Popular upgraded to Overweight from Equal Weight at Wells Fargo

Wells Fargo upgraded Popular (BPOP) to Overweight from Equal Weight with a price target of $100, down from $110. The firm says that near-term catalyst as the $19B public funds deposit base finishes repricing lower in Q1, supporting net interest income/net interest margin. The inverted yield curve on the short-end puts pressure on the fixed asset repricing story, but EPS growth remains in the top-quartile for the group at 15% year-over-year for both 2026/2027. Wells’ updated estimates, while lowered, still provide ample room for valuation expansion, and could prove conservative if growth tops expectations.