12:00 PM EDT, 04/16/2024 (MT Newswires) -- CFRA, an independent research provider, has provided MT Newswires with the following research alert. Analysts at CFRA have summarized their opinion as follows:

We decrease our target price by $5 to $195, 13.4x our 2025 EPS estimate, a premium to the peer average of 9.1x given PNC's more stable operating model. We increase our 2024 EPS estimate by $0.09 to $12.91 and raise 2025's by $0.26 to $14.56. PNC posted Q1 adj. EPS of $3.36 vs. $3.98 a year ago, $0.28 above consensus. Weakness was identified in net interest income (-4% Q/Q) as rising funding costs reduced the bank's net interest margin by 9 bps to 2.57%. However, we think a turnaround is in sight as repricing of the bank's assets should begin to outweigh deposit pricing pressures. Importantly, the bank's securities portfolio has a duration of just four years and the bank did not make the mistake of picking up long-dated securities in the previous low-rate environment. Credit quality also deteriorated in Q1 with non-performing loans jumping 6 bps to 0.74%. Still, with a conservative office commercial real estate reserve of 9.7%, we view the bank as appropriately positioned should further deterioration occur.