According to Zacks, “Comerica’s estimates have been stable lately ahead of its third-quarter 2016 earnings release. The company’s growth prospects look promising given its new revenue and efficiency initiatives (GEAR Up). The initiatives are expected to deliver additional annual pre-tax income of around $230 million by year-end 2018, improve efficiency ratio to low-60% by the end of 2017, and a sub-60% efficiency ratio by year-end 2018 (without any increase in interest rates). Further, the initial actions will help in achieving a double-digit return on equity. We expect continuous geographic diversification beyond the company’s traditional and slow-growth Midwest markets to propel growth in the upcoming quarters. However, several issues keep us apprehensive including, regulatory overhangs, exposure in the stressed energy sector and margin pressure amid slow rise in interest rates.”
CMA has been the topic of a number of other reports. Compass Point lifted their price objective on Comerica from $40.00 to $44.00 and gave the stock a neutral rating in a research note on Wednesday, July 20th. FBR & Co lifted their target price on Comerica from $48.00 to $50.00 and gave the stock an outperform rating in a report on Wednesday, July 20th. Nomura reiterated a hold rating on shares of Comerica in a report on Saturday, July 9th. Credit Suisse Group AG reiterated a hold rating and issued a $37.00 target price on shares of Comerica in a report on Tuesday, July 12th. Finally, BMO Capital Markets reiterated a market perform rating and issued a $41.00 target price (down from $45.00) on shares of Comerica in a report on Wednesday, July 6th. Two research analysts have rated the stock with a sell rating, seventeen have issued a hold rating and nine have assigned a buy rating to the company’s stock. The company currently has an average rating of Hold and an average price target of $44.67.
Shares of Comerica (NYSE:CMA) opened at 49.20 on Tuesday. The stock has a 50 day moving average price of $46.77 and a 200 day moving average price of $43.80. The firm has a market cap of $8.56 billion, a P/E ratio of 21.36 and a beta of 1.36. Comerica has a 12-month low of $30.48 and a 12-month high of $49.62.
Comerica (NYSE:CMA) last posted its quarterly earnings data on Tuesday, July 19th. The financial services provider reported $0.58 EPS for the quarter, missing the Zacks’ consensus estimate of $0.69 by $0.11. Comerica had a return on equity of 6.03% and a net margin of 14.69%. On average, equities analysts expect that Comerica will post $2.41 earnings per share for the current year.
The company also recently declared a quarterly dividend, which was paid on Saturday, October 1st. Stockholders of record on Thursday, September 15th were given a dividend of $0.23 per share. This represents a $0.92 dividend on an annualized basis and a dividend yield of 1.87%. The ex-dividend date was Tuesday, September 13th. This is a boost from Comerica’s previous quarterly dividend of $0.22. Comerica’s dividend payout ratio is currently 38.82%.
In other news, insider Paul R. Obermeyer sold 2,302 shares of the company’s stock in a transaction on Thursday, August 25th. The stock was sold at an average price of $45.92, for a total transaction of $105,707.84. The sale was disclosed in a legal filing with the SEC, which is accessible through this link. Insiders own 1.60% of the company’s stock.
Hedge funds and other institutional investors have recently modified their holdings of the stock. Global X Management Co. LLC boosted its stake in shares of Comerica by 128.8% in the second quarter. Global X Management Co. LLC now owns 2,862 shares of the financial services provider’s stock worth $118,000 after buying an additional 1,611 shares during the period. Pacer Advisors Inc. boosted its stake in shares of Comerica by 9.0% in the second quarter. Pacer Advisors Inc. now owns 2,966 shares of the financial services provider’s stock worth $122,000 after buying an additional 244 shares during the period. Tredje AP fonden boosted its stake in shares of Comerica by 733.9% in the second quarter. Tredje AP fonden now owns 4,920 shares of the financial services provider’s stock worth $202,000 after buying an additional 4,330 shares during the period. American National Registered Investment Advisor Inc. bought a new stake in shares of Comerica during the second quarter worth about $206,000. Finally, Dillon & Associates Inc. bought a new stake in shares of Comerica during the second quarter worth about $211,000. 84.62% of the stock is currently owned by hedge funds and other institutional investors.
Comerica Incorporated (Comerica) is a financial services company. The Company’s principal activity is lending to and accepting deposits from businesses and individuals. Comerica has its operations in three business segments: the Business Bank, the Retail Bank and Wealth Management. In addition to the three business segments, it also operates in the Finance segment.
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