UPDATE: Wunderlich Securities Raises Target to $7.50 on MFA Financial

Wunderlich Securities raises its price target on Hold-rated MFA Financial (NYSE: MFA) by 50 cents to $7.50 as the company reduces its exposure to risk. Wunderlich Securities says, "Our earnings outlook for Hold-rated MFA Financial (MFA) highlights the dependency of its business plan on credit-sensitive assets, levered under longer-term financings which carry less risk, and are also more expensive. While werespect that value could be created in the future based on the low cost basis in its investment portfolio and significant credit protections in non-agency bonds, we believe MFA's near-term returns could continue to lag those of other mortgage REITs." MFA closed at $7.42 a share on Thursday.