Morgan Stanley Reiterates Overweight and PT of $17 on People's United

Morgan Stanley reiterated its Overweight rating on People's United PBCT. At the same time, Morgan Stanley decided to leave its price target on the company's stock unchanged at $17, in spite of raising its earnings per share estimates. In the report, Morgan Stanley states, "Following our meetings with Kirk Walters, the company's new CFO, we are making two meaningful changes to our model: 1) increasing buybacks to 20% over the next two years (up from 10%), and 2) reducing its efficiency ratio to 55% by 2H13 on clearly outlined expense initiatives. As a result, our 2013e EPS increases $0.13 to $1.28." On Wednesday, People's United lost 0.65% of its value to finish the day at $13.02.