01:45 PM EDT, 06/27/2025 (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:
As one of the more cyclical regional banks, we believe CFG is well positioned to outperform over the next 12 months. After peaking in April, credit concerns are beginning to ease and we expect net charge-offs to decline in the second half of 2025 and continue falling through 2026 as CFG works through its troubled commercial real estate office portfolio. CFG has already significantly de-risked its portfolio by reducing its general office exposure to $2.9B from $4.1B over the past two years while nearly doubling reserves to 12.3%, creating substantial downside protection. As business activity begins to return, we also see upside to CFG's growing middle market investment bank. Additionally, loan growth is set to return as CFG benefits from momentum in its Private Bank and C&I growth in its expansion markets. We increase our target price by $17 to $55, 10.8x our 2026 EPS estimate, above CFG's five-year forward average of 10.2x. We increase our 2025 EPS view by $0.12 to $3.88 and 2026's by $0.25 to $5.11.