Bank OZK price target lowered to $38 from $40 at Truist

Truist lowered the firm’s price target on Bank OZK to $38 from $40 and keeps a Hold rating on the shares as part of a broader research note recapping Q3 results for Community and Regional Banks. The firm is reducing its 2024/2025 EPS forecasts to $6.00/$5.75 from $6.07/$6.09, driven by lower net interest margins, though it sees this being offset partially by stronger balance sheet growth, the analyst tells investors in a research note. Truist adds that it continue to forecast sequential net interest income growth for Bank OZK until Q3 of 2024, followed by some compression from Fed rate cuts.