.Friday, July 22, 2024 10:28 AM

RBC Capital analysts raised their price target for Western Alliance Bancorporation (NYSE:WAL) to $87 from $78, maintaining an Outperform rating. Second-quarter earnings showed strong balance sheet growth, leading to modest margin expansion and higher net interest income growth. Core expenses rose at a manageable rate, improving efficiency. Despite increased net charge-offs and provisions, credit remained controlled. Western Alliance revised its 2024 revenue guidance upward, reflecting stronger balance sheet growth expectations. Analysts believe this supports a positive trajectory for improving pre-provision net revenue (PPNR), leading to adjusted estimates and increased price target.