Jefferies Says Private Bancorp's Recovery is Showing Decent Growth Prospects

According to a research report published by Jefferies, Private Bancorp, Inc.'s PVTB NIM forecast has improved on a higher starting point. In the report, Jefferies commented, “Our NIM forecast has been revised higher given a better starting point in 4Q although we still expect NIM pressure going forward given limited dry powder on the deposit side and pressure on asset yields (especially securities). However, we feel better about rate of change given a number of mitigating factors: 1) strong loan pipelines (more C&I/less CRE), 2) improved funding mix, 3) help from NPA cures, and 4) rise in 30-day LIBOR bleeding positively into 1Q.” Jefferies maintains its Hold rating and $12.00 PT on Private Bancorp, Inc., which closed yesterday at $13.88.