All but one of the banks were rated Overweight in individual reports from Piper's Matthew Clark and Brett Rabatin.
The Banking Industry
"Interest rates are creeping up and regional banks could soon find themselves supported both by fund managers and the press," market consultant Skip Raschke wrote in a commentary on The Street.
Regional Banks And Oil
"Assuming oil prices don't go lower, investors will become more comfortable with credit quality trends in a few quarters," Rabatin said of Tulsa, Oklahoma-based BOK Financial Corporation BOKF, on which he suggested a target of $76.50.
Other oil-patch banks rated Overweight include:
- Hilltop Holdings Inc. HTH
- LegacyTexas Financial Group Inc LTXB
- Texas Capital Bancshares Inc TCBI
The Asian Connection
Two of Piper's Overweight regionals have an Asian connection: Pasadena, California-based East West Bancorp, Inc. EWBC, which helps with small-business transactions between Asia and the U.S., and Hanmi Financial Corp HAFC, focused on California's Korean-American community.
"China and California are two of the world's largest economies," said Piper's Clark, who launched a $50 target on East West.
Additional Overweight Ratings
Underweighted
BBCN, also focused on the Korean American market, is rolling out new products at a cost that will cut profits, while facing higher provisions for loan losses, according to Clark.
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