MidWestOne’s Restructuring Expected To Boost Margins By 70 Basis Points Starting In Q4: Analyst
Keefe, Bruyette & Woods analyst Damon DelMonte upgraded MidWestOne Financial Group, Inc. (NASDAQ:MOFG) to Outperform from Market Perform, raising the price forecast to $39 from $34.
The analyst writes that despite shares of MidWestOne responding positively to its equity raise and balance sheet restructuring in September, its valuation remains attractive, with shares trading at a ~20% P/E and ~8% P/TBV discount to competitors.
DelMonte also views the bank’s strategic plan, stronger balance sheet, and restructuring as key factors for sustainable and improving performance.
DelMonte projects the firm’s restructuring to increase its margin by around 70 basis points starting in the fourth quarter of 2024, reaching 3.20%.
Also Read: MidWestOne’s Strategic Chess Move: From Florida Sands To Denver Peaks With $32.6M Buyout
The analyst forecasts the …
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