Comerica (NYSE:CMA) Shares Gap Up on Earnings Beat

Comerica Incorporated (NYSE:CMA) gapped up prior to trading on Thursday following a stronger than expected earnings report. The stock had previously closed at $49.82, but opened at $51.55. Comerica shares last traded at $50.91, with a volume of 330,007 shares.

The financial services provider reported $1.29 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.12 by $0.17. Comerica had a return on equity of 19.41% and a net margin of 16.71%. During the same quarter in the previous year, the firm earned $2.39 earnings per share.

Comerica Announces Dividend

The business also recently disclosed a quarterly dividend, which was paid on Monday, April 1st. Shareholders of record on Friday, March 15th were issued a dividend of $0.71 per share. The ex-dividend date of this dividend was Thursday, March 14th. This represents a $2.84 dividend on an annualized basis and a dividend yield of 5.61%. Comerica’s payout ratio is presently 44.10%.

Wall Street Analysts Forecast Growth

A number of research firms recently issued reports on CMA. Jefferies Financial Group cut their price target on Comerica from $65.00 to $60.00 and set a “buy” rating for the company in a report on Monday, April 8th. Stephens reaffirmed an “overweight” rating and issued a $64.00 price target on shares of Comerica in a report on Wednesday, March 6th. Raymond James cut Comerica from an “outperform” rating to a “market perform” rating in a report on Monday, January 22nd. Deutsche Bank Aktiengesellschaft began coverage on Comerica in a report on Wednesday, April 10th. They issued a “hold” rating and a $59.00 price target for the company. Finally, Bank Of America (Bofa) lifted their price target on Comerica from $52.00 to $55.00 and gave the company a “neutral” rating in a report on Thursday, January 18th. Three investment analysts have rated the stock with a sell rating, fifteen have given a hold rating and seven have given a buy rating to the company. According to data from MarketBeat.com, the company presently has a consensus rating of “Hold” and an average price target of $57.67.

Insider Transactions at Comerica

In other news, EVP Cassandra M. Mckinney sold 1,616 shares of the business’s stock in a transaction dated Monday, January 29th. The stock was sold at an average price of $54.64, for a total transaction of $88,298.24. Following the completion of the transaction, the executive vice president now directly owns 8,314 shares in the company, valued at approximately $454,276.96. The transaction was disclosed in a filing with the Securities & Exchange Commission, which is available through this link. In related news, EVP Wendy Bridges sold 3,034 shares of the business’s stock in a transaction that occurred on Monday, February 12th. The stock was sold at an average price of $52.74, for a total value of $160,013.16. Following the completion of the transaction, the executive vice president now directly owns 17,460 shares in the company, valued at approximately $920,840.40. The sale was disclosed in a legal filing with the Securities & Exchange Commission, which is available through the SEC website. Also, EVP Cassandra M. Mckinney sold 1,616 shares of the business’s stock in a transaction that occurred on Monday, January 29th. The shares were sold at an average price of $54.64, for a total value of $88,298.24. Following the completion of the transaction, the executive vice president now owns 8,314 shares of the company’s stock, valued at $454,276.96. The disclosure for this sale can be found here. Corporate insiders own 0.19% of the company’s stock.

Hedge Funds Weigh In On Comerica

Several institutional investors and hedge funds have recently modified their holdings of CMA. First Trust Advisors LP grew its position in shares of Comerica by 1,192.2% in the 1st quarter. First Trust Advisors LP now owns 3,878,506 shares of the financial services provider’s stock valued at $168,405,000 after purchasing an additional 3,578,355 shares during the period. Norges Bank acquired a new position in shares of Comerica in the 4th quarter valued at approximately $113,763,000. BlackRock Inc. grew its position in shares of Comerica by 9.4% in the 1st quarter. BlackRock Inc. now owns 13,313,998 shares of the financial services provider’s stock valued at $578,094,000 after purchasing an additional 1,145,951 shares during the period. Azora Capital LP bought a new stake in Comerica in the 4th quarter valued at approximately $63,548,000. Finally, Vaughan Nelson Investment Management L.P. lifted its stake in Comerica by 129.3% in the 4th quarter. Vaughan Nelson Investment Management L.P. now owns 1,930,045 shares of the financial services provider’s stock valued at $107,716,000 after acquiring an additional 1,088,330 shares in the last quarter. 80.74% of the stock is currently owned by institutional investors and hedge funds.

Comerica Price Performance

The stock has a market cap of $6.71 billion, a P/E ratio of 7.87 and a beta of 1.27. The company has a 50 day simple moving average of $51.38 and a 200 day simple moving average of $49.15. The company has a current ratio of 0.94, a quick ratio of 0.94 and a debt-to-equity ratio of 1.03.

Comerica Company Profile

Comerica Incorporated, through its subsidiaries, provides various financial products and services. The company operates through Commercial Bank, Retail Bank, Wealth Management, and Finance segments. The Commercial Bank segment offers various products and services, including commercial loans and lines of credit, deposits, cash management, payment solutions, card services, capital market products, international trade finance, letters of credit, foreign exchange management services, and loan syndication services for small and middle market businesses, multinational corporations, and governmental entities.