With the stock down 29% yesterday and nearly 50% in two months, "the damage has been done at this point," Wells Fargo analyst Timur Braziler tells investors in a research note. He recommends staying long the shares into Thursday's earnings report, expecting it will be a good one. Braziler looks for a more detailed explanation on the earnings call regarding the company's ties with Jason Galanis, which a short report detailed yesterday. The analyst keeps an Outperform rating on Banc of California shares with a $23-$25 price target range. UBS this morning placed its Buy rating on the stock under review.

Truist lowered the firm's price target on Banc of California to $15 from $16 and keeps a Hold rating on the shares as part of a broader Q1 earnings recap research note on Regional and Community Banks. The firm now sees Fed funds rate forecast shifting to zero cuts in 2024 and four 25bps cuts in 2025, the analyst tells investors in a research note. Truist adds that its revisions reflect lower near term net interest income and lower fee income for the bank offset partially by lower operating expenses.

Barclays lowered the firm's price target on Banc of California to $15 from $16 and keeps an Equal Weight rating on the shares post the Q1 report. The company guidance was reiterated but Barclays sees a slower path to target profitability as the revenue side lags progress on expenses, the analyst tells investors in a research note.