Compass Point Starts EverBank Financial (EVER) at Neutral; Fairly Valued
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Price: $24.91 -0.48%
Rating Summary:
8 Buy, 10 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 15 | New: 40
Rating Summary:
8 Buy, 10 Hold, 2 Sell
Rating Trend:
Up
Today's Overall Ratings:
Up: 12 | Down: 15 | New: 40
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Compass Point initiates coverage on EverBank Financial (NYSE: EVER) with a Neutral. PT $15.00.
The firm comments, "EverBank is a bank that utilizes its on-line portal to target customers, which is then supported by a nationwide network of independent financial advisors, financial centers and a small branch network in Florida. Although management has a good track record and the company is taking the right steps to create long-term value, we believe the stock is fairly valued at 1.4x TBV, a slight premium to peers. Our operating EPS estimate for FY13 is $1.28 and $1.35 for FY14, compared to consensus estimates of $1.35 and $1.53, respectively. Our estimates assume asset growth in the mid-teens, the efficiency ratio drops 9%, NIM remains relatively stable and an average gain on sale of 2.4% in 2013. Over the next year, the company will need to significantly lower expenses in order to combat low interest rates and tighter gain on sale margins. If the company can successfully lower expenses and monetize its under-utilized capital, we would be more positive on shares."
For an analyst ratings summary and ratings history on EverBank Financial click here. For more ratings news on EverBank Financial click here.
Shares of EverBank Financial closed at $14.50 yesterday.
The firm comments, "EverBank is a bank that utilizes its on-line portal to target customers, which is then supported by a nationwide network of independent financial advisors, financial centers and a small branch network in Florida. Although management has a good track record and the company is taking the right steps to create long-term value, we believe the stock is fairly valued at 1.4x TBV, a slight premium to peers. Our operating EPS estimate for FY13 is $1.28 and $1.35 for FY14, compared to consensus estimates of $1.35 and $1.53, respectively. Our estimates assume asset growth in the mid-teens, the efficiency ratio drops 9%, NIM remains relatively stable and an average gain on sale of 2.4% in 2013. Over the next year, the company will need to significantly lower expenses in order to combat low interest rates and tighter gain on sale margins. If the company can successfully lower expenses and monetize its under-utilized capital, we would be more positive on shares."
For an analyst ratings summary and ratings history on EverBank Financial click here. For more ratings news on EverBank Financial click here.
Shares of EverBank Financial closed at $14.50 yesterday.
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