Wells Fargo on Small/Mid Cap Banks: Q1 2012 Preview--Adjusting Estimates and Price Target Ranges
Tweet Send to a FriendGet Alerts EWBC Hot Sheet
Price: $25.61 +1.31%
Rating Summary:
8 Buy, 6 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Rating Summary:
8 Buy, 6 Hold, 0 Sell
Rating Trend:
Down
Today's Overall Ratings:
Up: 11 | Down: 35 | New: 23
Trade EWBC Now!
Wells Fargo on Small/Mid Cap Banks: Q1 2012 Preview--Adjusting Estimates and Price Target Ranges
Wells analyst said, "Our Q1 EPS estimates remain largely unchanged except for an upward revision for East West Bancorp (Nasdaq: EWBC) (+3.2%) and a slight reduction for Cathay General (Nasdaq: CATY) (-1.8%). We also are reducing our full-year estimates for Wintrust Financial (Nasdaq: WTFC) and raising our full-year estimates for EWBC. Finally, we are raising our valuation range for SIVB to $61-63 from $55-57."
"As for Q1 expectations, we believe recent positive operating trends will remain intact. All banks under our small/mid cap coverage, save CATY, should demonstrate loan growth, as these banks do business in specific niches that exude more positive growth prospects versus the broader US banks universe's. Further, credit should be well contained. Half of our coverage (CATY, EWBC, WTFC) is still managing reserve releases, but others (BankUnited (NYSE: BKU), Signature Bank (Nasdaq: SBNY), SVB Financial (Nasdaq: SIVB)) are well into growth mode, which means earnings and returns are of a higher quality, in our view."
"While operating trends remain positive, the outperformance in the quarter leaves lesser room for error from a valuation standpoint, in our view. Therefore, we would exude more caution going into the quarter."
For BKU, sees Q1 EPS of $0.43, FY12 of $1.65
For CATY, sees Q1 of $0.31 (from $0.32), FY12 of $1.40
For EWBC, sees Q1 of $0.43 (from $0.42), FY12 of $1.85
For SBNY, sees Q1 of $0.86, FY12 of $3.55
For SIVB, sees Q1 of $0.76, FY12 of $3.25
For WTFC, sees Q1 of $0.41; FY12 of $1.70
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
Wells analyst said, "Our Q1 EPS estimates remain largely unchanged except for an upward revision for East West Bancorp (Nasdaq: EWBC) (+3.2%) and a slight reduction for Cathay General (Nasdaq: CATY) (-1.8%). We also are reducing our full-year estimates for Wintrust Financial (Nasdaq: WTFC) and raising our full-year estimates for EWBC. Finally, we are raising our valuation range for SIVB to $61-63 from $55-57."
"As for Q1 expectations, we believe recent positive operating trends will remain intact. All banks under our small/mid cap coverage, save CATY, should demonstrate loan growth, as these banks do business in specific niches that exude more positive growth prospects versus the broader US banks universe's. Further, credit should be well contained. Half of our coverage (CATY, EWBC, WTFC) is still managing reserve releases, but others (BankUnited (NYSE: BKU), Signature Bank (Nasdaq: SBNY), SVB Financial (Nasdaq: SIVB)) are well into growth mode, which means earnings and returns are of a higher quality, in our view."
"While operating trends remain positive, the outperformance in the quarter leaves lesser room for error from a valuation standpoint, in our view. Therefore, we would exude more caution going into the quarter."
For BKU, sees Q1 EPS of $0.43, FY12 of $1.65
For CATY, sees Q1 of $0.31 (from $0.32), FY12 of $1.40
For EWBC, sees Q1 of $0.43 (from $0.42), FY12 of $1.85
For SBNY, sees Q1 of $0.86, FY12 of $3.55
For SIVB, sees Q1 of $0.76, FY12 of $3.25
For WTFC, sees Q1 of $0.41; FY12 of $1.70
Join StreetInsider.com FREE and get immediately alerted when news breaks on your stocks and other market items - JOIN NOW
*NEW - Download StreetInsider's FREE iPhone and iPad App - Click Here
You May Also Be Interested In
- Morgan Stanley Says Tesla (TSLA) 'Top Pick in U.S. Autos'
- Deutsche Bank Raises PT on Access Midstream Partners (ACMP) to $57
- Jefferies Downgrades Limited Brands (LTD) to Underperform; Sees 21% Downside
Create E-mail Alert Related Categories
Analyst Comments, Analyst EPS Change, Analyst EPS View, Analyst PT ChangeRelated Entities
Earnings, Wells Fargo
Login with Facebook
Sign up for StreetInsider Free!
Receive full access to all new and archived articles, unlimited portfolio tracking, e-mail alerts, custom newswires and RSS feeds - and more!
