TFS Financial Upgraded To Buy At Sterne Agee

Sterne Agee has published a research report on TFS Financial Corporation

and has upgraded the company from Neutral to Buy. In the report, Sterne Agee writes "We upgraded the shares of Third Federal to Buy from Neutral based on a discount valuation relative to potential fully converted tangible book value and significant upside to the shares after the MOU is removed. Along with our upgrade we also established a fiscal 2013 operating EPS estimate of $0.22. Our $12 price target is based on pro-forma tangible book value, earnings, and deposit premium multiples that include the value of a potential second step conversion." Sterne Agee also has a $12 price target on TFS Financial, which closed Friday at $10.18.