UPDATE: Oppenheimer Reiterates Outperform Rating, Raises PT on PrivateBancorp on Raised EPS

In a report published Friday, Oppenheimer reiterated its Outperform rating on PrivateBancorp PVTB, and raised its price target from $18.00 to $21.00. Oppenheimer noted, “At the same time management of PrivateBancorp was wrestling with losses from a real estate-heavy loan portfolio, the company successfully reduced its dependence on non-core funding and reshaped the loan portfolio. C&I loans now represent 64% of the portfolio, and 80% of deposits are core compared with 19% and 54%, respectively, at the end of '07. This transformation should drive a more consistent earnings stream that in turn deserves a higher valuation. We are raising our '13E and '14E EPS to $1.25 and $1.45 from $1.20 and $1.40, respectively to reflect greater conviction in a future decline in credit-related costs. Our new price target is $21 (vs. $18 previously).” PrivateBancorp closed on Thursday at $17.62.