Synovus price target lowered to $34 from $35 at Truist

Truist analyst Brandon King lowered the firm’s price target on Synovus to $34 from $35 and keeps a Buy rating on the shares as part of a broader research note on Community and Regional Banks. The firm is updating its model to reflect lower net interest margins, slower loan growth, and incrementally higher credit costs while calling for the Fed Funds rate to be stable through Q1 of 2024, followed by 100bps in rate cuts by the end of 2024. Truist is also forecasting incrementally higher net charge offs, provisioning, and reserve levels through 2024 while favoring banks with “conservative credit cultures, strong balance sheets, and ability to offset ongoing deposit cost pressures.”