UPDATE: Hilliard Lyons Downgrades Tower Financial to Neutral

In a report published Friday, Hilliard Lyons downgraded its rating on Tower Financial Corporation

from Buy to Neutral. Hilliard Lyons noted, “Tower's price exceeded Hilliard Lyons' former target of $12 per share, triggering a change in our rating from Buy to Neutral. Hilliard Lyons considers the stock to be fairly valued. Year to date, TOFC has appreciated 51% compared to an increase of 21% for the average SNL Micro Cap bank stock. A 23% one month pick up in the stock price may be attributable to the implementation of a common dividend, release from a regulatory agreement, the reinstatement of trust preferred dividend payments and an increase in our earnings forecast for 2012 and 2013.” Tower Financial Corporation closed on Thursday at $12.57.