UPDATE: Jefferies Raises Target on CIT Group to $38

Jefferies reiterates its Hold rating on CIT Group (NYSE: CIT) and raises its price target from $34 to $38 a share on the company's solid performance for the fourth quarter.

Jefferies notes, "CIT reported 4Q11 EPS of $0.17, $0.12 ahead of the Street and $0.11 ahead of JEF. Net finance revenue of $96.4MM was in line with our estimate of $95.5MM and reported tangible book value per share of $44.32 was $0.12 lower than our forecast of $44.44. Full year 2011 reported EPS of $0.14 was $0.08 ahead of our estimate."

CIT closed at $38.14 a share yesterday.