Wunderlich Maintains Hold on Cullen/Frost Bankers (CFR)

Wunderlich is out with its report today on Cullen/Frost Bankers

, maintaining Hold. In a note to clients, Wunderlich writes, "We maintain our Hold rating on shares of Cullen/Frost Bankers, Inc. as well as our price target of $60 after Frost reported 1Q11 EPS of $0.85, which was a penny light of consensus and $0.02 short of our estimate. NPLs improved, although NCOs ticked up slightly. CFR continues to experience strong deposit inflows and while period-end loans fell during the quarter, average loan balances increased for the first time in two years. Frost continues to exhibit tremendous earnings power, above-average long-term growth prospects, and it remains one of the highest quality banks in the country, but in our opinion much of these favorable characteristics are already priced into CFR shares." Shares of CFR closed Wednesday at $59.50, down 1.54% from Tuesday's close.