UPDATE: Wunderlich Downgrades First Horizon National on Difficult Environment, Near-Term Headwinds
In a report published Tuesday, Wunderlich Securities analyst Kevin Reynolds downgraded the rating on First Horizon National Corporation (NYSE: FHN) from Buy to Hold, and lowered the price target from $13.00 to $11.00.
In the report, Wunderlich Securities noted, “We are downgrading shares of First Horizon National Corp. (FHN) to Hold from Buy at this time as we lower our price target to $11 from $13. After visiting with FHN management in Memphis, Tennessee last week, our outlook on FHN shares is incrementally more cautious given a persistently difficult environment with near-term headwinds impacting both FHN's spread-based banking business as well as its fixed income sales operation. Over the long-term as the economic environment strengthens and interest rates normalize at higher levels, First Horizon's commercially oriented focus is well-positioned to produce meaningfully higher growth and profitability. However, much of this long-term benefit is already captured in FHN's premium valuation vs. Regional Bank peers.”
First Horizon National Corporation closed on Monday at $11.31.
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