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Raymond James: 'Chassis' built for CrossFirst Bankshares profitability expansion

Raymond James analyst Michael Rose initiated coverage on CrossFirst Bankshares Inc. on the expectation that the Leawood, Kan.-based company will continue to grow "at an accelerated pace" thanks in part to its "burgeoning" Texas franchise.

The company's branch-lite model and heavy investment in technology should allow it to breach the 50% level on the efficiency ratio in the intermediate term.

"Put another way, the chassis has been built where its ongoing, outsized organic loan growth will drive improvement in both operating efficiency and profitability moving forward in our view," Rose wrote. He initiated coverage at "market perform."

While the analyst does not expect a sale of the company, further expansion in higher growth markets, especially in Dallas, could drive organic growth and eventually position the company as a "relatively attractive" acquisition target. George Jones' retirement as CEO might also spur questions around a potential sale, he said.