Raymond James cuts Community Trust price target, says Q3 trends were mixed

Raymond James lowered the firm’s price target on Community Trust (CTBI) to $61 from $63 and keeps an Outperform rating on the shares following Q3 results. Raymond James said trends were mixed as net charge-offs were elevated, net interest margin fell short and expenses exceeded forecasts. However, balance growth remained strong, fees modestly outperformed and asset quality remains stable across the portfolio, according to the firm. Raymond James told investors in a research note that with expectations for solid profitability and resilient growth and credit quality through the cycle, the firm believes risk-reward dynamics remain compelling for Community Trust shares trading at a discount to peers.