If specialty lender CIT Group (CIT) is indeed on the block, then Wells Fargo (WFC) should seriously consider buying it, one research analyst suggests.

Wells — like many banks — needs to grow earning assets, but it doesn't necessarily need more deposits or brick-and-mortar branches, Stifel Nicolaus' Christopher Mutascio said in a research note Monday. With margins expected to remain razor thin until interest rates finally rise, Mutascio wrote, a deal would give Wells the high-yielding loans it craves while providing CIT with a funding base that could accelerate its growth.

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