Stifel Nicolaus Downgrades Zions Bancorporation to Hold

Stifel Nicolaus lowers its rating on Zions Bancorporation

to Hold as it revises estimates going forward on the company's below-expectations earnings. Stifel Nicolaus says, "Zions Bancorp reported 4Q11 EPS of $0.24, which was well below our estimate of $0.37 and the consensus of $0.33. ...Going forward we have significantly reduced our estimates to $1.40 from $1.59 for 2012 and $1.85 from $2.15 for 2013. The major driver is mostly due to a lower revenue estimate (continued NIM pressures), and higher expense expectations, which is being offset somewhat by a lower loan loss provision expense. We were above the consensus estimate of $1.61 for 2012 and $2.00 for 2013 prior to the release of 4Q11 results." ZION closed at $18.55 a share on Monday.