Silvergate downgraded to Market Perform from Outperform at Keefe Bruyette

Keefe Bruyette analyst Michael Perito downgraded Silvergate Capital to Market Perform from Outperform with a price target of $16, down from $25. The shares continue to be volatile amid the deleveraging of the crypto industry and FTX bankruptcy fallout, which has made utilizing fundamental valuation models challenging, the analyst tells investors in a research note. The firm believes current share levels represent an accurate representation of Silvergate’s book value for the next two years. A neutral fundamental view “makes more sense” with the timeline of resolution around certain items such as FTX legal proceedings increasingly not clear, contends KBW.