Sterne Agee Fine Tunes Estimates for First Financial Bancorp

In a research report published today, Sterne Agee has tweaked its 2012 estimates for First Financial Bancorp FFBC. According to Sterne Agee, “We are adjusting our 2012E to $1.20 (+$0.04) and maintaining our 2013E of $1.26. Estimates reflect FFBC defending net interest income from NIM pressure via earning asset volume and active asset/liability management in 2012. Our balance sheet growth estimate (the 6-7% 2011 rate) may take small acquisition(s) to reach if recent signs of organic growth falter. Should growth or NIM fall short of expectations, improved covered asset performance (positively impacted 2H11), additional cost controls (underestimated in 2011) and lower provision expense (modeled flattish) could provide an offset.” Sterne Agee maintains its Neutral rating on First Financial Bancorp, which closed yesterday at $17.40.