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Sign InProsperity Bancshares delivered solid financial results for the first quarter of 2026, reporting an adjusted EPS of $1.50 which surpassed analyst expectations. The bank is currently advancing its merger with Stellar Bancorp, a strategic move set to position it as the second-largest bank in Texas by deposit volume. Operational efficiency remains a core strength, with the bank maintaining an efficiency ratio below 50% and a low cost of deposits at 1.32%. These results underscore the success of the bank's aggressive serial acquisition strategy and its ability to maintain high asset quality in high-growth markets. While there was a slight uptick in charge-offs, the bank's robust balance sheet provides a significant competitive edge within the regional banking sector. This expansion in Texas serves as a primary driver for future revenue growth and increased market share.