Comerica (NYSE:CMA) recently had its “hold” rating reaffirmed by Odeon Capital Group in a report issued on September 26, 2023. The financial services provider’s stock is currently given a price objective of $46.00 by Odeon Capital Group, indicating a potential upside of 11.03% from its current price.
On Tuesday, CMA opened at $41.43. Over the past year, Comerica has seen a low of $28.40 and a high of $77.34 in its stock price. The company boasts a current ratio and quick ratio of 0.93, demonstrating its sound financial position. Furthermore, Comerica has a debt-to-equity ratio of 1.34.
The company’s 50-day moving average price stands at $48.33, while its 200-day moving average price is recorded as $44.11. Notably, Comerica holds a market capitalization of $5.46 billion and operates with a P/E ratio of 4.32 alongside a P/E/G ratio of 1.25.
Comerica Incorporated primarily provides various financial products and services through its subsidiaries across multiple segments including Commercial Bank, Retail Bank, Wealth Management, and Finance sectors. In its Commercial Bank segment, the company offers commercial loans and lines of credit, deposits, cash management services, capital market products, international trade finance solutions such as letters of credit and foreign exchange management services as well as loan syndication services to small and middle-market businesses, multinational corporations, and governmental entities.
In terms of earnings performance, Comerica reported its quarterly results on July 21st with an EPS (earnings per share) value of $2.01 for the quarter which surpassed analysts’ consensus estimates by $0.15 ($1.86). Additionally, the company generated revenue worth $1.38 billion, exceeding analysts’ expectations of $904.80 million. Comerica’s return on equity stood at an impressive 25.54% with a net margin of 27.01%. In comparison to the same period in the previous year, the firm achieved a higher EPS at $1.92.
Considering current estimations from equities analysts, it is anticipated that Comerica will accumulate an EPS of 7.72 for the current year.
In conclusion, despite receiving a “hold” rating from Odeon Capital Group, there remains potential upside for Comerica (NYSE:CMA) as its price objective indicates an increase of 11.03% from its current position. With its diversified range of financial products and services and solid earnings performance, Comerica Incorporated continues to be a prominent player in the industry.
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Research Firms and Institutional Investors Assess Comerica’s Performance
As of the 26th of September, 2023, multiple research firms have expressed their opinions regarding Comerica (CMA). Bank of America raised their target price for Comerica shares from $47.00 to $52.00 and assigned a “neutral” rating to the stock in their report on the 24th of July earlier this year. Truist Financial also increased their target price for Comerica from $50.00 to $58.00 and provided a “buy” rating on the company in a research note released on the 25th of July. Citigroup reaffirmed their “buy” rating and set a price target of $58.00 on Comerica shares in a research note published on the 19th of September.
Additionally, DA Davidson raised their price objective for Comerica shares from $60.00 to $63.00 and gave the company a “buy” rating in their recent report dated 8th of August. Raymond James also revised their target price for Comerica shares upwards, going from $53.00 to $57.00, and assigned a “strong-buy” rating to the stock in their research report issued on the 24th of July.
It is worth noting that among the analysts who cover the stock, three have rated it as a sell, seven have given it a hold rating, while ten have assigned it a buy rating, with one analyst even providing an exceptionally high “strong buy” rating for the stock.
To provide further context, Bloomberg.com has reported that based on its analysis and data collection, Comerica currently holds an average consensus rating of “Hold”. Furthermore, it has an average target price estimated at approximately $61.00 per share.
Looking beyond analysts’ sentiments towards Comerica’s performance in recent months, considerations must also be made about hedge funds and institutional investors modifying their holdings within the company.
One such example is Private Advisor Group LLC, which revealed a 9.3% increase in their holdings of Comerica during the first quarter. The financial services provider’s stock now amounts to 6,692 shares held by Private Advisor Group LLC, equating to a value of $605,000 after acquiring an additional 568 shares in the last quarter.
Another institution, MetLife Investment Management LLC, demonstrated a 22.7% increment in their position within Comerica during the first quarter as well. With this adjustment, MetLife Investment Management LLC now owns 35,565 shares of Comerica’s stock with an estimated worth of $3,216,000.
Similarly engaging with Comerica is Commonwealth of Pennsylvania Public School Empls Retrmt SYS. This institutional investor experienced a 6.2% increase in their stake throughout the first quarter and obtained ownership over 17,486 shares valued at around $1,581,000.
Great West Life Assurance Co. Can saw an 8.4% rise in its position during the first quarter too. Their holdings now include 27,966 shares amounting to approximately $2,626,000.
Finally,CMA has seen significant involvement from Yousif Capital Management LLC during Q1 of this year. They have raised their stake by an impressive119.2%, resulting in the acquisition of additional 4,165 shares for a total holding value estimated at $693,000.
Currently,the data suggests that institutional investors own 81.94%of all outstanding shares in Comerica.
All these assessments and evaluations from both research firms and institutional investors highlight the ongoing interest and activity surrounding Comerica as it pursues its business objectives within the financial services industry.
