Shares of Regions Financial trade for 1.1 times their reported Sept. 30 tangible book value of $7.02, and for 9.7 times the consensus 2013 earnings estimate of 78 cents a share, among analysts polled by Thomson Reuters. The consensus 2014 EPS estimate is 81 cents. The shares are up 6% so far in 2013, after returning 67% during 2012, as the company underwent a significant transformation, selling its Morgan Keegan brokerage subsidiary to Raymond James Financial during the first quarter for $900 million, followed by a $930 million common equity raise and then the full redemption in April of the $3.5 billion in preferred shares held by the U.S. Treasury for bailout money provided through the Troubled Assets Relief Program in November 2008. O'Connor on Friday reiterated his "Hold" rating for Regions, while raising his price target for the shares by 50 cents to $7.00, saying that his price target "assumes RF shares trade roughly in line with our target group multiple of 10.5x our 2014E." The analyst estimates that Regions will earn 74 cents a share this year, with EPS increasing to 75 cents in 2014 and 79 cents in 2015. RF data by YCharts
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