D.A. Davidson lowered its rating on East West Bancorp EWBC from Buy to Neutral and reduced its price target from $27 to $24.
D.A. Davidson said, "We are reducing our loan and overall balance sheet growth ]rates for 2013 as management has suggested loan growth over the next few quarters may lag the numbers posted by the company in recently. With continued run-off in the higher-yielding FDIC portfolio, we think NIM compression is likely to worsen resulting in lower NII, excluding potential accelerated discount accretion benefits related to the FDIC portfolio. Accordingly, we are reducing our 2013 NIM estimate from 3.85% to 3.81%. As a result of projections for slower balance sheet growth in 2013 and the lower NIM, our estimated NII for 2013 declines 2.2% from $770 million to $753 million."
East West Bancorp closed at $22.04 on Friday.
Market News and Data brought to you by Benzinga APIs© 2024 Benzinga.com. Benzinga does not provide investment advice. All rights reserved.
Comments
Loading...
date | ticker | name | Price Target | Upside/Downside | Recommendation | Firm |
---|
Benzinga simplifies the market for smarter investing
Trade confidently with insights and alerts from analyst ratings, free reports and breaking news that affects the stocks you care about.
Join Now: Free!
Already a member?Sign in