UPDATE: D.A. Davidson & Co. Reiterates Neutral Rating, Raises PT on Taylor Capital Group on Very Strong Loan Growth, Mixed Credit

In a report published Monday, D.A. Davidson & Co. analyst Stephen Geyen reiterated a Neutral rating on

, and raised the price target from $22.00 to $23.00. In the report, D.A. Davidson & Co. noted, “Taylor Capital reported 3Q13 EPS of $0.34, $0.02 cents below our estimate and $0.05 below consensus. Relative to our model, the variance was driven by lower non-interest income and higher expense that more than offset the better than expected growth in net interest income. The quarter included $2 million in one-time expense tied to corporate initiatives and the MBFI merger. TAYC had very good loan growth with period end balances advancing at a 39% annualized clip. The robust growth was driven by 11.4% q/q growth in C&I and 7.5% q/q growth in CRE. C&I loan growth was broadly distributed with growth coming from Chicago middle-market lending, asset based lending, and equipment finance. Loans held for sale decreased 28% due to the slowdown in mortgage refinance.” Taylor Capital Group closed on Friday at $23.07.