UPDATE: Sterne Agee Upgrades OceanFirst Financial to Buy on Valuation

Sterne Agee raised its rating on OceanFirst Financial

from Neutral to Buy with a new $14.50 price target. Sterne Agee commented, "We are upgrading shares of OceanFirst to Buy with a $14.50 price target. After conversations with management, we believe shares have been unduly punished for their exposure to Hurricane Sandy. In our opinion, the company will experience elevated provision and charge-off levels, but these will not have negative impacts to tangible book value. Overall, we believe OCFC is a quality franchise, undervalued both fundamentally and on a terminal basis." OceanFirst Financial closed at $12.74 on Friday.