UPDATE: Oppenheimer Raises Target to $9 on Western Alliance, Maintains Outperform

Oppenheimer reiterates its Outperform rating on Western Alliance WAL and raises its price target to $9, up $1.50, as the company finishes a strong year. Oppenheimer says, "The foundation is now clearly in place for Western Alliance to report above-peer profitability and core EPS growth with 4Q11 a perfect example. Loan and margin trends were well above our forecast, and we remain upbeat about the company's prospects over the coming years. In fact, we are raising our 2012-13 EPS estimates and our price target to $9.00 (from $7.50). While we do not see the M&A environment for the industry emerging until 2H12 or early '13, at that point Western Alliance will be perceived as a potential seller by investors, in our view." WAL closed at $7.87 a share on Friday.