Citizens Financial price target raised to $58 from $55 at Raymond James

Raymond James analyst David Long raised the firm’s price target on Citizens Financial (CFG) to $58 from $55 and keeps a Strong Buy rating on the shares. Citizens’ Q4 was highlighted by net interest margin expansion that exceeded expectations, solid credit metrics, and the private bank becoming profitable, and while Citizens provided favorable commentary related to credit and improved its medium-term NIM expectations, the higher-than-expected outlook for operating expenses and smaller balance sheet led to a slight negative revision to the firm’s EPS estimates, the analyst tells investors in a research note. Raymond James remains bullish, and believes Citizens is well-positioned to produce superior EPS growth due to NIM expansion and realization of operating efficiencies.