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Regions Financial upgraded to Buy from Neutral at UBS

UBS analyst Erika Najarian upgraded Regions Financial to Buy from Neutral with a $21 price target. The analyst cut estimates for the large cap banks to reflect interest rates, the potential for a recession and regulatory risk. However, the firm’s new price targets suggest that bank stocks are still overly discounting liquidity and capital fears. UBS upgraded Regions and downgraded three names to Neutral. The macro and structural uncertainty will "put a cap" on multiples and medium-term stock performance, it contends.

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