Shares of Mech Financial are gaining favor as analysts focus on a new tax law that is favorable to its mortgage business and on the continued resurgence of the Hartford, Conn., economy.

On Monday, Mech-the state's fourth-largest independent banking company - formed a passive investment unit that will let it reduce taxes and boost earnings per share by transferring mortgages into a special subsidiary. Shares rose 75 cents, to $28.75

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