deposits, supplemented by non-interest fee income from treasury management, merchant services, mortgage origination, wealth management, and deposit-related fees. Prosperity complements organic growth with a sustained M&A strategy, having completed mergers with American Bank Holding Corporation on January 1, 2026 ($321.5 million) and Southwest Bancshares on February 1, 2026 ($268.9 million), with the larger Stellar Bancorp acquisition (approximately $2 billion) expected to close on July 1, 2026 and create the second-largest bank by deposits headquartered in Texas, with over 330 banking centers and approximately $54 billion in combined assets.

Name

Prosperity Bancshares

Legal name

Prosperity Bancshares, Inc.

Website

https://prosperitybanktx.com

Company type

Public

Founded year

1983

Operating status

Operating

Headcount range

1,001–5,000 employees

Short description

Prosperity Bancshares is a Houston-based regional bank holding company (NYSE: PB) operating 280+ full-service branches across Texas and Oklahoma, offering consumer, commercial, mortgage, and wealth management banking to retail, SMB, medical, government, and HNW clients, and actively expanding through bank acquisitions.

Ownership category

akta.pro rank

Product category

Regional Banking

NAICS

Depository Credit Intermediation (5221), Offices of Bank Holding Companies (551111)

SIC

State Commercial Banks (6022)

akta.pro primary industry

Mass-Market Consumer Deposit Banking (Checking/Savings) (FSABAAAA)

akta.pro secondary industries

SME Deposits & Business Accounts (Operating, Savings, CDs) (FSABABAC), Retail Wealth & Bancassurance Distribution (Investment & Insurance via Bank) (FSABAAAJ), Affluent/Premier Retail Banking (Mass Affluent) (FSABAAAG)

Keywords

• Regional banking
• Commercial lending
• Consumer banking
• Treasury management
• Wealth management

Headquarters

HQ city

Houston

HQ country

United States

HQ region

North America

Offices1 record

Markets served

GTM type

B2B and B2C

Offering type

Services

Cost components

Personnel, Operations, Infrastructure, Technology or R&D, Marketing or Sales

Revenue model

1. Net Interest Income: Interest income from loan portfolio (commercial loans, consumer loans, real estate loans) minus interest paid on deposits. Core revenue driver for the regional bank.
2. Non-Interest Income: Fee income from banking services including checking account fees, wire transfer fees, merchant services, treasury management fees, wealth management fees, and mortgage origination income.
3. Dividend Income: Dividend payments to shareholders; company has raised dividends for 18 consecutive years with 3.3% dividend yield.

Pricing tiers

Go-to-market motion1 record

Distribution channels6 records

Marketing channels5 records

Core offering

Prosperity Bancshares operates as a regional financial holding company through its subsidiary Prosperity Bank, providing traditional loan and deposit products to consumers, businesses, and public entities across Texas and Oklahoma. It offers personal checking and savings accounts, consumer and commercial loans, mortgages, treasury management, merchant services, and wealth management through 280+ branches complemented by digital banking channels.

Product overview

Prosperity Bancshares operates as a regional financial holding company offering a comprehensive suite of banking products and services through its Prosperity Bank subsidiary. The product portfolio spans personal banking (checking, savings, CDs, IRAs, credit cards, and personal loans), business banking (business checking, savings, CDs, commercial loans, SBA loans, and lines of credit), treasury management services, specialized medical professional banking, and mortgage lending through Prosperity Bank Home Loans. Digital banking capabilities include consumer online banking, mobile app banking, mobile deposit, and telephone banking. The company has expanded through multiple acquisitions including American Bank (2026), Southwest Bancshares/Texas Partners Bank (2026), and pending Stellar Bancorp (2026), with acquired brands operating under their existing names pending operational integration.

Differentiator

Problem solved

Functional benefit

Products and services

• Simply Free Checking

Quantifiable outcome

• 18 consecutive years of dividend increases with 3.3% dividend yield
• +3 more outcomes

Segments5 records

Ideal customer profiles5 records

API detail

Has API

No

API docs

API detail

Core technology

AI maturity

App detail

Integration6 records

Feature4 records

Partnerships

Six partnerships are on record, tiered major and minor.

• Southwest Bancshares, Inc.majorStrategic or Co-development Partner · 1 February 2026Prosperity Bancshares completed merger with Southwest Bancshares, Inc. effective February 1, 2026. Deal valued at approximately $268.9 million with 4,095,397 shares issued. Southwest subsidiary Texas Partners Bank headquartered in San Antonio will continue operating under current name until scheduled integration in November 2026. Added $2.5 billion in assets through the acquisition.
• Stellar BancorpmajorStrategic or Co-development Partner · 28 January 2026Prosperity Bancshares acquiring Stellar Bancorp for approximately $2 billion in a cash-and-stock deal. Terms include 0.3803 shares of Prosperity stock plus $11.36 cash per Stellar share. The acquisition will make Prosperity the second-largest bank by deposits headquartered in Texas with over 330 banking centers. Stellar CEO Robert R. Franklin to join Prosperity as vice chairman. All regulatory approvals obtained, expected to close July 1, 2026.
• American Bank Holding CorporationmajorStrategic or Co-development Partner · 1 January 2026Prosperity Bancshares completed merger with American Bank Holding Corporation effective January 1, 2026. American Bank, N.A. merged into Prosperity Bank. Deal valued at approximately $321.5 million with 4,439,981 shares issued. Added 18 banking offices and 2 loan production offices across South and Central Texas (Corpus Christi, San Antonio, Austin, Victoria). Full operational integration scheduled for September 2026.
• Southwest Bancshares, Inc.majorStrategic or Co-development Partner · 1 October 2025Merger agreement announced October 1, 2025, valued at approximately $268.9 million in all-stock deal. Expected to close in Q1 2026 with regulatory and shareholder approvals.
• American Bank Holding CorporationmajorStrategic or Co-development Partner · 17 July 2025Initial merger agreement announced July 17, 2025, with approximately $321.5 million stock transaction. American Bank CEO Stephen Raffaele and Chairman Ben Wallace joined leadership positions at the combined organization.
• Lone Star State BancsharesminorStrategic or Co-development Partner · 11 October 2022Prosperity Bancshares announced acquisition of Lone Star State Bancshares in deal valued at approximately $228.7 million. Transaction expected to close in Q1 2023. The acquisition involved issuing shares and cash to expand Prosperity's presence in West Texas.

Scale indicators10 records

Recent moves6 records

Expansion highlights5 records

Direct peers

• Zions Bancorporation: Zions is a multi-state regional bank holding company operating under a multi-brand strategy (similar to Prosperity's model of retaining acquired brands), with comparable middle-market banking, SBA, and CRE lending focus. Its structure of decentralized banking brands and similar size band make it a strong operational comparable.
• Independent Bank Group: Independent Bank Group is a Texas- and Colorado-focused regional bank with personal, business, and mortgage banking, pursuing an M&A-led growth strategy similar to Prosperity. Its smaller asset base and Texas concentration provide a useful comparable for franchise quality and acquisition-driven growth dynamics.
• Comerica: Comerica is a large regional bank with significant Texas (especially Dallas) presence alongside Midwest and Western markets, offering similar commercial, wealth, and treasury management services. Its larger scale and partial overlap with Prosperity's commercial banking strategy make it a meaningful comparable for execution and growth benchmarking.
• First Horizon Corporation: First Horizon is a Southeast/Texas-focused regional bank with commercial, retail, and wealth management lines, of comparable asset size to Prosperity. Similar M&A history and a footprint that increasingly overlaps with Prosperity in Texas markets make it a relevant comparable.
• Cullen/Frost Bankers: Cullen/Frost is the largest Texas-headquartered regional bank and Prosperity's closest direct competitor, operating a similar full-service personal/commercial/wealth model with a dense Texas branch network. Comparable deposit-gathering franchise, NIM profile, and Texas concentration make it the most natural peer for valuation and operational benchmarking.
• First Financial Bankshares: First Financial Bankshares is a long-tenured Texas community banking franchise operating across West Texas, Dallas-Fort Worth, Austin, and Houston. Its branch-heavy Texas model and conservative underwriting culture closely mirror Prosperity's approach, and its valuation serves as a useful comparable for Texas-only franchise premium.
• Southside Bancshares: Southside Bancshares is a Texas-based bank holding company operating commercial and retail banking in East Texas and the Dallas-Fort Worth metroplex. Comparable focus on Texas deposits, conservative loan book, and dividend-oriented shareholder return make it a relevant smaller-cap peer.
• Texas Capital Bancshares: Texas Capital is a Texas-headquartered commercial bank with a comparable mix of business banking, treasury management, and CRE lending, targeting middle-market and SMB clients across the state. It is a direct competitor for commercial loans and deposits in the same Texas metros where Prosperity is densest.

Emerging players

• Simmons First National Corporation: Simmons First is a Mid-South and Texas-adjacent regional bank that has grown substantially through community-bank acquisitions. Comparable mid-size regional scale, multi-bank operating model, and commercial banking focus make it relevant for understanding acquisition integration outcomes at Prosperity's size band.
• Glacier Bancorp: Glacier Bancorp is a community-banking rollup that has scaled through disciplined acquisitions of community banks across the Western U.S. Its serial-acquirer strategy and operating model provide a useful comparable for evaluating Prosperity's continued M&A pipeline and integration economics.

Market position

Strengths5 records

Weaknesses5 records

Competitive moat5 records

Key risks6 records

Key highlights7 records

Customer concentration

• Xtwitter.com/PB_USA
• YouTubeyoutube.com/channel/UCL7gpnXkkzDrBqQlyFzZsGg
• Facebookfacebook.com/ProsperityBankUSA
• LinkedInlinkedin.com/company/prosperity-bank
• Instagraminstagram.com/prosperitybankusa

Revenue estimate

Valuation estimate

Number of profiles

Profiles7 records

Subsidiaries5 records

Funding overview

Funding rounds

Investors

Funding detail is available on the Subscription and Enterprise plan.Contact sales →

M&A15 records

Investments

M&A and investment is available on the Subscription and Enterprise plan.Contact sales →

Frequently asked questions about Prosperity Bancshares