UPDATE: DA Davidson Raises PT to $12.50 on Hanmi Financial

DA Davidson reiterates its Buy rating on Hanmi Financial HAFC and raises its price target from $12 to $12.50 on increased estimates following a good quarter. DA Davidson says, "We are raising our 2012 and 2013 EPS estimates to $2.73 and $0.96, respectively. Excluding the impact of the DTA recovery our revised estimate for 2012 is $0.83. Our $12.50 target (previously $12) is equal to 1x our estimated 2013 TBV of $12.35 or 13x 2013E. Given HAFC's projected year end 2013 TCE ratio of 13.4% post-DTA recovery, opportunities to reduce non-core funding or engage in a stock buyback could be accretive to our 2013 estimates and provide additional upside." HAFC closed at $10.17 on Wednesday.