UPDATE: Guggenheim Raises City National's PT
According to a research report published this morning, Guggenheim has increased City National's (NYSE: CYN) PT from $51 to $53.
In the report, Guggenheim said, "We think CYN shares are reasonably valued trading for 15x our FY12E and 166% of TBVPS. Our thesis assumes CYN is a member of a subset of regional banks that can grow given a commercial and wealth management (WM) focus that drives one of the highest-quality deposit franchises in the sector. Given a credit-driven upside surprise, as no provision was booked for the third time in the past five quarters, we are increasing our FY12E and FY13E EPS by $0.22 and $0.30 to $3.40 and $3.60, respectively, to reflect less provision expense than assumed and slightly higher loan growth."
Guggenheim maintains its Neutral rating on City National, which is currently trading at $51.07.
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