Equity Bancshares assumed with an Overweight at Piper Sandler

Piper Sandler assumed coverage of Equity Bancshares (EQBK) with an Overweight rating and $54 price target The firm believes shares will likely garner premium multiples within the next year as management executes upon synergies tied to Equity Bancshares’ latest acquisitions and a meaningful recent securities portfolio restructuring to drive profitability metrics into top quartile levels. Piper also favors Equity Bancshares’ recent expansion in some larger Midwest MSAs that will likely contribute to future mid-single-digit organic loan growth, which should keep its superior core net interest margin stable following additional presumable Fed rate cuts. Lastly, the firm anticipates management’s proven pricing discipline should negate an acquirer overhang on Equity Bancshares’ valuation as additional compelling deals likely unfold.