UPDATE: Jefferies Initiates Walter Investment Management at Buy on Valuation

In a report published Friday, Jefferies analyst Daniel Furtado initiated coverage on Walter Investment Management WAC with a Buy rating and $40.00 price target.

In the report, Jefferies noted, “We are initiating coverage on shares of WAC with a Buy rating and a price target of $40. We view shares of WAC positively as we expect the company's earnings to be less dependent on origination revenues vs. other names in the comp group. Trading to 6.1x our FY'14 GAAP EPS estimate we believe the shares are attractively priced given the company's lower reliance on origination income.”

Walter Investment Management closed on Thursday at $33.45.