Customers Bancorp downgraded to Market Perform from Outperform at Keefe Bruyette

Keefe Bruyette downgraded Customers Bancorp (CUBI) to Market Perform from Outperform with a price target of $52, down from $57. The firm materially lowered 2025 and 2026 estimates following a “rather significant” net interest income miss and recalibration in the outlook. Customers shares have the potential to re-rate higher later next year should the bank progress towards moving to more normalized profitability, but it is tough to see that happening until investors get greater comfort that the outlook has been more reasonably reset, particularly given the regulatory overhang, the analyst tells investors in a research note.