PNC Financial well positioned for regulatory relief, says Piper Jaffray
Piper Jaffray analyst Kevin Barker maintains an Overweight rating on PNC Financial and raised his price target for the shares to $163 from $159 to take into account the capital relief he expects from the Federal Reserve's recently proposed rules. The analyst is also more bullish on PNC's revenue outlook, saying the company is seeing a significant increase in treasury management fees due to a decline in commercial non-interest bearing deposits. The market's sole focus on the shift to interest-bearing deposits from non-interest bearing deposits fails to take into account the offsetting revenue, Barker tells investors in a research note. He calls PNC one of his favorite super-regional banks at this point in the cycle.