Like I said I used a conservative PE based on low forecast in earning growth and a below industry dividend yield. Growth rate at 8%, dividend yield at 1.26% vs regional banks average of 1.76%. If I bump PE to 13.00, target would be $11.05, and if I use the industry average PE of 14.8, target would be $12.59.
Heck could even use the industry average P/B of 1.6, and next year we have a $17.45 share price. Unfortunately I don't think RF has earned an average valuation via other regional banks in the industry yet, low growth projection, low dividend yield hence I used a PE of about 11.5.
Heck could also just say $10.50 on July 10, 2014eom.
Standard & Poor's has a 12-month target price of $11, with a Buy recommendation. I still say we bounce around in a trading range until earnings show consistent increase and dividend is at least doubled. Did you mean 2014, or are you making 26 month forecasts?