California regional bank's Q2 net income fell 5.8% yr/yr, EPS up slightly
Q2 net interest income declined 3.5% from prior year
Company repurchased 753,000 shares during Q2 under buyback plan
Drivers of the quarter
Low cost of funds - Co said Q2 results benefited from low-cost funding and operating principles, with cost of funds at 0.24%
Noninterest income - Higher merchant processing fees, debit card fees and unrealized gains on equity securities lifted noninterest income
Cost control - Operating expenses were well controlled, with only a slight increase in noninterest expense, mainly from higher salaries and professional fees, offset by lower occupancy and equipment expense
Analyst coverage and valuation
The current average analyst rating on the shares is "hold" and the breakdown of recommendations is no "strong buy" or "buy", 2 "hold" and no "sell" or "strong sell"
