Nomura Securities Starts CIT Group (CIT) at Neutral; Righting the Ship

Nomura Securities initiates coverage on CIT Group (NYSE: CIT) with a Neutral. PT $36.00.

Nomura analyst, Bill Carcache, said, "CIT has been busy retiring high-cost debt, executing cost-efficient financings, divesting non-core assets, and re-generating business volume growth. The company is well capitalized, with a total capital ratio of almost 20% and over $8bn of available liquidity. Our FY’12 and FY’13 EPS ests are $1.67 and $1.89, respectively. We expect CIT to continue to trade below tangible book value (in the 0.80 range) given that the company is not earning its cost of capital. We arrive at our px tgt based on 0.80x our estimate of tangible book value at 4Q12."

For an analyst ratings summary and ratings history on CIT Group click here. For more ratings news on CIT Group click here.

Shares of CIT Group closed at $33.69 yesterday.

---

Serious News for Serious Traders! Try StreetInsider.com Premium Free!

---

You May Also Be Interested In

• Nomura/Instinet Upgrades Genting Singapore (GENS:SP) (GIGNY) to Neutral
• BMO Capital Starts Energy Fuels (UUUU) at Outperform
• Raymond James Starts SpyGlass Pharma (SGP) at Outperform