UPDATE: DA Davidson Initiates Pacific Premier Bancorp at Buy with $12 PT on Above-Peer Profitability

DA Davidson initiated its coverage on Pacific Premier Bancorp

with a Buy rating and a price target of $12. DA Davidson commented, "After having changed its strategy several times in its history, the company now appears to be on a steady course of developing its commercial bank strategy via growth of C&I and owner occupied CRE. This focus and a disciplined pricing structure have allowed PPBI to maintain a strong ROA and ROE in an environment where many banks of its size are having a more difficult time. In our opinion, PPBI's above peer profitability and improving deposit base are not reflected in the current valuation of the stock, which is deserving of a premium valuation." Pacific Premier Bancorp closed at $9.00 on Monday.