Natwest Securities Corp. has initiated coverage of Cityscape Financial Corp. - a New York based subprime home equity lender - with a "buy" rating.
Analysts John A. Heffern and David L. Verlander said they believe that subprime home-equity lending offers "an excellent path toward superior growth and a compelling opportunity for market-beating investment performance over the course of 1996."
The analysts said they were especially impressed with Cityscape's growth potential in the United Kingdom.
Natwest set a 52-week target price of $28 on Citiscape stock, which was trading at $20 on Monday.