UPDATE: Wunderlich Securities Downgrades Riverview Bancorp to Sell After FQ4 Warnings

Wunderlich Securities lowers its rating from Hold to Sell on Riverview Bancorp

and reduces its price target from $2 to $1 following the earnings warning ahead of fiscal Q4. Wunderlich Securities notes, "After the close on Friday, RVSB issued an earnings warning in which it projected a loss per share ranging from $0.55 to $0.60 for 4Q12, which implies a TCE ratio of roughly 6.4%. Combined with 3Q12, the 2-quarter combined loss per share will exceed the amount of equity raised in RVSB's most recent offering in 3Q10, making a recapitalization from here extremely difficult. Thus, we believe the only good option remaining is a sale of the company, and we believe there are multiple parties that could be interested in acquiring RVSB." RVSB closed at $1.90 on Monday.