National Bank on Wednesday trimmed its price target on the shares of Timbercreek Financial (TF.TO) by $1.00 to $7.00 after the company reported a "mixed" first quarter.
Timbercreek reported an earnings miss of $0.13, compared with National Bank's $0.16, notes analyst Jaeme Gloyn, who is maintaining a sector-perform rating on the company. Gloyn noted that Timbercreek is working through a "significant" impaired loan portfolio (driving consistently higher credit losses as loans resolve) and a lower interest rate environment (driving a net interest income miss).
Still, Timbercreek delivered another quarter of strong originations, highlighting a robust pipeline, and stable distributable income that exceeded the common dividend, he added.
Price: $6.63, Change: $-0.02, Percent Change: -0.30%