Commerce Bancshares Inc. (CBSH) Rating Increased to Hold at Zacks Investment Research
Commerce Bancshares Inc. (NASDAQ:CBSH) was upgraded by Zacks Investment Research from a “sell” rating to a “hold” rating in a report issued on Thursday.
According to Zacks, “Estimates have been stable lately ahead of Commerce Bancshares’ third-quarter 2016 earnings release. Notably, the company has a negative record of earnings surprises in recent quarters. Further, net interest margin continues to remain under pressure owing to a persistent low rate scenario. Moreover, elevated non-interest expenses remain a concern due to the increased compliance costs as well as the company’s strategy to invest in franchise. In addition, increased exposure to risky loans continues to be a matter of concern. Nonetheless, the company is witnessing continuous improvement in non-interest income and its robust loan and deposit balances indicate enhanced revenue generation going forward. Additionally, a strong asset quality will continue to support future growth. Also, the company has been expanding its footprints in newer markets, while streamlining operations by undertaking various restructuring initiatives.”
A number of other brokerages also recently issued reports on CBSH. Jefferies Group reissued a “hold” rating and issued a $48.00 price objective on shares of Commerce Bancshares in a research note on Thursday, July 7th. Piper Jaffray Cos. began coverage on Commerce Bancshares in a research note on Monday, July 11th. They issued a “neutral” rating and a $43.50 price objective on the stock. Morgan Stanley downgraded Commerce Bancshares from an “equal weight” rating to an “underweight” rating and set a $45.00 price objective on the stock. in a research note on Tuesday, September 20th. Finally, Barclays PLC boosted their price objective on Commerce Bancshares from $45.00 to $48.00 and gave the company an “equal weight” rating in a research note on Tuesday. One analyst has rated the stock with a sell rating and five have given a hold rating to the company’s stock. Commerce Bancshares presently has a consensus rating of “Hold” and a consensus price target of $45.75.
Shares of Commerce Bancshares (NASDAQ:CBSH) traded down 2.2026% on Thursday, reaching $49.2899. The company had a trading volume of 376,184 shares. The stock has a 50-day moving average price of $49.58 and a 200-day moving average price of $47.83. Commerce Bancshares has a 12 month low of $37.44 and a 12 month high of $51.30. The stock has a market cap of $4.76 billion, a PE ratio of 18.8850 and a beta of 0.74.
Commerce Bancshares (NASDAQ:CBSH) last announced its earnings results on Wednesday, July 13th. The financial services provider reported $0.70 EPS for the quarter, topping the Thomson Reuters’ consensus estimate of $0.68 by $0.02. The firm had revenue of $288.40 million for the quarter, compared to the consensus estimate of $295.65 million. Commerce Bancshares had a return on equity of 11.58% and a net margin of 23.03%. The business’s quarterly revenue was up 3.9% compared to the same quarter last year. During the same period in the previous year, the business earned $0.71 EPS. Analysts predict that Commerce Bancshares will post $2.77 earnings per share for the current fiscal year.
The company also recently announced a quarterly dividend, which was paid on Monday, September 26th. Investors of record on Friday, September 9th were given a $0.225 dividend. This represents a $0.90 dividend on an annualized basis and a yield of 1.79%. The ex-dividend date of this dividend was Wednesday, September 7th. Commerce Bancshares’s payout ratio is 34.50%.
In other Commerce Bancshares news, Vice Chairman Jonathan M. Kemper sold 50,000 shares of the business’s stock in a transaction that occurred on Thursday, September 8th. The stock was sold at an average price of $50.07, for a total transaction of $2,503,500.00. Following the completion of the sale, the insider now directly owns 1,192,407 shares of the company’s stock, valued at approximately $59,703,818.49. The sale was disclosed in a filing with the Securities & Exchange Commission, which is accessible through the SEC website. Also, CEO David W. Kemper sold 40,000 shares of the business’s stock in a transaction that occurred on Friday, July 15th. The stock was sold at an average price of $48.86, for a total value of $1,954,400.00. Following the sale, the chief executive officer now directly owns 1,316,068 shares of the company’s stock, valued at $64,303,082.48. The disclosure for this sale can be found here. 4.60% of the stock is owned by corporate insiders.
A number of hedge funds have recently modified their holdings of CBSH. Walleye Trading LLC bought a new stake in shares of Commerce Bancshares during the second quarter worth approximately $101,000. Pacad Investment Ltd. bought a new stake in shares of Commerce Bancshares during the second quarter worth approximately $120,000. Zurcher Kantonalbank Zurich Cantonalbank raised its stake in shares of Commerce Bancshares by 28.6% in the second quarter. Zurcher Kantonalbank Zurich Cantonalbank now owns 2,547 shares of the financial services provider’s stock worth $122,000 after buying an additional 566 shares in the last quarter. WFG Advisors LP raised its stake in shares of Commerce Bancshares by 0.5% in the second quarter. WFG Advisors LP now owns 3,725 shares of the financial services provider’s stock worth $178,000 after buying an additional 20 shares in the last quarter. Finally, Advisor Group Inc. bought a new stake in shares of Commerce Bancshares during the second quarter worth approximately $183,000. 60.86% of the stock is owned by hedge funds and other institutional investors.
Commerce Bancshares Company Profile
Commerce Bancshares, Inc is a bank holding company of Commerce Bank (the Bank). The Bank is engaged in general banking business, providing a range of retail, corporate, investment, trust and asset management products and services to individuals and businesses. The Company operates through three segments: Consumer, Commercial and Wealth.
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