Jacquelynne Chimera Bohlen, CFA, is an Analyst at Keefe, Bruyette & Woods, Inc., and is based in the firm’s San Francisco office. She is responsible for research coverage of community banks and thrifts in the western United States. Ms. Chimera Bohlen’s bank stock coverage is “located within the Pacific Northwest, a number of California banks, and also Hawaii and Montana. Overall, the economies within my regions are quite strong, and that leads to a favorable operating environment for the local banks there. Credit trends are healthy, loan growth is positive, and on average, deposit cost has remained low despite rising rates. And this just highlights the liability pricing power many of these institutions have within their markets.”
In the exclusive interview Jacquelynne Chimera Bohlen conducted with the Wall Street Transcript she identifies the new tax code as beneficial to her stocks. “At this point in the credit cycle, I personally am more focused on p/e valuation multiples, and thus I view the lower tax rates as a benefit for banks. KBW has implemented lower tax rates into our published forecast for all of the companies under our coverage, which increased our EPS estimates across the board.”
Some of her current stock picks are below the radar. “…One of my top picks is Pacific Premier (NASDAQ:PPBI), and it’s located in Southern California. It’s a strong grower with the deposit profile to back it up, which you don’t always see. The bank consistently puts up double-digit loan growth, its credit is exceptional, its nonperforming assets, they sit at just two basis points of loans and OREO, which is also exceptional. And the loan book is funded by a deposit portfolio that’s 38% noninterest bearing; so just a really well-rounded, strong company. The bank also excels at M&A…”
To see more of Jacquelynne Chimera Bohlen‘s top picks, read the entire interview at the Wall Street Transcript.