Wunderlich Securities Reiterates Hold, $23 PT on PacWest Bancorp

Wunderlich Securities maintains its Hold rating and $23 price target on PacWest Bancorp

as accretive acquisition and strong credit quality yield solid Q1 results. Wunderlich Securities says, "We maintain our Hold rating on shares of PacWest Bancorp (

) and our $23 price target after the company reported 1Q12 operating EPS of $0.51, which beat consensus of $0.39 and our $0.41 estimate. The quarter was aided by an accretive acquisition, as well as a negative provision on non-covered loans as legacy asset quality continued to improve with virtually all credit metrics moving in the right direction. Core earnings power remains strong, allowing management to compete from a position of strength. However, we remain on the sidelines given the challenging, slow-growth economic environment with limited commercial loan demand in Southern California." PACW closed at $23.39 on Wednesday.