J.P. Morgan analyst Anthony Elian maintains $Columbia Banking System (COLB.US)$ with a hold rating, and adjusts the target price from $32 to $30.
According to TipRanks data, the analyst has a success rate of 28.6% and a total average return of -6.4% over the past year.
Furthermore, according to the comprehensive report, the opinions of $Columbia Banking System (COLB.US)$'s main analysts recently are as follows:
As the Q4 earnings season for regional banks approaches, expected trends include minimal growth in loans and deposits, slightly lower net intercessor margins, and stable credit trends. Beyond the immediate results, the focus is expected to shift towards the 2025 outlooks which might reflect the persistent high-interest rate environment. While optimistic about the prospects of regional bank stocks into 2025, this optimism is moderated by expectations of a less aggressive rate-cutting stance by the Federal Reserve.
In recent discussions, anticipation shifts towards the 2025 financial outlooks, influenced by recent economic conditions and an optimistic perspective on the U.S. political landscape. Analysts predict a firm outcome for Q4 in the regional banking sector. However, the primary focus remains on deposit betas, net interest margins, and potential growth prospects. Adjustments in financial models often involve minor revisions to margin forecasts and a tempering of short-term loan growth expectations.
The optimism toward Columbia Banking has increased due to expectations of a notable net interest income rise post Q1 2025, a steeper yield curve, favorable early deposit betas, and regulatory relief. Additionally, the deposit franchise, often undervalued, alongside $8B of high-cost funding repricing by Q1 2025, contributes to this positive outlook.
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