First Citizens downgraded to Market Perform from Outperform at Keefe Bruyette

Keefe Bruyette analyst Christopher McGratty downgraded First Citizens (FCNCA) to Market Perform from Outperform with a price target of $2,500, up from $2,100. A nearly 70% re-rating in First Citizens’ multiple since mid-February now puts its valuation at an approximate 15% relative premium “and results in a more symmetrical upside/downside relationship today,” the analyst tells investors in a research note. The firm believes higher for longer interest rates will continue to support the stock’s valuation, but along with the buyback catalyst, it thinks this is mostly reflected in the improved valuation.