Wells Fargo Upgrades PNC Financial Services Group (PNC) to Outperform; Raises Estimates and Valuation Range

October 23, 2009 7:43 AM EDT

Wells Fargo upgrades PNC Financial Services Group (NYSE: PNC) to Outperform. Valuation range increased to $64-67 from $47-50.

Wells analyst says, "Our recommendation is based on: 1) Downside protection offered by PNC's superior PPNR coverage of credit costs, 2) continuation of superior credit quality performance vs. LCRB peers, and 3) greater than expected cost savings from NCC; 4) PNC's TBV expansion--we now estimate TBV will be $28 at FYE 2010, 5) maintaining our 2.3x Price/TBV multiple. Our new valuation range suggests potential share price appreciation of 27-32%. Our 2009 EPS est. goes to $4.31 from $2.21, our 2010 EPS est. goes to $3.78 from $2.52."

To see more analyst ratings on PNC Click Here.

The PNC Financial Services Group, Inc. operates as a diversified financial services company in the United States.

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