UPDATE: Keefe, Bruyette & Woods Upgrades WSFS Financial on Valuation and Expected 2Q Rebound

In a report published Tuesday, Keefe, Bruyette & Woods analyst Catherine Mealor upgraded the rating on WSFS Financial (NASDAQ: WSFS) from Market Perform to Outperform, but lowered the price target from $82.00 to $80.00.

In the report, Keefe, Bruyette & Woods noted, “WSFS missed 1Q EPS by $0.05 primarily on seasonal factors, however, management laid out about $0.21/share of seasonal influences that should go away in 2Q. Shares are down 14% YTD and WSFS now trades at a steep discount to peers (11.4x 2015 EPS) despite the fact that the company has nice growth momentum and is well on its way to a 1.2% ROA / 13% ROTCE. Adjusting estimates, lowering PT but upgrading to OP. Transferring coverage to Catherine Mealor from Damon DelMonte.”

WSFS Financial closed on Monday at $66.44.