Raymond James initiates coverage on Kearny Financial; shares gain

** Kearny Financial KRNY.O shares gain 1.2% to $9.96 ** Raymond James initiates coverage with "outperform" rating; PT $11

** Brokerage says "current valuation levels leave room for further upside as the earnings and profitability recovery progresses, supporting a favorable near-term risk/reward profile"

** Raymond James also expects credit quality to "remain solid through the cycle"

** In July, KRNY posted a rise in Q4 net interest income

** Including session's moves, the stock is up 34.1% YTD