UPDATE: Keefe, Bruyette & Woods Lowers Price Target On Ocwen Financial As Business Model Is Uncertain

In a report published Monday, Keefe, Bruyette & Woods analyst Bose George reiterated a Market Perform rating on Ocwen Financial Corp OCN, but lowered the price target from $20.00 to $14.00. In the report, Keefe, Bruyette & Woods noted, “On December 22nd, Ocwen announced that the company had reached a settlement with New York Department of Financial Services. Post-settlement, Ocwen announced that it would be exiting the Agency servicing business and suggested that MSR acquisitions would not be meaningful in the near future. Given the uncertainty of the business model, we are reducing our price target to $14, roughly in line with our estimate of adjusted book value. Lowering estimates. We maintain our Market Perform rating.” Ocwen Financial closed on Friday at $15.03.