Overview * Preferred Bank Q3 net income rises to $35.9 mln, driven by increased net interest income * Company's Q3 EPS reaches $2.84, marking a quarterly record * Preferred Bank repurchased 70,842 shares for $6.3 mln in Q3 Outlook * Company expects large pre-tax gain from OREO asset sale in Q4 results Result Drivers * NET INTEREST INCOME – Increase driven by $5 mln decrease in interest expense and growth in loans and investment securities * ASSET QUALITY IMPROVEMENT – Significant reduction in nonperforming loans due to foreclosure and sale of OREO asset * LOANS AND DEPOSITS GROWTH – Total loans increased by $132.4 mln and deposits by $151.3 mln, linked quarter Key Details Metric Beat/Mis Actual Consensu s s Estimate Q3 EPS $2.84 Q3 Net $35.93 Income mln Q3 Net $71.31 Interest mln Income Q3 Net 3.92% Interest Margin Analyst Coverage * The current average analyst rating on the shares is "buy" and the breakdown of recommendations is 2 "strong buy" or "buy", 3 "hold" and no "sell" or "strong sell" * The average consensus recommendation for the banks peer group is "buy" * Wall Street's median 12-month price target for Preferred Bank is $106.50, about 19.9% above its October 17 closing price of $85.31 * The stock recently traded at 9 times the next 12-month earnings vs. a P/E of 9 three months ago Press Release: For questions concerning the data in this report, contact Estimates.Support@lseg.com. For any other questions or feedback, contact . (This story was created using Reuters automation and AI based on LSEG and company data. It was checked and edited by a Reuters journalist prior to publication.)
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