UPDATE: JP Morgan Lowers PT to $7.50 on CapitalSource

A report from J.P. Morgan reiterates its Neutral rating and lowers its price target from $8 to $7.50 on CapitalSource (NYSE: CSE).

The report states, “Although NIM pressure at CSE is expected to be more than our typical bank, and this is typically a negative catalyst for a bank stock, one significant difference with CSE in our view is that should the stock fall under pressure related to NIM pressure, the company is in the unusual position that it could again step up buyback efforts, providing downside support to the stock."

CSE: closed yesterday at $6.70.