Stellar Bancorp price target raised to $30 from $27 at Piper Sandler

Piper Sandler raised the firm’s price target on Stellar Bancorp (STEL) to $30 from $27 and keeps a Neutral rating on the shares. The firm notes loan originations nearly doubled to $640M since the prior quarter, signaling a return to organic growth, while asset quality remained strong with NCOs/Avg. Stellar Bancorp continues to be positioned for core growth in the second half of 2025, assisted by management focus on core deposits, their opportunistic Texas-based M&A attitude, and the bank’s robust 15.98% total risk-based capital, Piper points out. That said, accretion run-off will still pressure overall earnings growth, and the firm does not see a more meaningful catalyst to earnings as likely near-term.