UPDATE: BTIG Initiates Zions Bancorporation at Neutral

BTIG has published a research report on Zions Bancorporation

initiated coverage on the company with a Neutral rating. In the report, BTIG writes, "We are impressed by the significant progress that Zions Bancorporation (

) is making as its focus changes from stabilizing its risk profile and capital to growing its loan portfolio, enhancing its profitability and positioning itself to repay TARP. While ZION has been exhibiting continued improvement in nonperforming assets (NPAs), net charge-offs (NCOs) and classified loans since its credit metrics troughed in 2009, that trend translated into profitability at the beginning of 2011. The company has now posted a profit for three consecutive quarters even as net interest margin (

) has been flattish, as lower credit costs have been the key driver." Zions Bancorporation is currently trading up $0.47 from yesterday's $17.88 closing price.