Commerce Bank Makes New Investment in KeyCorp $KEY

Commerce Bank purchased a new stake in KeyCorp (NYSE:KEY) during the 2nd quarter, according to the company in its most recent 13F filing with the Securities & Exchange Commission. The firm purchased 115,283 shares of the financial services provider’s stock, valued at approximately $2,657,000.

A number of other hedge funds also recently made changes to their positions in KEY. DV Equities LLC acquired a new position in shares of KeyCorp during the fourth quarter worth approximately $27,000. N.E.W. Advisory Services LLC bought a new position in KeyCorp in the 2nd quarter worth approximately $30,000. Silvant Capital Management LLC acquired a new stake in KeyCorp in the 2nd quarter valued at approximately $30,000. Smithfield Trust Co acquired a new stake in KeyCorp in the 4th quarter valued at approximately $31,000. Finally, Keating Financial Advisory Services Inc. bought a new stake in KeyCorp during the 2nd quarter valued at $31,000. Institutional investors own 79.69% of the company’s stock.

Analyst Upgrades and Downgrades

A number of research analysts have issued reports on the company. JPMorgan Chase & Co. boosted their price target on KeyCorp from $22.50 to $24.50 and gave the stock a “neutral” rating in a research report on Monday, July 6th. Keefe, Bruyette & Woods lifted their price objective on shares of KeyCorp from $25.00 to $26.00 and gave the company an “outperform” rating in a research note on Wednesday, July 22nd. Susquehanna upped their price objective on shares of KeyCorp from $300.00 to $415.00 and gave the stock a “positive” rating in a report on Monday, May 18th. Robert W. Baird increased their target price on shares of KeyCorp from $22.00 to $23.00 and gave the company a “neutral” rating in a research report on Wednesday, July 22nd. Finally, Stephens began coverage on shares of KeyCorp in a research note on Monday, June 15th. They set an “overweight” rating and a $26.00 target price on the stock. One investment analyst has rated the stock with a Strong Buy rating, twelve have assigned a Buy rating and seven have issued a Hold rating to the company. According to MarketBeat, KeyCorp has a consensus rating of “Moderate Buy” and an average price target of $49.14.

KeyCorp Stock Performance

Shares of KEY stock opened at $21.87 on Tuesday. The stock has a 50-day simple moving average of $22.90 and a 200 day simple moving average of $21.79. KeyCorp has a fifty-two week low of $16.47 and a fifty-two week high of $24.07. The stock has a market capitalization of $23.34 billion, a P/E ratio of 12.72, a P/E/G ratio of 0.72 and a beta of 1.03. The company has a quick ratio of 0.83, a current ratio of 0.84 and a debt-to-equity ratio of 0.63.

KeyCorp (NYSE:KEY) last released its earnings results on Tuesday, July 21st. The financial services provider reported $0.44 earnings per share (EPS) for the quarter, topping analysts’ consensus estimates of $0.42 by $0.02. KeyCorp had a return on equity of 11.23% and a net margin of 17.83%.The firm had revenue of $1.96 billion for the quarter, compared to analyst estimates of $1.97 billion. During the same period in the previous year, the company earned $0.35 earnings per share. KeyCorp’s revenue was up 6.7% compared to the same quarter last year. On average, sell-side analysts expect that KeyCorp will post 1.83 earnings per share for the current fiscal year.

KeyCorp announced that its board has approved a stock repurchase plan on Wednesday, May 13th that allows the company to buyback $3.00 billion in shares. This buyback authorization allows the financial services provider to purchase up to 13% of its shares through open market purchases. Shares buyback plans are typically an indication that the company’s board of directors believes its shares are undervalued.

KeyCorp Announces Dividend

The firm also recently disclosed a quarterly dividend, which will be paid on Tuesday, September 15th. Stockholders of record on Tuesday, September 1st will be paid a $0.205 dividend. The ex-dividend date of this dividend is Tuesday, September 1st. This represents a $0.82 annualized dividend and a dividend yield of 3.7%. KeyCorp’s payout ratio is currently 47.67%.

KeyCorp Profile

KeyCorp is a bank holding company headquartered in Cleveland, Ohio, that operates through its primary banking subsidiary, KeyBank. It provides a broad range of banking and financial services to individual consumers, small businesses, middle-market companies and large corporations. KeyBank’s offerings span traditional deposit and lending products as well as more specialized financial solutions designed for commercial and institutional clients.

The company’s product and service mix includes retail banking products such as checking and savings accounts, consumer and residential mortgage lending, and auto financing.