Piper Sandler Downgrades BankUnited (BKU) to Neutral

Piper Sandler analyst Stephen Scouten downgraded BankUnited (NYSE: BKU) from Overweight to Neutral with a price target of $43.00 (from $41.00).

The analyst comments: "Since the early March pullback in bank stocks, BKU shares have outperformed by ~12% and are now up ~4% YTD, only 1% below the performance of the KRE. Now, with the shares trading back above TBVPS we no longer see this as an outsized recovery trade and additional upside would need to be based on meaningful improvement in profitability trends. While the ROA in the qtr climbed to 77 bps, we are continuing to model the '26 ROA in the 70 bps range and think the shares should continue to trade off of a TBVPS multiple until profitability can reach peer median levels. Our new PT is $43 - still assuming the shares move to ~1.05x TBVPS one-year from now, which equates to just over 12x our 2026E."

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

Shares of BankUnited closed at $39.55 yesterday.

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