Analyst Timur Braziler from Wells Fargo maintained a Buy rating on Columbia Banking System (COLB – Research Report) and keeping the price target at $35.00.
Timur Braziler has given his Buy rating due to a combination of factors including the anticipated acceleration of stock buybacks, which management finds appealing given the current capital position. The company’s Tangible Common Equity (TCE) is no longer a constraint, with management indicating that their TCE level is sufficient, potentially leading to earlier-than-expected buybacks that could enhance earnings per share.
Additionally, while there are seasonal deposit outflows, the repricing of certificates of deposit and term debt is expected to offset this, with net interest income momentum likely to build throughout 2025. Furthermore, the bank is focusing on more strategic loan growth with a shift towards commercial and industrial lending and away from non-relationship-based lending. This strategic focus, along with efforts to increase fee income from existing customers, supports the positive outlook for Columbia Banking System.
According to TipRanks, Braziler is a 3-star analyst with an average return of 4.4% and a 52.27% success rate. Braziler covers the Financial sector, focusing on stocks such as Bank OZK, Columbia Banking System, and First Interstate Bancsystem.