UPDATE - Nomura Securities Downgrades Hudson City Bancorp (HCBK) to Reduce; Handcufffed: Constrained by Rates & Capital
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Price: $10.12 --0%
Rating Summary:
2 Buy, 11 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
Rating Summary:
2 Buy, 11 Hold, 2 Sell
Rating Trend: = Flat
Today's Overall Ratings:
Up: 8 | Down: 5 | New: 26
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UPDATE - Nomura Securities downgrades Hudson City Bancorp (Nasdaq: HCBK) from Neutral to Reduce. PT lowered from $7 to $6.50.
Nomura analyst, Brian Foran, said, "Hudson City has worked hard to navigate this difficult rate cycle. That said the bank may be more constrained by rates and capital than investors think. We downgrade the stock to reduce with modest downside to a $6.50 target given: a) a gap between existing yields and new rates, b) more restructurings are harder as the deferred tax asset is near the maximum allowed in regulatory capital, c) the dividend advantage versus peers looks set to narrow, and d) the stock no longer looks inexpensive on earnings. We update 2012E and 2013E to $0.65 in both years, from $0.65 and $0.70 previously. The stock is now in line with the regional bank average at 11x 2012E."
To see more ratings on HCBK, Click Here
Nomura analyst, Brian Foran, said, "Hudson City has worked hard to navigate this difficult rate cycle. That said the bank may be more constrained by rates and capital than investors think. We downgrade the stock to reduce with modest downside to a $6.50 target given: a) a gap between existing yields and new rates, b) more restructurings are harder as the deferred tax asset is near the maximum allowed in regulatory capital, c) the dividend advantage versus peers looks set to narrow, and d) the stock no longer looks inexpensive on earnings. We update 2012E and 2013E to $0.65 in both years, from $0.65 and $0.70 previously. The stock is now in line with the regional bank average at 11x 2012E."
To see more ratings on HCBK, Click Here
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