Strong Earnings Backdrop Leads to Positive Outlook for WesBanco (WSBC)

WesBanco Inc. (NASDAQ:WSBC) is one of the best financial pure plays under $100 according to Hedge Funds.

On December 17, Piper Sandler analyst Manuel Navas initiated coverage of WesBanco Inc. (NASDAQ:WSBC). The analyst assigned a Buy rating with more than 25% upside potential. As per Navas’s estimates, the stock has a target price of $42.

Navas gave his overweight rating in line with favorable market expectations for banks, amid a strong earnings backdrop. He has a positive outlook through 2027, driven by relevant market forces. He expects a robust economic growth and a slight steepening of the yield curve. This is based on his expectations of a dovish monetary policy, where the Federal Reserve would gradually lower rates on the short end. This will also trigger some activity within the credit markets that will further fuel economic growth. According to Navas, WesBanco Inc. (NASDAQ:WSBC) is strongly positioned to benefit from such an outlook.

As of December 30 closing, the consensus estimates also reflect a positive analyst sentiment for WesBanco Inc. (NASDAQ:WSBC). Of the four analysts who covered the stock, 3 gave Buy calls and 1 assigned a Hold rating. Analysts have forecasted a 1-year average price target of $39, leading to an estimated upside of more than 16% for investors.

WesBanco Inc. (NASDAQ:WSBC) is a community-focused bank delivering retail and commercial banking services, along with wealth management, brokerage, and insurance offerings. It also lends money for community development projects as well as tax credit loans.

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Disclosure: None. This article is originally published at Insider Monkey.