KeyCorp (NYSE:KEY) Hits New 1-Year High on Better-Than-Expected Earnings

KeyCorp (NYSE:KEY)’s share price hit a new 52-week high on Wednesday after the company announced better than expected quarterly earnings. The stock traded as high as $21.80 and last traded at $21.73, with a volume of 2778047 shares traded. The stock had previously closed at $21.09.

The financial services provider reported $0.41 earnings per share for the quarter, beating the consensus estimate of $0.39 by $0.02. KeyCorp had a return on equity of 10.40% and a net margin of 15.97%.The firm had revenue of $2.01 billion during the quarter, compared to the consensus estimate of $1.95 billion. During the same period in the previous year, the company posted $0.30 earnings per share. The firm’s quarterly revenue was up 131.8% on a year-over-year basis.

KeyCorp Announces Dividend

The firm also recently declared a quarterly dividend, which will be paid on Friday, March 13th. Stockholders of record on Tuesday, March 3rd will be given a $0.205 dividend. This represents a $0.82 annualized dividend and a dividend yield of 3.8%. The ex-dividend date of this dividend is Tuesday, March 3rd. KeyCorp’s dividend payout ratio is presently 53.95%.

Key Headlines Impacting KeyCorp

Here are the key news stories impacting KeyCorp this week:

• Positive Sentiment: Q4 results beat consensus — Key reported stronger-than-expected revenue and earnings, with record full-year revenue and higher net interest income, which underpins the rally. KEYCORP REPORTS FOURTH QUARTER 2025 NET INCOME
• Positive Sentiment: Large share-repurchase program — Management announced a $1.2B repurchase plan and continued buybacks, a direct capital-return action that boosts EPS potential and supports the stock. KeyCorp outlines $1.2B share repurchase plan
• Positive Sentiment: Management is deploying capital into growth and efficiency — Key is hiring bankers, investing in AI and tech to scale the franchise and boost operating leverage, which investors view as constructive for future revenue and margins. Cleveland’s KeyCorp deploying capital by hiring bankers, investing in AI
• Positive Sentiment: Technical/market reaction — The stock reached a 52-week high on the combined news flow, which can attract momentum buying. Keycorp stock reaches 52-week high
• Neutral Sentiment: Board changes and governance moves — Key named a new lead independent director and proposed director nominees, likely aimed at addressing activist pressure and reassuring investors; effect depends on execution. KeyCorp names new lead independent director
• Neutral Sentiment: Institutional/peer interest — Scotiabank’s stake in Key is expected to provide a one-time accounting boost to Scotiabank’s results, highlighting cross-border investor interest but having limited direct operational impact on Key. Bank of Nova Scotia expects boost from KeyCorp stake
• Negative Sentiment: Rising provisions and mixed guidance — Some coverage flagged a sharp rise in provisions and guidance that disappointed parts of the market, tempering enthusiasm despite the beat. KEY Q4 Earnings Beat as NII Jumps, Stock Down on Rise in Provisions
• Negative Sentiment: Insider selling noted — Recent filings show insider sales, which some investors view as a modest negative signal on near-term insider conviction. KeyCorp Releases Q4 2025 Earnings (QuiverQuant)

Wall Street Analysts Forecast Growth

A number of research firms have weighed in on KEY. DA Davidson set a $25.00 target price on KeyCorp in a report on Wednesday. Citigroup reissued a “neutral” rating on shares of KeyCorp in a research report on Wednesday, December 31st. Wells Fargo & Company set a $18.00 price objective on KeyCorp and gave the company an “underperform” rating in a research report on Tuesday, January 6th. Jefferies Financial Group lifted their target price on KeyCorp from $19.00 to $22.00 and gave the company a “hold” rating in a research note on Wednesday, December 10th. Finally, Royal Bank Of Canada boosted their target price on shares of KeyCorp from $20.00 to $22.00 and gave the stock an “outperform” rating in a report on Friday, December 12th. Ten analysts have rated the stock with a Buy rating, six have given a Hold rating and three have issued a Sell rating to the company. According to data from MarketBeat, KeyCorp presently has an average rating of “Hold” and an average price target of $22.44.

Institutional Investors Weigh In On KeyCorp

Large investors have recently modified their holdings of the business. Activest Wealth Management raised its position in shares of KeyCorp by 8,775.0% in the 2nd quarter. Activest Wealth Management now owns 1,420 shares of the financial services provider’s stock valued at $25,000 after purchasing an additional 1,404 shares during the last quarter. United Community Bank acquired a new position in KeyCorp during the 3rd quarter valued at approximately $27,000. GoalVest Advisory LLC purchased a new position in shares of KeyCorp in the fourth quarter worth $30,000. Sachetta LLC lifted its stake in shares of KeyCorp by 1,246.1% during the third quarter. Sachetta LLC now owns 1,723 shares of the financial services provider’s stock worth $32,000 after buying an additional 1,595 shares during the period. Finally, Kelleher Financial Advisors acquired a new stake in shares of KeyCorp during the third quarter worth $32,000. Hedge funds and other institutional investors own 79.69% of the company’s stock.

KeyCorp Stock Up 2.8%

The company has a debt-to-equity ratio of 0.62, a current ratio of 0.83 and a quick ratio of 0.83. The business’s fifty day moving average price is $19.96 and its two-hundred day moving average price is $18.87. The stock has a market capitalization of $23.69 billion, a PE ratio of 14.26, a price-to-earnings-growth ratio of 0.51 and a beta of 1.09.

KeyCorp Company 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.