UPDATE: Stifel Nicolaus Cuts Target to $22 on TCF Financial Corporation

Stifel Nicolaus lowers its price target on Buy-rated TCF Financial Corporation TCB to $12.50 from $13 on spread and fee income challenges. Stifel Nicolaus comments, "Our 2012 and 2013 base case projections assume strong 5%-6% 2H12 loan growth, but persistent margin pressure and only a gradual recovery in non-interest income. Year over year declines of 10% and 29% in loan loss provisions and tight expense control should support 2012 and 2013 earnings momentum. Nonetheless, TCF continues to struggle from a severe revenue drought." TCB closed at $10.78 a share on Wednesday.