Jefferies Upgrades SVB Financial (SIVB) to Buy

Jefferies upgraded SVB Financial (NASDAQ: SIVB) from Hold to Buy with a price target of $125.00.

Analyst Casey Haire commented, "We upgrade SIVB to Buy given our belief that capital adequacy concerns are overdone and will be resolved with far less EPS impact than the May equity raise. Our analysis suggests a $650mm debt raise with proceeds down-streamed to the bank will replenish capital at the cost of 5% EPS dilution. We expect the P/E multiple (17.5x currently) to expand to historical average (19x) once mgmt. resolves the capital shortfall."

For an analyst ratings summary and ratings history on SVB Financial click here. For more ratings news on SVB Financial click here.

Shares of SVB Financial closed at $101.14 yesterday.

You May Also Be Interested In

• CFRA Upgrades Infosys Technologies (INFY) to Buy
• BofA Securities Starts Madrigal Pharmaceuticals (MDGL) at Underperform, 'pivoting to Rezdiffra commercial dynamics'
• Morgan Stanley Upgrades Galp Energia (GALP:SM) (GLPEY) to Equalweight