Regions Financial downgraded to Neutral from Overweight at JPMorgan

JPMorgan downgraded Regions Financial to Neutral from Overweight with a price target of $16.50, down from $19. The analyst also removed the shares from the firm’s Analyst Focus List. The analyst cites the impact of faster catch-up in deposit betas for the downgrade. The stock has already fallen on the sharp beta increase and change in tone, but there isn’t a catalyst for the shares to outperform as Regions’ betas continue to catch-up to peers, the analyst tells investors in a research note. JPMorgan says the bank also needs to likely invest more in cyber given the surprising higher fraud costs for last two quarters.