PB Forecast




Price Forecast:


Bearish<->Bullish




Bullish Case: Positive macroeconomic shifts could spur loan growth and improve earnings, as indicated by the high historical likelihood of positive returns over extended holding periods. This rally could attract institutional interest and lead to significant price appreciation.




Bearish Case: Ongoing insider selling and market uncertainties, as evidenced by elevated implied volatility, suggest potential downward pressure on PB's stock. Additionally, rising rates could squeeze profit margins, indicating a higher likelihood of negative performance in the near term.




Potential Outcomes:

1) 30% chance of favorable economic conditions boosting PB’s growth.

2) 40% chance of margins compressing due to rising rates.

3) 20% chance of negative sentiment from insider selling impacting shares.

4) 10% chance of successful acquisitions driving growth.




Trading Oracle: Consider implementing debit spreads on PB calls (e.g., 75.00 C options expiring around December) to capitalize on implied volatility's potential expansion as market sentiment stabilizes. This strategy aligns with anticipated positive returns, maximizing reward-to-risk ahead of Q4 earnings.



October 20, 2024


Prosperity Bancshares Forecast

PB        Prosperity Bancshares











Correlated Assets

Assets that tend to move strongly with PB



DPST Forecast + Options Trading Strategies   DPST  Direxion Daily Regional Banks Bull 3X Shares (0.95)


BXP Forecast + Options Trading Strategies   BXP  Boston Properties (0.92)


DEI Forecast + Options Trading Strategies   DEI  Douglas Emmett (0.92)


VNQ Forecast + Options Trading Strategies   VNQ  Vanguard Real Estate Index (0.9)


STT Forecast + Options Trading Strategies   STT  State Street (0.9)



Uncorrelated Assets

Assets with little price relationship to PB



BHF Forecast + Options Trading Strategies   BHF  Brighthouse Financial (-0.0)


EEFT Forecast + Options Trading Strategies   EEFT  Euronet Worldwide (-0.0)


CPRT Forecast + Options Trading Strategies   CPRT  Copart (0.0)


SCHW Forecast + Options Trading Strategies   SCHW  Charles Schwab (0.0)


SUN Forecast + Options Trading Strategies   SUN  Sunoco (0.0)



Anticorrelated Assets

Assets that tend to move strongly against PB



CELH Forecast + Options Trading Strategies   CELH  Celsius (-0.71)


RWM Forecast + Options Trading Strategies   RWM  ProShares Trust - ProShares Short Russell2000 (-0.73)


TMV Forecast + Options Trading Strategies   TMV  Direxion Daily 20+ Year Treasury Bear 3X Shares (-0.78)


TBT Forecast + Options Trading Strategies   TBT  PowerShares UltraShort Lehman 20+ Yea (-0.78)


SRS Forecast + Options Trading Strategies   SRS  ProShares UltraShort Real Estate (-0.86)









Become a more profitable investor with AI optimized trading strategies






×

Chat with PB


 Ask any question about PB!