Associated Banc-Corp "neutral," target price raised

04/17/09 - Robert W. Baird

NEW YORK, April 17 (newratings.com) - Analysts at Robert W Baird reiterate their "neutral" rating on Associated Banc-Corp (ASBC), while reducing their estimates for the company. The target price has been raised from $14 to $17.

In a research note published this morning, the analysts mention that the company has reported weak 1Q09 results due to compressed margins and weak balance sheet growth. Associated Banc-Corp’s performance is likely to be negatively impacted going forward by rising credit costs and weak revenue growth trends, the analysts add. The EPS estimates for FY09 and FY10 have been reduced from $1.05 to $0.81 and from $1.40 to $1.25, respectively.