First Republic reportedly in talks to downsize if capital raise fails
First Republic Bank is considering scaling down its business if it fails to recover its large deposit outflows, according to a Reuters report on Tuesday.
Reuters cited two sources who said that the troubled bank is considering multiple options, including selling parts of its business and a sale of some loans.
First Republic Bank shares rallied Tuesday, rising 47% as of 1:57 p.m. ET. Nonetheless, the stock remains 85% lower from its levels at the start of March. Despite a group of major Wall Street firms announcing a $30 billion deposit infusion into First Republic last Thursday, the bank has not been able to secure enough new capital to stem its losses.
— Hakyung Kim
Big bank CEOs meeting in Washington to discuss First Republic, Reuters reports
CEOs from big banks, including JPMorgan’s Jamie Dimon and Bank of America’s Brian Moynihan, are meeting in Washington Tuesday for a two-day scheduled gathering, Reuters reported, citing sources familiar with the matter.
First Republic Bank, which has been under pressure due to the large percentage of uninsured deposits, will be discussed at the meeting, Reuters reported.
— Yun Li
Stifel raises price target on Novo Nordisk, “more bullish” on obesity drug market
Stifel Financial reiterated its Buy rating on Novo Nordisk and raised its price target on the company by nearly $37 to about $174, indicating an upside of 21.4% from Monday’s close.
Shares of Novo Nordisk are up 1.2% today and have gained 46.5% in the past six months.
“Our view is that, short-term, Novo Nordisk is all about the evaluation of the size of the obesity prescription drug market and accordingly, how much the group and its products can grab out of it,” analyst Eric Le Berrigaud wrote in a note sent to clients on Tuesday.
Berrigaud noted the large target population of the obesity drug market, pointing out that “payers are starting to pay” and patients are now asking for prescriptions….
Read the full article here
