Provident Financial price target lowered to $22 from $25 at RBC Capital

RBC Capital lowered the firm’s price target on Provident Financial to $22 from $25 and keeps an Outperform rating on the shares. The company’s Q1 fundamentals were decent amid a difficult environment, with the quarter’s highlights including some margin pressure from higher funding costs, slightly lower loans, stronger fees, and higher core expenses, the analyst tells investors in a research note. Provident remains a high quality franchise that can produce steady growth, and the upcoming Lakeland merger can provide attractive long-term synergies, RBC added.