Stock fact sheet · data as of
Cullen/Frost Bankers, Inc. (CFR): fair value, margin of safety and Wheel Score
Financial Services · Banks - Regional · United States · Defensive
Is CFR undervalued?
At 154.11 (close of 16 Oct 2026), CFR trades within a few percent of the GLS average fair value of 148.21 (4.0% above fair value). 9 models produced a value and they split 4 above the price to 5 below. A stock priced at fair value earns about half of the Wheel Score's Value points; the rest of the score comes from health, moat, premium and stability.
There is a wide gap between GLS Growth (23.79) and Graham Growth (257.44). When the models are this far apart the "fair value" is really a range, and the margin of safety above should be read with that range in mind.
The nightly engine files CFR under Defensive: a low beta, a dividend and positive earnings.
Nine valuation models for CFR
Each model turns the latest filed numbers into a value per share; the GLS fair value is the simple average of the ones that produce a positive number. The last two rows are shown for reference and never enter the average. The Quote page lets you switch any model off and add your own margin of safety.
| Model | Value | vs price | What it measures |
|---|---|---|---|
| DCF | 208.07 | +35% | Present value of the projected free cash flows, discounted at the cost of capital |
| Graham Number | 134.33 | -13% | The most a defensive investor pays for the earnings and book value per share |
| Graham Growth | 257.44 | +67% | Graham's growth formula: EPS × (8.5 + 2 × growth), adjusted for bond yields |
| Lynch | 85.36 | -45% | EPS × the earnings growth rate (PEG of 1), growth capped at 25% |
| GLS Growth | 23.79 | -85% | EPS compounded ten years at the blended growth rate, discounted back at 15% a year |
| 10 Cap | 253.94 | +65% | Owner's earnings (operating cash flow less maintenance capex) capitalised at 10% |
| Payback Time | 190.26 | +23% | Eight years of compounded free cash flow: the price at which the business pays for itself |
| DDM | 59.74 | -61% | Dividend discount model: next year's dividend ÷ (10% − 3% growth); needs a dividend |
| EPV | 121.01 | -21% | Earnings power value: current EPS capitalised at 9% with no growth |
| Zombie (liquidation) | -619.25 | -502% | Current assets less all liabilities, per share: the balance-sheet floor. Not in the average |
| Wall St target | 170.11 | +10% | Analysts' average 12-month price target. Not in the average |
Quality and financial health
Cullen/Frost Bankers, Inc. scores 6 of 9 on the Piotroski F-score: a middling result that passes the Sunday Scan's "6 or more" rule. Some of the nine tests on profitability, leverage and efficiency are failed, so the accounts are worth a look before selling a put on the name. On durability CFR scores 6.0/10 on the GLS Moat - a middle reading; the Scorecard on the Quote page's Financials tab shows which ten-year lines are steady and which are not.
Returns on capital are moderate - ROIC 6.9%, ROE 14.2%, ROA 1.2% - with debt at 1.04 times equity and a free-cash-flow yield of 6.7%.
The dividend yield is 2.63% at a payout ratio of 39%; for a wheel trader holding assigned shares the dividend adds to the covered-call premium, and the ex-dividend date is worth knowing before a call is sold. Revenue comes mainly from Bank 90%, Frost Wealth Advisors 10% (quarter Q2 FY2026).
Institutional ownership scores 10/10, insider activity 1/10 and Congressional trading 5/10 on the GLS smart-money scales.
| Piotroski F-score | 6 / 9 | ROIC | 6.9% |
|---|---|---|---|
| GLS Moat | 6.0 / 10 | ROE | 14.2% |
| Debt / equity | 1.04 | ROA | 1.2% |
| Free-cash-flow yield | 6.7% | Payout ratio | 39% |
| Institutions | 10 / 10 | Insiders · Congress | 1 · 5 / 10 |
Wheel Score 62: Fair
A Wheel Score of 62 puts Cullen/Frost Bankers, Inc. in the Fair band - below the 70 the Sunday Scan requires. Value 11/25, Health 13/20, Moat 9/15, Premium 13/20 and Stability 15/20; the weakest part is Value (11/25).
Implied volatility is 28% on the near-the-money contracts 20-60 days out: some premium, but under the 35-60% range the Wheel Score pays full marks for (13 of 20 points). Chain open interest is thin - 1,717 contracts across every expiry - so fills at a fair price are not guaranteed; a 30-45-day put may not exist at a usable strike.
Volume runs at 359k shares a day on a market cap of $9.6B, with a beta of 0.55 - a low beta, so day-to-day moves are smaller than the market's; the Stability part of the Wheel Score gives that 15 of 20.
| Part | Points | From | |
|---|---|---|---|
| Value | 11 / 25 | -4% margin of safety | |
| Health | 13 / 20 | Piotroski 6/9 | |
| Moat | 9 / 15 | moat 6.0/10 | |
| Premium | 13 / 20 | implied volatility 28% | |
| Stability | 15 / 20 | 359k shares/day, $9.6B cap, beta 0.55 |
The Wheel Score ranks ~7,400 US stocks for selling cash-secured puts and covered calls; it is updated nightly and is not a recommendation. The walkthrough lesson shows how the score fits into a trade, start to finish.
Upcoming events
Cullen/Frost Bankers, Inc. reports earnings on 29 Oct 2026 (before the open) - inside the 14-day window the Sunday Scan avoids, because a put sold now would carry the report's gap risk.
Earnings, dividend, IPO, split and economic calendars for the whole market, filterable to your watchlists.
Similar stocks in Banks - Regional
The 12 companies below are the closest to Cullen/Frost Bankers, Inc. by market cap within the Banks - Regional industry, each with its own fact sheet; the Compare page puts up to eight of them side by side.
| Stock | Close | Fair value | MoS | Wheel | Mkt cap |
|---|---|---|---|---|---|
| ONB Old National Bancorp | 25.00 | 43.30 | +42% | 89Prime | $9.6B |
| ONBPP Old National Bancorp | 24.88 | 43.23 | +42% | 39No options | $9.6B |
| ONBPO Old National Bancorp | 24.86 | 43.22 | +42% | 39No options | $9.6B |
| SSB SouthState Bank Corp. | 99.17 | 165.40 | +40% | 76Good | $9.6B |
| WTFC Wintrust Financial Corporation | 141.02 | 241.84 | +42% | 81Prime | $9.5B |
| UMBF UMB Financial Corporation | 128.86 | 198.60 | +35% | 86Prime | $9.8B |
| BPOPM Popular Capital Trust II PFD GTD 6.125% | 25.31 | 100.12 | +75% | 39No options | $10.0B |
| BPOP Popular, Inc. | 157.37 | 223.61 | +30% | 86Prime | $10.0B |
| ZION Zions Bancorporation, National Association | 61.78 | 119.09 | +48% | 90Prime | $9.0B |
| ZIONP Zions Bancorporation, National Association | 16.99 | 75.18 | +77% | 39No options | $9.0B |
| FHN First Horizon Corporation | 22.86 | 27.51 | +17% | 77Good | $10.8B |
| COLB Columbia Banking System, Inc. | 28.63 | 48.03 | +40% | 84Prime | $8.3B |
⚖ Compare CFR with 7 of them All Financial Services stocks →
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Start free See the Sunday ScanQuestions about CFR
Is CFR undervalued right now?
Not meaningfully: at 154.11 the stock trades within a few percent of the GLS average fair value of 148.21 (4.0% above fair value, data as of 16 Oct 2026).
What is the Wheel Score of CFR and what does it mean?
CFR scores 62 out of 100 (Fair). The Wheel Score blends the margin of safety (25 points), Piotroski health (20), the GLS moat (15), the option premium on offer (20) and trading stability (20) into one number that ranks stocks for the wheel strategy - selling cash-secured puts, then covered calls if assigned. 80 and above is Prime, 65-79 Good, 50-64 Fair, under 50 Weak.
What is the GLS fair value for CFR?
148.21 per share as of 16 Oct 2026 - the simple average of the 9 valuation models (out of nine: DCF, Graham Number, Graham Growth, Lynch, GLS Growth, 10 Cap, Payback Time, DDM and EPV) that produced a positive value. The models run every night on the latest filings; the Quote page lets you switch any of them off and add a margin of safety of your own.
When does Cullen/Frost Bankers, Inc. report earnings next?
The next earnings report is due on 29 Oct 2026 (before the open), 13 days from the data date of 16 Oct 2026. The Calendars page lists every upcoming report with its time of day.
Does CFR have listed options, and how liquid are they?
Yes. The nightly snapshot found 304 listed contracts with 1,717 open interest across all expiries and implied volatility of 28% on the near-the-money contracts. The Options scanner lists the cash-secured put and covered call set-ups with premium and annualised yield worked out.