Keefe, Bruyette & Woods Updates Estimates On First NBC Bank Following 10Q Review

In a report published Wednesday, Keefe, Bruyette & Woods analyst Catherine Mealor reiterated a Market Perform rating and $35.00 price target on First NBC Bank Holding Company NBCB. In the report, Keefe, Bruyette & Woods noted, “We are updating our estimates after a review of NBCB's 10Q and a discussion with management and provide a deeper dive into our assumptions for tax credit earnings moving forward. We are raising 2014 and 2015 EPS primarily on higher tax credits (mostly historic credits) offset by assumptions for higher tax credit amortization and tax credit basis reduction and establishing a 2016 EPS estimate of $3.00. While our estimates are below the Street, we would note that our estimates still reflect a 20% growth rate in the core (non-tax credit) EPS of the bank to a 1% core ROA. Reiterate $35 price target.” First NBC Bank closed on Tuesday at $31.96.