NEW YORK (TheStreet) -- Shares of Regions Financial Corp. (RF) are slightly lower, down -0.09% to $10.67, in after-hours trading on Wednesday after the SEC charged three of its former senior managers of intentionally misclassifying loans that should have been recorded as impaired for accounting purposes, MarketWatch reported.
As a result, the SEC said they overstated its income and earnings per share for loans in its financial reports for the first quarter of 2009.
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Regions Bank will pay a $51 million civil money penalty to settle the federal and state allegations.
TheStreet Ratings team rates REGIONS FINANCIAL CORP as a Buy with a ratings score of B. TheStreet Ratings Team has this to say about their recommendation:
"We rate REGIONS FINANCIAL CORP (RF) a BUY. This is driven by a number of strengths, which we believe should have a greater impact than any weaknesses, and should give investors a better performance opportunity than most stocks we cover. The company's strengths can be seen in multiple areas, such as its expanding profit margins and increase in stock price during the past year. We feel these strengths outweigh the fact that the company has had somewhat disappointing return on equity."