BUZZ-Kearny Financial Corp rise after Piper Sandler upgrades to 'overweight'

Shares of Kearny Financial Corp KRNY.O up ~4% at $7.15 premarket

Brokerage Piper Sandler upgrades stock to "overweight" from "neutral", raises PT to $9 from $8.50

Says risk-to-reward ratio has become attractive; expects higher profitability on improved net interest margin, modest balance sheet growth and controlled operating costs

Says dividend is "attractive and sustainable", based on the Q3's "best in industry" payout of 11 cents; expects the higher profitability to normalize the current high dividend-to-profit ratio

Also says co's balance sheet is conservative, and sees co as an attractive takeover candidate eventually, based on its desirable and sizeable franchise in central and northern New Jersey marketplace

KRNY stock fell 21% in 2024

(Reporting by Neil J Kanatt in Bengaluru)

((Neil.JKanatt@thomsonreuters.com;))