Commerce Bancshares (CBSH) Stock Rating Lowered by Zacks Investment Research
Zacks Investment Research cut shares of Commerce Bancshares (NASDAQ:CBSH) from a buy rating to a hold rating in a report published on Tuesday.
According to Zacks, “Shares of Commerce Bancshares have underperformed the industry in the past six months. Nonetheless, the company’s earnings surpassed the Zacks Consensus Estimate in three of the trailing four quarters. Its fourth-quarter 2017 results benefited from higher revenues, partly offset by higher expenses and a rise in provisions. Strong loans and deposit balances and higher interest rates will continue to support revenue growth. Further, lower tax rates will aid profitability. However, continuously rising expenses are expected to hurt bottom-line growth, going forward. Also, the company's significant exposure to real estate loans remains a major cause of concern.”
A number of other equities research analysts also recently issued reports on the company. BidaskClub downgraded Commerce Bancshares from a sell rating to a strong sell rating in a research report on Saturday, December 16th. Barclays reissued a hold rating and set a $55.00 price target on shares of Commerce Bancshares in a research report on Sunday, December 24th. Piper Jaffray Companies reissued a hold rating and set a $58.00 price target on shares of Commerce Bancshares in a research report on Tuesday, January 9th. Finally, Keefe, Bruyette & Woods reissued a sell rating and set a $54.00 price target on shares of Commerce Bancshares in a research report on Friday, January 19th. Four investment analysts have rated the stock with a sell rating and seven have issued a hold rating to the stock. Commerce Bancshares presently has a consensus rating of Hold and an average target price of $57.13.
Commerce Bancshares (NASDAQ:CBSH) last posted its quarterly earnings results on Thursday, January 18th. The financial services provider reported $0.74 earnings per share (EPS) for the quarter, beating the Zacks’ consensus estimate of $0.71 by $0.03. Commerce Bancshares had a return on equity of 12.22% and a net margin of 25.27%. The firm had revenue of $314.22 million during the quarter, compared to the consensus estimate of $312.98 million. equities research analysts anticipate that Commerce Bancshares will post 3.36 EPS for the current year.
The business also recently announced a quarterly dividend, which will be paid on Monday, March 26th. Stockholders of record on Friday, March 9th will be given a $0.235 dividend. This is an increase from Commerce Bancshares’s previous quarterly dividend of $0.23. The ex-dividend date is Thursday, March 8th. This represents a $0.94 annualized dividend and a dividend yield of 1.59%. Commerce Bancshares’s dividend payout ratio is presently 31.05%.
In other news, Vice Chairman Jonathan M. Kemper sold 55,000 shares of the company’s stock in a transaction dated Monday, December 11th. The stock was sold at an average price of $55.06, for a total value of $3,028,300.00. The sale was disclosed in a filing with the Securities & Exchange Commission, which is available at this hyperlink. Also, SVP Michael J. Petrie sold 618 shares of the company’s stock in a transaction dated Tuesday, February 13th. The stock was sold at an average price of $57.13, for a total value of $35,306.34. Following the completion of the sale, the senior vice president now directly owns 10,375 shares of the company’s stock, valued at approximately $592,723.75. The disclosure for this sale can be found here. Insiders sold 187,452 shares of company stock valued at $10,692,049 in the last ninety days. Company insiders own 4.30% of the company’s stock.
Several hedge funds and other institutional investors have recently modified their holdings of the company. BlackRock Inc. boosted its position in shares of Commerce Bancshares by 6.2% in the fourth quarter. BlackRock Inc. now owns 8,217,981 shares of the financial services provider’s stock worth $458,894,000 after buying an additional 481,612 shares during the period. Commerce Bank boosted its holdings in Commerce Bancshares by 4.6% in the fourth quarter. Commerce Bank now owns 7,369,241 shares of the financial services provider’s stock valued at $411,498,000 after purchasing an additional 325,364 shares during the last quarter. American Century Companies Inc. boosted its holdings in Commerce Bancshares by 11.3% in the fourth quarter. American Century Companies Inc. now owns 3,643,390 shares of the financial services provider’s stock valued at $203,447,000 after purchasing an additional 369,008 shares during the last quarter. Lazard Asset Management LLC boosted its holdings in Commerce Bancshares by 11.3% in the fourth quarter. Lazard Asset Management LLC now owns 1,637,293 shares of the financial services provider’s stock valued at $91,425,000 after purchasing an additional 165,690 shares during the last quarter. Finally, Schroder Investment Management Group boosted its holdings in Commerce Bancshares by 49.9% in the fourth quarter. Schroder Investment Management Group now owns 1,266,154 shares of the financial services provider’s stock valued at $70,702,000 after purchasing an additional 421,526 shares during the last quarter. 59.77% of the stock is owned by institutional investors.
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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, mortgage banking, 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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